PRESS RELEASE
Prague, 21 August 2014
RAIFFEISENBANK REPORTED VERY STRONG SIX MONTHS SALES;
PROFITS EXCEEDED ONE BILLION CROWNS

Very strong growth of sales to private and corporate clients in the first half of the year

Record-breaking demand for loans, investments and business accounts
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Client loans 6.1% up at CZK 160 billion
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Client deposits 5.3% up at CZK 144.2 billion

Net profits 17.3% down, particularly due to high annual benchmark for provisions and
declined revenue from fees
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Stronger capital adequacy at 14.17%; 4% equity increase
[All figures mentioned in this press release are non-audited and have been prepared in
accordance with IFRS accounting legislation. The figures refer solely to the results posted by
Raiffeisenbank a.s. and might differ from those that Raiffeisen Bank International AG (RBI)
released for its operations in the Czech market on 21 August 2014.]
"We have attained major success in terms of business over the first six months of this year. With our
new offer of funds we have achieved record-breaking sales with regards to investments while also
being able to address clients who have never invested before. Also, we are strengthening our position
as a business bank with our new successful eKonto ŽIVNOST business account. Our sales regarding
consumer finance and accounts to households reached a record high in June“ Mario Drosc,
Raiffeisenbank’s CEO and Chairman of the Board of Directors, commented on the results.
„Thus, we have had very strong six months in terms of sales, a fact that is also reflected in growing
client deposits and loans. For the second half of this year, we have prepared various innovations
related to accounts, smartphone banking, investments and loans,“ Mario Drosc added.
„The decline in net profits is particularly under the influence of accounting, as we released some
earlier provisions last year, which established a low benchmark in this area. Also, the declined
revenue from fees and gains from trading in the financial markets had an adverse effect on the bank’s
net profits,“ Mario Drosc said with respect to the bank’s economic results.
DETAILED INFORMATION ON ECONOMIC RESULTS FOR THE FIRST HALF
OF 2014
NET PROFIT AND REVENUE The bank’s net profit for the first six months of 2014 reached 1.02
billion crowns, generating a 17.3% decrease on a year-to-year basis. Total operating revenue of the
bank is 8.1% down, mostly due to declined revenue from fees and lower profits from financial market
operations. Net interest revenue of the bank dropped 2.1% to CZK 2.9 billion and net revenue from
fees is 16% down year on year, reaching one billion crowns. Other revenue of the bank, including
gains from financial market operations and dividends, dropped 19.1% on a year-to-year basis,
amounting to 587 million crowns.
DEPOSITS AND LOANS Total assets reached 195.9 billion crowns, with a 3.1% annual increase.
The volume of loans provided to clients added 6.1 percent year on year, amounting to 160 billion
crowns. Growth was seen in loans provided to both private (consumer and mortgage loans) and
corporate clients. The volume of client deposits rose 5.3 percent to CZK 144.2 billion.
COSTS Operating costs dropped 9.8% year on year to 2.5 billion crowns. The decline is mostly due
to various cost-reducing measures adopted in the recent years.
RISK MANAGEMENT Losses from non-performing loans and other debts rose 24.8% year on
year, totalling 610.6 million crowns. However, increased costs of provisioning and reserves are not
due to increased credit risk of the bank. In early 2013, the bank released certain, no longer needed,
provisions, resulting in a low figure for the annual comparison.
CAPITAL The bank’s equity rose 4% annually to 19.9 billion crowns. The bank’s registered
capital was increased by 868.4 million crowns in the course of May 2014. The bank’s capital
adequacy ratio as per the end of June reached 14.17%.
MAIN PRODUCT NEWS OF 2014
INNOVATIONS FOR BUSINESSES - Raiffeisenbank launched its new Business eKonto TRADE
account, developed for its clients who are sole traders. It will be unique to the Czech market, offering a
free personal account to an unlimited business account. Entrepreneurs will thus easily separate their
personal and business finance at no unnecessary cost, moreover with an easy access to business loans.
In addition, the bank’s new pricelist effective as of 1 July brings notable discounts on other types of
business accounts. Another innovation is the bank’s special offer for e-shops, providing online shops,
for example, with less expensive transport for their goods. With the new Sečteno (Sum up) service,
businesses can also receive bookkeeping and financial analysis from the bank.
INVESTMENTS AND ADVISORY – the bank keeps developing its concept of quality advisory and
long-term financial planning. The investment management company, Raiffeisen investiční
společnost, will be building up its market position, launching new products over the year. Most
recently, it has introduced its Bond Trend Fund and Regular Investment Fund. An important
innovation in investments is RBroker, an application for clients allowing online trading in capital
markets. Also, the bank launches a financial portal with financial and capital market news.
PRIVATE BANKING - Euromoney awarded Friedrich Wilhelm Raiffeisen for providing the best
private banking in the Czech Republic. FWR won in three categories: Best private bank in the
Czech Republic, Best relationship management and Best service for super affluent clients with net
worth above 500 thousand US dollars.
120 THOUSAND CLIENTS OF EKONTO KOMPLET – One year after launch, over 120 thousand
clients are using eKonto KOMPLET, Raiffeisenbank’s comprehensive account for one transparent fee.
Of the account’s many benefits, clients particularly appreciate unlimited number of withdrawals from
ATMs of any bank in the Czech Republic or abroad, as well as the smartphone application or loyalty
discounts provided to credit cards. This year, the bank will be preparing more innovations to the
eKonto KOMPLET account. Most recently, Raiffeisenbank introduced 3D Secure online transaction
confirmations or a free account for new client referrals.
BASIC INFORMATION ABOUT RAIFFEISENBANK A.S.
Raiffeisenbank a.s. (RBCZ) has been providing a wide range of banking services to individuals and
corporate clients in the Czech Republic since 1993. Raiffeisenbank renders services to its clients via a
network of more than 120 branch offices and client centres. The bank also provides services of
specialized mortgage centres, personal, corporate and business advisors. Measured by total assets,
Raiffeisenbank is the fifth largest bank operating in the Czech market.
Raiffeisenbank celebrated 20 years of operations in the Czech market in 2013. From a bank with two
branch offices and 39 employees in 1993, it evolved over the 20 years through successful organic
growth into the market’s fifth largest bank, currently managing assets worth 190 billion crowns,
running a network of 123 branch offices located all over the Czech Republic, and employing nearly
three thousand members of staff.
Various local and international awards testify to the quality of the services the bank offers.
Raiffeisenbank has been regularly awarded mainly for its dynamics; in terms of products, eKonto has
been traditionally named the best account in the Czech Republic and the bank’s internet banking is
also considered the market’s best choice.
Raiffeisenbank’s primary focus in the Czech Republic is on premium clients with higher income and
active interest in their finance management. The bank thus emphasizes quality of its services, a wide
range of products, high quality advisory and long-term financial planning. As such, it introduces
various new products and services to the Czech market on a regular basis, most recently the new
eKonto account, a new portfolio of credit cards, or smartphone account control. Given the scope of
their features and benefits, the two services immediately ranked among the best rated in the Czech
market.
The majority shareholder of the bank is Austria’s Raiffeisen Bank International AG (RBI), established
in October 2010 through the merger of Raiffeisen International Bank-Holding AG and the principal
business areas of Raiffeisen Zentralbank Österreich AG (RZB). RBI regards both Austria, where it is a
leading corporate and investment bank, and Central and Eastern Europe (CEE) as its home market.
RBI is a fully-consolidated subsidiary of RZB, which indirectly owns around 60 per cent of the
common stock; the remainder is in free float on the Vienna Stock Exchange.
The Raiffeisen group has been regularly recognized as the “Best Bank in Central and Eastern Europe”
by such prestigious business publications such as Euromoney, Global Finance or The Banker.
Moreover, Raiffeisen's network banks in CEE have regularly won "best bank" distinctions for their
respective countries.