Bank Pacific ties with Bank BNI strategic

Bank Pacific ties with Bank BNI strategic

JAKARTA (JP): Bank Pacific, which is controlled by the Ibnu
Sutowo family, said yesterday that its alliance with state-owned
Bank BNI is strategic for accelerating the development of its
operations, management and human resources.

"We decided to choose Bank BNI, the largest bank in the
country, as our strategic alliance under a technical assistance
agreement," Bank Pacific's president Endang Utari Mokodompit
said.

Endang, accompanied by directors Kosasih Wikanta and Hikmat
Kartadjoemena and commissioner Sutomo Sunartadirdja, made the
explanations to correct what she referred to as
"misinterpretations" of a news release from the central bank on
Tuesday evening.

The central bank, Bank Indonesia, which owns 38.25 percent of
Bank Pacific, said it had asked Bank BNI to provide technical and
managerial assistance to Bank Pacific and Bank Yama in order to
improve their operations and management.

Endang said the management of Bank Pacific had felt the need
to form a strategic alliance for some time, in order to cope with
keener competition in the domestic and international banking
industry.

"We decided to ask for technical and managerial assistance
from Bank BNI because we think its system of operations and
management can contribute to accelerating the development of our
own system and human resources," Endang said.

Bank Pacific reported total assets of Rp 2.27 trillion
(US$1.02 billion) as of June and posted a net profit of Rp 16.14
billion in the first half of this year.

"We expect the profit to reach between Rp 38 billion and Rp 40
billion for the whole year, including earnings from non-operating
revenues," Sutomo said.

Endang said she hoped the technical assistance from Bank BNI
would speed up the improvement of Bank Pacific's system of
operations, management and human resources so that it could
implement its plan to go public. (vin)