Interview With a Bank Manager
Reporter: As far as we know, last year was a year of substantial progress for your bank, wasn't it?
Banker: Yes, our bank made excellent progress. We increased market share and profitability. At the same time we continued to develop business infrastructure.
R.: Could you substantiate it by some figures?
В.: For example, the pre-tax profit increased by over 80%.
R.: What would you attribute this success to?
В.: This significant improvement arose mainly from higher operating income reflecting improvement in net interest and non-interest income. Retail customer deposits increased progressively during the year. Loans and advances to customers increased during the latter months of the year and at year end were 4% higher than the prior year. Besides, we improved the credit quality of our loan portfolios.
R.: Is retail banking your specialist area?
В.: No, not only. Like many banks we offer a combination of wholesale and retail banking. We continued to increase our presence in the health, education and charity sectors, the sectors where we have developed specialized expertise.
R.: Many banks follow this policy. They stay in a global niche, focusing on particular areas.
В.: I don't think it's fair to compare us to an ordinary clearing bank. We are completely different.
R.: Why?
В.: We're a cooperative bank, and our mission is to increase customer value, not shareholder value.
R.: Is your policy bearing fruit?
В.: Definitely. We constantly develop and introduce new services and products to match our customers' needs. The number of customers is increasing.
R.: It's known that you are a long-established bank committed to remaining at the forefront of innovation in the interest of the customers.
В.: And the community, I would add. The bank has proved that a business can make profits achieving at the same time socially desirable objectives. All the Bank's visa credit cards are used to support charities.
R.: Now that you have mentioned credit cards, I'd like to say that customers' service requirements are changing. Increasing numbers of customers prefer the convenience of telephone banking, ATM's for cash withdrawals, as well as debit and credit cards.
В.: I can't agree more. The changing needs of customers and the advances of new technology have resulted in the development of our Armchair Banking Service. It's the largest telephone banking system in the country. Almost half of our personal and corporate customers regularly use the system to conduct all their routine banking business.
R.: That's nice to hear. Nevertheless customers appreciate personal contacts with staff, don't they?
В.: You are right. Not only have we expanded our branch network, but we have relieved the staff of routine tasks, which allows them to provide a greater focus on direct personal service and consultation.
R.: What else has been done since you started restructuring your branch network?
В.: We've expanded the network of regional processing centres, which gives customers a more immediate service, including evening and weekend processing. Companies can bank their takings sooner and get a quicker return. It also means increased security.
R.: You were restructured last year, weren't you? What was the restructuring aimed at?
В.: We wanted to make the bank's structure more flexible and to strengthen some of its divisions. Now, we are split into three operative divisions - Personal Banking, Corporate Banking, and Treasury - and three servicing divisions - Administrative Division, Information Systems Division, and Corporate Planning Division.
R.: Are you happy about the new structure?
В.: Very happy. Now the Treasury can provide a wide range of operations like investment portfolio management, foreign exchange deals, etc. The Treasury function ensures the Bank's well-respected position in the London money markets.
R.: Was the restructuring painful for the staff?
В.: The Bank is committed to implementing staff changes in a considerate manner and redundancies have been kept to a minimum, wherever possible. Nevertheless, job losses were unavoidable.
R.: It's no secret that major changes are taking place in the banking industry; competition is increasing every year. Where do you see your bank in ten years' time?
В.: It's difficult to say. The biggest challenge for all of us will be the single European currency, I think. We are expected to offer good quality Euro service and we shall. Skills and experience of our staff are a good guarantee.
Notes
1 accounts tailored to fit particular savers' preferences - счета, открываемые с учетом потребностей вкладчиков
2 In this intermediation process costs are incurred which must be met out of the bank's margin between the borrowing and lending interest rates. - Эта посредническая деятельность требует расходов, которые должны быть покрыты за счет разницы между процентными ставками на заемный и ссудный капитал.
3 A modern joint-stock bank is expected to ... - Считается, что современный акционерный банк должен ... (оборот «именительный падеж с инфинитивом»)
4 check facilities - услуги по обработке чеков
5 to transact foreign exchange business - осуществлять сделки с иностранной валютой
6 to transact stock and share business - осуществлять сделки с ценными бумагами
7 banks write "insurance" type contracts- банки берут на себя обязательства по «страховым» контрактам