1. Summary
   CIMB Group Holdings Berhad (“CIMB Group”) today reported a 37.1% year-on-year (“Y-o-Y”) growth in 1Q13 net profit of RM1.386 billion, equivalent to a net earnings per share (“EPS”) of 18.7 sen. The annualised 1Q13 net return on average equity (“ROE”) was 19.0%. Compared to 4Q12, the Group’s net profit was 28.1% higher
   
   "On an operational basis, we had a decent start to the year with steady growth across most business segments. The 1Q13 results were glossed by the gain on sale of our 51% interest in CIMB Aviva. We also took this opportunity to take some restructuring charges that will bring about longer term cost benefits. Excluding these one-off gains and charges, the Group’s net profit would have grown by 4.2% Y-o-Y," said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group.
    
2. CIMB Group Y-o-Y Results
   CIMB Group’s 1Q13 revenues were 21.2% higher Y-o-Y at RM3.945 billion. Net interest income grew by 9.1% while non-interest income expanded by 42.5%, inflated by a RM515 million gain from the sale of the 51% interest in CIMB Aviva. Excluding this gain, the Group’s non-interest income would have been 1.1% lower. The Group’s profit before tax (“PBT”) was 28.1% higher at RM1.718 billion, but would be 4.6% higher after excluding the one-off gain and RM200 million in restructuring charges.
   
   For 1Q13, the Group’s regional Consumer Bank PBT increased by 6.1% Y-o-Y to RM503 million. The Malaysia and Singapore consumer PBT were 0.5% lower Y-o-Y. The Indonesian consumer PBT grew 22.7% Y-o-Y underpinned by continued assets growth partially offset by currency translation. The Thai consumer PBT turned around from a small loss to a RM6 million profit in 1Q13.
   
   The Group’s regional Wholesale Banking PBT rose 9.9% Y-o-Y to RM734 million largely underscored by the Investment Banking and Corporate Banking PBT improving by 319.6% and 46.3% respectively, in tandem with the rise in corporate lending and deal flows as well as higher provisions made in 1Q12. Treasury & Markets PBT was 26.3 % lower Y-o-Y due to the slower credit markets and foreign exchange spreads in 1Q13.
   
   Investments PBT jumped 141.9% Y-o-Y at RM481 million owing to the RM515 million gain arising from the sale of the 51% interest in CIMB Aviva partially offset by RM200 million in restructuring charges.
   
   Consumer Banking operations remain the largest contributor to Group PBT at 36% (from 35% in 1Q12). Corporate Banking contribution to Group PBT jumped to 28% from 20% in 1Q12. Treasury & Markets, Investment Banking and Investments contributed 20%, 4% and 12% respectively.
   
   CIMB Niaga’s PBT rose 11.9% Y-o-Y to IDR1,433 billion while its contribution to the Group was only 5.8% higher Y-o-Y at RM456 million due to the depreciation of the Rupiah in 1Q13. CIMB Thai’s PBT grew 7.3% to THB379 million but after GAAP and FRS139 adjustments, its contribution to the Group was 288.0% higher at RM38 million. Total PBT contribution from Thailand rose 345.0% from RM14.8 million to RM65.8 million after including the stronger contribution from CIMB Securities Thailand. Total non-Malaysian PBT decreased marginally to 40% in 1Q13 from 41% in 1Q12.
   
   The Group’s total gross loans and credit expanded 13.5% (excluding the declining bad bank loan book) and 14.2% Y-o-Y respectively. After adjusting for foreign exchange fluctuations, the Group’s total gross loans and credit increased by 14.1% and 14.7% Y-o-Y respectively. Commercial banking loans increased 21.0% while retail loans and corporate loans grew 13.4% and 10.2% respectively. Geographically, Singapore gross loans growth was strongest at 20.1% from a low base while Thailand and Indonesia expanded by 21.7% and 13.3% respectively in respective local currencies. Malaysia loans were 12.6% higher Y-o-Y.
   
   Total Group deposits grew by 13.4% Y-o-Y but were 11.5% higher Y-o-Y after excluding foreign exchange fluctuations. This was driven by an 15.6% expansion in Corporate & Treasury deposits and a 12.1% growth in commercial banking deposits. Retail deposits were 11.7% higher Y-o-Y. Geographically, deposit growth was strongest in Indonesia at 25.6%, while Thailand deposits expanded at 24.0% in the respective local currencies. Malaysia and Singapore deposits grew 8.9% and 20.1% respectively Y-o-Y in Ringgit terms. The Group’s CASA ratio rose slightly to 33.7% from 33.6% last year while overall net interest margins were lower at 2.88% from 3.02% last year.
   
   The Group’s total loan impairment of RM81 million in 1Q13 was a 43.8% decline from the RM144 million in 1Q12 due to continued write-backs and recoveries. The Group’s total credit charge was 0.15%. The Group’s gross impairment ratio improved to 3.8% for 1Q13 from 4.8% as at 1Q12, with an allowance coverage of 82.3%. The Group’s cost to income ratio rose to 56.3% compared to 55.1% in 1Q12 due to the combination of restructuring charges and new acquisitions.
   
   CIMB Bank’s total capital ratio stood at 13.4% while its Tier 1 capital ratio stood at 12.1% as at 31 March 2013 (after inclusion of 1Q13 net profits). CIMB Group’s double leverage and gearing stood at 116.5% and 18.1% respectively as at end-March 2013.
    
3. CIMB Group Q-on-Q Results
   The Group’s 1Q13 revenues of RM3.945 billion were 17.1% higher than 4Q12, translating to a 28.1% Q-o-Q net profit growth to RM1.386 billion. Net interest income was 0.8% lower while non-interest income was 54.5% higher Q-o-Q largely due to the RM515 million gain arising from the sale of the 51% interest in CIMB Aviva in 1Q13.
   
   The Group’s Consumer Banking PBT declined 18.1% Q-o-Q. The Malaysian retail operations were 20.6% lower largely due to provision write-backs in 4Q12 while the Indonesian consumer division’s PBT contribution to the Group was 8.6% lower Q-o-Q. Wholesale Banking PBT increased 12.1% Q-o-Q as Corporate Banking and Treasury & Markets were generally weaker in 4Q12. However, Investment Banking was 55.7% lower Q-o-Q at RM60 million in due to significantly stronger fee income for the last quarter of 2012. PBT from Investments were 370.6% higher Q-o-Q due to the large gain from sale of CIMB Aviva partially offset by restructuring charges.
    
4. CIMB Niaga Results
   On 29 April 2013, CIMB Niaga reported a 1Q13 net profit of IDR1,054 billion, a 12.5% Y-o-Y increase, with a 1Q13 net ROE of 18.3%. The stronger performance was attributed to the larger asset base, higher non-interest income from Corporate Banking operations and lower provisions partially offset by lower NIMs, weaker income from Treasury and Markets operations and higher overhead expenses. On a sequential basis, the 1Q13 net profit was 6.8% lower than 4Q12.
   
   CIMB Niaga’s gross loans grew 13.3% Y-o-Y for 1Q13 mainly driven by the business banking and retail segments. Corporate banking loans only grew by 2.5% due to large repayments. The Gross NPL of 2.4% as at end-March 2013 was an improvement from the 2.7% in 1Q12, but slightly higher than the 2.3% in 4Q12. CIMB Niaga’s loan loss coverage (based on BI definition) stood at 108.8% as at end-1Q13 compared to 106.9% as at end-1Q12.
   
   CIMB Niaga’s Tier 1 capital and total capital ratios stood at 13.4% and 16.1% respectively as at 31 March 2013.
    
5. CIMB Thai Results
   On 19 April 2013, CIMB Thai announced a 1Q13 net profit of THB313 million, an 11.4% improvement from the THB281 million in 1Q12 driven by the stronger loans growth and non-interest income. Sequentially, CIMB Thai’s net profit expanded by 91.5% owing to lower provisions in the current period. The annualised loan loss charge was 0.6% for 1Q13 while the loan loss coverage ratio rose to 86.1% from 71.1% at end-1Q12. For the 3-month period, CIMB Thai chalked revenue of THB1.974 billion, a 19.9% Y-o-Y increase.
   
   As at 31 March 2013, CIMB Thai’s Tier 1 capital and total capital ratios were at 10.4% and 15.1% respectively. CIMB Thai’s net NPL ratio fell to 1.8% compared to 2.4% as at 31 March 2012.
    
6. CIMB Islamic
   CIMB Islamic’s Y-o-Y PBT decreased Y-o-Y by 17.1% to RM105 million due to lower Islamic capital markets activity. CIMB Islamic’s gross financing assets grew 17.0% Y-o-Y, accounting for 15.9% of total Group loans. Total deposits grew by 19.8% Y-o-Y to RM37.0 billion.
    
7. Geographic Expansion
   In 1Q13, CIMB Group commenced investment banking operations in South Korea and India. Taiwan is on schedule to commence in 2Q13. The Group is also still in negotiations for the acquisition of Bank of Commerce in the Philippines and in the process of establishing bank branches in Laos, Shanghai and Hong Kong.
    
8. Outlook
   "We are pleased to have successfully completed the sale of CIMB Aviva and taken up some restructuring charges to strengthen our capital position and reduce running costs. With the RBS APAC IB acquisition nearing full completion and the Malaysian general elections behind us, we hope to see more wholesale banking opportunities going forwards. At the same time, our regional consumer franchise continues to improve and grow," said Nazir.
   
   "We remain mindful however, of macroeconomic challenges ahead as regional policy-makers respond to the slower external demand, domestic inflationary pressures and strong liquidity inflows." Nazir concluded.

To officiate the sponsorship, Badlisyah Abdul Ghani, Executive Director and Chief Executive Officer, CIMB Islamic, and Raja Noorma Raja Othman, Chief Executive Officer, CIMB Foundation presented a mock cheque to Khalek Awang, President of Yayasan Pelajar Islam Malaysia (YPIM) in a ceremony recently.

“CIMB Islamic’s commitment as the Knowledge Partner is part of our corporate responsibility initiatives to support programmes that provide education and learning opportunities to the youth and in this instance university students. We also hope that our contribution will enable greater promotion of the competition through better incentives and prizes for the participants, thus attracting a keener contest,” said Badlisyah

CIMB Islamic is CIMB Group’s global Islamic banking and finance franchise, while CIMB Foundation is a non-profit organisation set up to implement the Group’s corporate social responsibility and philanthropic initiatives.

Organised by YPIM, the highly acclaimed competition serves as a platform to discover talent in Quranic recitation among university students. It also aims to uplift the standard of civil society through education, in line with CIMB Group’s overall corporate responsibility’s investment in driving the transformation towards a knowledge-based economy.

The competition will see students from various universities nationwide battle it out for the title of Champion Reciter in the male and female categories respectively. The champions will each receive the newly introduced CIMB Islamic Challenge Trophy.

Themed “Al-Quran Penunjuk Jalan, Cahaya Keimanan”, the competition will be judged by a panel of jury from Jabatan Kemajuan Islam Malaysia and intellectuals from various higher learning institutions.

“We wish to thank CIMB Islamic for their support. We believe an educational yet competitive programme like this, which is supported by universities across the country, will pave way for similar programmes. YPIM is committed to continuously bring quality programmes to empower people with knowledge,” said Khalek.

Puan Sri Datin Hajjah Noorainee Abdul Rahman, the wife of Malaysia’s Deputy Prime Minister, is the patron of YPIM.

Members of the public are invited to the final rounds of the competition on Saturday, 18 May 2013, 7.30 pm at the Islamic Arts Museum in Kuala Lumpur.

For more information about the competition, please contact Kamarulzaman bin Dolmat of YPIM at 03-4142 5384 / 017-3097906.

Under the agreement, CIMB Australia will provide research reports in relation to economic analysis and equities listed on the Australian Securities Exchange to RBS Morgans Holdings Pty Limited (Morgans) for distribution to their clients. CIMB Australia and Morgans will also collaborate to manage equity capital markets (ECM) mandates in Australia, and leverage on the retail and institutional distribution platforms of CIMB Group and Morgans.

The agreement was signed by Nick Rowe, Country Head of CIMB Australia and Brian Sheahan, Managing Director of Morgans.

"We are pleased to announce this strategic agreement with Morgans. The agreement is a natural evolution and an important step for both companies. We have enjoyed over 15 years working together – albeit under a few different brand names,” said Nick Rowe.

“The alliance allows Morgans’ customers to benefit from the highly ranked research of CIMB Australia and CIMB Australia to access Morgan’s unparalleled distribution platform of over 330,000 customers for ECM transactions. In addition, the corporate advisory services cooperation also presents both companies with huge potential for cross referrals. We will be able to leverage off each other in markets that we are strong in respectively,” he added.

CIMB Group is the biggest Asia Pacific (ex-Japan) based investment bank and fifth largest universal banking group in ASEAN. Its research arm covers over 1,000 stocks of Asia Pacific based companies, and is arguably the most comprehensive research coverage platform in the industry, backed by award-winning teams of research analysts across the region.

Tim Crommelin, Executive Chairman of Morgans, commented, “The alliance is a continuation of a long term working relationship which we believe was one of the most successful in the country and has delivered outstanding results for clients of both groups. We look to a strong future with our partners who are one of Asia’s leading financial institutions and see their unequalled connections into Asia as a great leverage point for all clients.”

The alliance will be overseen by an advisory board consisting of members from CIMB Australia and Morgans.

Kuala Lumpur: CIMB Group has signed a Memorandum of Understanding (MoU) with the Institute of Bankers Malaysia (IBBM) to officially launch the Chartered Banker Education Pathway for the Group’s 42,000 employees.

Conferred jointly in Malaysia by IBBM and the Chartered Banker Institute in the UK, the programme is a globally recognised qualification that has been customised to uniquely reflect Malaysia’s banking operations and regulatory framework within its international syllabus.

“The MoU seals CIMB’s commitment to invest in our employees and develop them to become globally recognised ASEAN bankers. Such quality assets will enable us to provide top-notch products and services to over 13.9 million CIMB customers regionally, thus further strengthening our position as the leading ASEAN universal banking group,” said Hamidah Naziadin, Head, Group Corporate Resources, CIMB Group.

The programme comprehensively covers banking essentials and practices, giving learners an overall grasp of critical knowledge and skills to become veritable professionals to serve in the industry.

“Combined with CIMB’s internal educational programmes, we trust our employees will be positioned in good stead in the forefront of the financial services industry. Above and beyond that, these professional qualifications will also propel their professional career growth,” she added.

The MoU was signed by Hamidah Naziadin and Tay Kay Luan, Chief Executive Officer, IBBM. It was witnessed by Dato’ Lee Kok Kwan, Deputy Group CEO, Corporate Banking, Treasury and Markets, CIMB Group.

At the signing ceremony, Hamidah also stated that the Group will be providing full sponsorship for its employees to pursue this qualification, as part of its Corporate Sponsorship Scheme.

The Chartered Banker is an international gold standard in banking qualification for professionals working in the financial services sector. The Chartered Banker Education Pathway comprises three levels of qualification, namely Executive Bank, Professional Banker and Chartered Banker, tailored for clericals and executives, experienced professionals, and seasoned banking and finance careerists respectively. The programme is run online, allowing learners the flexibility to complete the course as they work.

“With the introduction of this online programme, it adds to the suite of self-learning courses in our training library. We foresee e-learning to be the way forward, especially for the new generation of workforce,” Hamidah remarked.

Meanwhile, Tay said, “IBBM is committed to our vision of excellence and devoted to providing world class education. We introduced this global qualification to Malaysian shores last year, and now to the ASEAN region. Having CIMB on board with the signing of this MoU is a partnership that the Institute will work hard to ensure that the value propositions are raised and delivered as agreed. It is encouraging to have CIMB’s support and also to learn that they foresee a significant increase in their take-up rate of IBBM’s professional learning and education offerings this year.”

“We are delighted to add India to our footprint which now comprises all major APAC markets except Taiwan. India is a mega economy and an essential market for any major investment bank," said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group. "Taiwan is expected to come on board next month, and then we will be definitively the biggest APAC-based investment bank."

Devesh Kumar, the Country Representative for India will lead the 60-strong team in India, offering investment banking, equities brokerage and research to both domestic and international clients.

CIMB Securities (India) Pte. Ltd. (“CIMB India”) currently initiates research coverage on 110 Indian stocks, representing 72% of the domestic market cap, across 13 sectors including key sectors such as IT software services, banking and finance, oil and gas, metal and mining, real estate and telecommunications. By early 3Q 2013, CIMB India aims to extend its research coverage to 150 Indian stocks to represent 85% of the domestic market cap.

Kuala Lumpur, Malaysia: CIMB Group today announced that the winner of the CIMB Classic moving forward will receive a Tournament Winner exemption to The Masters Tournament at Augusta National Golf Club starting 2014. The first instalment of this will see the winner of the CIMB Classic in 2013 receiving an invitation to the 2014 Masters Tournament.

Also announced was the awarding of Ryder Cup points by the PGA of America for U.S. participants at the CIMB Classic. For every US$1,000 in prize money earned, one point will be awarded to U.S. players as they vie for nine (of the twelve) positions on the American team for the Ryder Cup in 2014.

This is an addition to the tournament being an Official FedExCup Points event on the PGA TOUR and part of the season-long 2013-2014 FedExCup competition. The winner of the CIMB Classic will also gain a two-year exemption on PGA TOUR events.

“This is great news and cements the world class status of the CIMB Classic,” said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group.

“With a tournament that awards FedExCup points, exempt status on the PGA TOUR and The Masters, as well as Ryder Cup points – the CIMB Classic and Malaysia now occupy a marquee position on the global golf calendar,” added Nazir.

"The excitement is building as the tournament approaches and the CIMB Classic becomes an official PGA TOUR event”, said Todd Rhinehart, Executive Director of the CIMB Classic and the PGA TOUR.

“With Augusta National Golf Club and The Masters officially recognising the CIMB Classic as part of their qualifying process, the tournament continues to make its mark globally on the game in such a short time,” added Rhinehart.

The Masters Tournament, also known as The Masters or The US Masters is one of the four major championships in professional golf. Scheduled for the first full week of April, it is the first of the majors to be played each year. Unlike the other major championships, the Masters is held each year at the same location, Augusta National Golf Club, a private golf club in the city of Augusta, Georgia, USA.

The Ryder Cup is a biennial men's golf competition between teams from Europe and the United States. The competition, which is jointly administered by the PGA of America and the PGA European Tour, is contested every two years with the venue alternating between courses in the USA and Europe. The next Ryder Cup will be held at the Gleneagles Hotel in Perth & Kinross, Scotland, in 2014.

Kuala Lumpur: CIMB today announced that it is supporting the World Squash Federation’s (WSF) bid group’s presentation to the International Olympic Committee (IOC) Executive Board in St Petersburg, Russia for the inclusion of squash into the 2020 Olympic Games Programme, making CIMB a proud “WSF Olympic Bid Partner”.

“CIMB has long been a supporter of squash, so we wouldn’t want to miss this opportunity to help the sport win a place at the Olympic Games,” said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group.

"A successful bid would lift the status of the sport worldwide and help professional squash players tremendously," he added.

To mark the sponsorship announcement, Dato’ Sri Nazir inked his signature on the BackTheBid 2020 sign and handed it over to Dato’ Nicol David, who represented WSF.

At the event, a delighted Dato’ Nicol said, “CIMB has been the biggest supporter for squash, setting high-level tournaments through the years for both PSA and WSA¹ , while being my core sponsor since my first World Open title. I’m glad that CIMB sees the importance of squash getting that spot in the Olympics and they have taken a huge step that no other has taken by coming in to support WSF’s BackTheBid 2020 campaign.”

“The squash world is really excited that CIMB decided to come in with such force to give WSF a boost for the campaign. Thanks again to CIMB for the great effort that has been done to support squash in reaching its Olympics dream," she remarked.

The announcement was made in conjunction with CIMB’s eighth consecutive title sponsorship of the CIMB KL Open Squash Championships 2013, which will be held on 26-31 March.

N. Ramachandran, President of WSF also expressed his gratitude, “As squash makes its case of the added value it would bring to the Olympic Games Programme, we are very grateful for all the enthusiasm and support we have received globally, matching the universality of our sport. In this regard, we are very thankful to CIMB.”

CIMB’s sponsorship will support the cost of making the presentation, including expenses for bid films, management and the bid group’s attendance at the board meeting.

“The talented juniors that we invest in today via CIMB Foundation’s Junior Squash Development Programme will be encouraged to excel further if the sport is included in the Olympics,” Nazir concluded.

¹PSA – Professional Squash Association; WSA – Women’s Squash Association

Kuala Lumpur: CIMB Group today announced that it has begun its investment banking and brokerage businesses in Seoul, South Korea, after successfully obtaining an equities brokerage license from the Financial Services Commission ("FSC") of Korea.

CIMB Securities Limited, Korea Branch ("CIMB Korea") is the first ASEAN financial institution to be granted its equities bro kerage license through an application process.

"We are delighted to have gotten off the ground in Korea. This is a continued expansion of our North Asia investment banking platform and brings us closer to comprehensively covering all key Asia Pacific ex-Japan markets. We can now offer our global clients access to the Korean equity market and catalyse more business and investment flows between Korea and ASEAN,” said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group.

John Choi, the Branch Manager and the Head of Equities, and Sean Cho, the Head of Investment Banking will lead the 39-strong team in Korea, providing stock brokerage, research and corporate advisory services to both domestic as well as our international clients.

CIMB Korea currently covers 28 Korean stocks which represent 35% of KOSPI market cap, spanning various sectors such as banking and finance, telecommunications, ship building, transportation, large cap technology, Internet and gaming. By early 3Q 2013, CIMB Korea expects to cover over 80 Korean stocks which would represent more than 70% of the KOSPI market cap.

New York City: CIMB hosted its inaugural Asia Pacific investors’ conference in New York City today. Themed “Corporate Insights – Opportunities in Asia Pacific”, this conference provides an unparalleled opportunity for US-based institutional investors to gain first-hand insight into leading Asia Pacific companies. The conference, which caters to both equity and fixed income investors, is being held on 4 and 5 March 2013, at Le Parker Meridien.

Over two days CIMB is showcasing 28 APAC corporates of which 10 are Malaysian based, including SapuraKencana Petroleum, IHH Healthcare, Sime Darby, Telekom Malaysia, Bumi Armada, and UEM Land. Other leading names from Greater China, South Korea, India, Indonesia, Thailand and Australia include Shanda Games, NagaCorp, United Microelectronics, DGB Financial, Hanjin Shipping, Infosys, Wipro, Lippo Karawaci, Sansiri and Imdex.

“CIMB is Asia Pacific’s largest investment bank and brokerage today, and this event is a testament of our extended reach to both global funds and Asia Pacific corporates,” said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group.

"Asia Pacific is diverse and CIMB offers US-based fund managers local insights and perspectives which I think they find both refreshing and valuable. Having acquired the old RBS Asian equities team based in New York, our US sales force and investor base is stronger than ever and I believe that we will soon be the best US-based Asia Pacific research-sales outfit,” Nazir added.

1. Summary 
   CIMB Group Holdings Berhad (“CIMB Group”) today reported a record net profit of RM4.35 billion for Financial Year 2012 (“FY12”), representing a 7.8% year-on-year (“Y-o-Y”) growth and equivalent to net earnings per share (“EPS”) of 58.4 sen and net return on average equity (“ROE”) of 16.0%. The Group announced a second interim dividend of 18.38 sen in the form of cash or an optional Dividend Reinvestment Scheme (“DRS”). For FY12, the total dividends amounted to 23.38 sen or RM1.7 billion, translating to a dividend payout ratio of 40.0% of FY12 profits
   
   For the fourth quarter FY12 (“4Q12”) alone, the Group’s net profit of RM1.082 billion was 5.3% lower than 3Q12, and 4.5% lower compared its 4Q11 net profit of RM1.133 billion.
   
   "We delivered another set of record profits for FY12, underpinned by strong earnings growth in most of our business lines," said Dato’ Sri Nazir Razak, Group Chief Executive, CIMB Group. “I am especially pleased that this was achieved without aggressive lending growth and despite investing and undergoing substantial internal changes in line with our “CIMB 2.0” theme, to strengthen our competitive edge going forwards.”

2. CIMB Group Y-o-Y Results
   CIMB Group’s FY12 revenues were 11.3% higher Y-o-Y at RM13.495 billion. Net interest income grew by 10.6% while non-interest income expanded by 12.7% underpinned by a record year in capital market transactions and an uplift in treasury markets activity. Excluding the gain on deconsolidation of CIMB Aviva of RM250 million in 4Q11, the uplift in non-interest income was 19.8%. The Group’s profit before tax (“PBT”) was 9.1% higher at RM5.678 billion.
   
   In 2012, the Group’s regional Consumer Bank PBT expanded by 23.9% Y-o-Y to RM2.323 billion. The Malaysia & Singapore consumer operations PBT grew 17.7% Y-o-Y despite only moderate revenue growth due to provision write-backs in Malaysia and our Singapore unit reaching breakeven point. The consumer banking operations’ PBT in Indonesia expanded by 45.9% Y-o-Y from a combination of better margins and growth in assets. The Thai consumer operations have yet to break-even and posted a RM3 million loss.
   
   The Group’s regional Wholesale Banking PBT rose 23.1% Y-o-Y to RM2.868 billion largely underscored by the Treasury & Markets division and Investment Banking PBT improving by 43.8% and 18.3% respectively, in line with our best ever year in capital markets as a whole. Corporate Banking PBT was 7.0% Y-o-Y higher. Investments PBT were lower by 51.2% Y-o-Y at RM487 million due to a combination of the large gain on deconsolidation of CIMB Aviva in 2011 and initial costs related to the acquisition of selected APAC IB businesses of The Royal Bank of Scotland (“RBS”).
   
   Consumer Banking operations remain the largest contributor to Group PBT at 41% (from 36% in FY11). Treasury & Markets contribution to Group PBT jumped to 24% from 18% in FY11. Corporate Banking, Investment Banking and Investments contributed 21%, 5% and 9% respectively.
   
   CIMB Niaga’s PBT rose 31.8% Y-o-Y to IDR5,787 billion but its contribution to the Group was only 24.5% higher Y-o-Y at RM1.906 billion due to the 8.9% depreciation of Rupiah in 2012. CIMB Niaga accounted for 34% of Group PBT. CIMB Thai’s PBT rose 21.2% to THB1.668 billion and after GAAP and MFRS139 adjustments, its contribution to the Group was 61.9% higher at RM211 million, equivalent to 4% of Group PBT. CIMB Singapore’s PBT rose 73.3% to RM156 million increasing its share of Group PBT to 3%. Total non-Malaysian PBT increased to 41% in FY12 from 36% in FY11.
   
   The Group’s total gross loans and credit expanded 9.8% (excluding the declining bad bank loan book) and 11.8% Y-o-Y respectively. After adjusting for foreign exchange fluctuations, the Group’s total gross loans and credit increased by 12.1% and 14.1% Y-o-Y respectively. Corporate loans increased 6.4% while retail loans and commercial banking loans grew 10.1% and 15.7% respectively.
   
   Total Group deposits grew by 10.0% Y-o-Y but were 12.0% higher Y-o-Y after excluding foreign exchange fluctuations. This was driven by an 8.2% expansion in retail deposits and a 11.1% growth in commercial banking deposits. Corporate and Treasury deposits were 11.6% higher Y-o-Y. Geographically, deposit growth was strongest in Singapore at 41.4% from a low base, while Malaysian deposits expanded at 7.8%. Indonesia and Thailand deposits grew 4.3% and 32.1% respectively Y-o-Y in Ringgit terms. The Group’s CASA ratio increased to 35.1% from 34.2% last year while overall net interest margin was marginally lower at 3.07% from 3.12% in FY11.
   
   The Group’s total loan impairment of RM329 million in FY12 was a 32.4% decline from the RM487 million in FY11. The Group’s total credit charge was 0.16%. The Group’s gross impairment ratio improved to 3.8% for FY12 from 5.1% as at FY11, with an allowance coverage of 82.8%. The Group’s cost to income ratio rose to 56.4% compared to 54.7% in FY11 partly as a result of new acquisitions.
   
   CIMB Bank’s risk weighted capital ratio is expected to be 16.0% while its core capital ratio is expected to be 12.8% as at 31 December 2012 (after inclusion of FY12 net profits and proposed DRS). CIMB Group’s double leverage and gearing stood at 124.1% and 26.1% respectively as at end-December 2012.