BMB announces $12.9 million net loss in H1 2001
On Monday, July 30, Bahrain Middle East Bank (BMB) announced a net loss of $12.9 million for the first half of 2001, according to AFP news agency. Although the figure represents a 20 percent improvement in comparison to the corresponding period of last year, it is astonishingly lower than its all–time high profit of $30.1 million in 1999.
The bank’s total assets fell 15.6 percent in the first half of 2001 in comparison to the same period last year, reaching a mere $524 million. The bank has attributed its poor financial results to the difficult investment environment of the year 2000, which has had a continuous negative influence on the current year as well.
The bank has implemented a cost-reduction plan at the end of June, which included a cutback in staff and the closing of its London representative office. In addition, the bank has placed special emphasis on its risk management department, so as to avoid extensive losses such as last year’s $57 million loss in equity and fund investments.
The bank is listed on the Bahrain stock exchange since 1989, and has more than 1,400 shareholders in the Gulf region. —(MENA Report)
© 2001 Mena Report (www.menareport.com)