Bonum Pankki Oyj: Board of Directors' Report and Financial Statements 1 January - 31 December 2019

Stock Exchange Release

Bonum Bank Plc: Board of Directors' Report and Financial Statements 1 January - 31 December 2019

Bonum Bank Plc Stock Exchange Release 13th February 2020 at 8:30 CET

During the financial year 2019 Bonum Bank Plc continued to develop services and products in accordance with the amalgamation's strategy. The purpose of Bonum Bank's internal service production is to limit the group's dependence on external service providers and enhance the efficiency of the whole group's cost structure. In its external business operations, the Bank provides services that supplement group's offering. Bonum Bank's role as the provider of services for the banks in the amalgamation has strengthened.

S&P Global Ratings affirmed Bonum Bank's rating of BBB for long-term investment grade and A-2 for short-term investment grade in May. Bonum Bank Plc is responsible for the wholesale funding of the POP Bank Group by issuing senior bonds and certificates of deposits. The funding intermediated from Bonum Bank Plc to POP Banks has considerably diversified during the year.

Bonum Bank is actively seeking new business opportunities to supplement the group's product offering. For POP Pikalaina, unsecured consumer credit launched at the end of 2018, the year 2019 was very favourable as sales of the product exceeded the targets set for the year.

The profit for the financial year increased to EUR 242 thousand (EUR 192 thousand). Balance sheet totaled to EUR 558,631 thousand (EUR 606,015 thousand).

Key ratios (EUR 1000)	31 Dec 2019	31 Dec 2018
Net interest income	4,196	2,310
Net commissions and fees	7,064	6,235
Result for the period	242	192
Balance sheet total	588,631	606,015
Common equity Tier 1 capital ratio (CET 1) %	29.7	43.7
Cost-to-income ratio, %	84.6	94.9
ROA, %	0.04	0.03
ROE, %	0.76	0.60
Equity ratio, %	5.5	5.2

Bonum Bank Plc is part of the amalgamation of POP Banks and is responsible for providing 26 POP Bank central credit institution services, obtaining external funding for the POP Bank Group, handling payments and issuing payment cards to the customers of the POP Banks. In addition, Bonum Bank grants unsecured consumer credits and secured debt securities to retail customers.

Further information:

Pia Ali-Tolppa, CEO, Bonum Bank Plc, Tel. [phone], [e-mail]

Pekka Lemettinen, Chair of the Board, Tel. [phone], [e-mail]

Distribution:

Nasdaq Helsinki Oy
Main media
www.poppankki.fi

Attachment

• Bonum Bank Plc Board of Directors and Financial_statements Report 2019 (https://ml-eu.globenewswire.com/Resource/Download/49e09246-129c-47fe-aee6-9996cb7ae049)