12° Nicosia,
26 September, 2020

Bank of Cyprus posts profit amid CEO departure

Management actively exploring strategies to further accelerate de-risking said Hourican


The Bank of Cyprus announced on Monday €95 mn profit for the first quarter of 2019. 

Depating CEO John Hourican said in a statement that the Bank continues to make good progress towards completion of the sale of c.€2.7 bn non-performing loans in Project Helix, including obtaining the required regulatory approvals from the ECB.

Mr. Hourican is set to leave in September with Panicos Nicolaou taking up the CEO-designate role in the meantime.

''Project Helix complements our on-going organic non-performing exposure (NPE) reduction, which amounted to €157 mn. We expect completion during the second quarter of 2019'', said Hourican.

The quarter was broadly in line Hourican said with an organic target of c.€800 mn for 2019.

''Even though we have reduced NPEs by c.70% since peak, there are still €4.6 bn of delinquent loans to be addressed,
and for which we have plans in place. Approximately €900 mn of these are in fact fully performing but trapped in the
regulatory definition, and approximately another €900 mn should be positively tackled over time by the Government’s
ESTIA scheme supporting lower value primary residences. This leaves a core of €2.8 bn of delinquent loans that we are
actively addressing, exploring strategies to further accelerate our de-risking, including significant portfolio sales''.

Bank of Cyprus recorded its sixteenth consecutive quarter of organic reductions in non performing exposures.

Read Hourican's statement and the Group's financial results for the quarter here .

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