Mochtar appointed as new chairman of Lippo Bank
JAKARTA (JP): Shareholders of publicly listed Lippo Bank approved yesterday Mochtar Riady's appointment as chairman replacing Rudi Bachrie.
Mochtar, who had been the bank's vice president commissioner, said Lippo bank would look after shareholders' interests by streamlining itself.
"This is aimed at managing expenses, maintaining the quality of assets and harnessing technology to enhance competitiveness." said Mochtar, also chairman of the widely diversified Lippo Group.
Lippo Bank's president, Markus Permadi, said the bank's record-breaking performance was consistent from year to year.
The bank, which had a Rp 16.5 billion net profit in 1996, had a net profit of Rp 39.6 billion (US$16.50 million) in the first quarter of this year, up from Rp 27.46 billion in the corresponding period last year.
The bank had a pretax profit of Rp 56.6 billion in the first quarter this year, up from Rp 38.6 billion in the corresponding period last year.
It's operating income surged 51 percent to Rp 60.8 billion from Rp 40.20 billion.
The bank's total assets were worth Rp 10.7 trillion (US$4.45 billion) on March 31, up 42.9 percent on Rp 7.5 trillion a year earlier.
The bank said its loan portfolio had risen from Rp 6 trillion to Rp 7.6 trillion with mobilized funds worth Rp 9.2 trillion in the first quarter, up from Rp 6.6 trillion in the first quarter of 1996.
"It is clear that we are on the right path to achieving our strategic goal to become one of the strongest banks in Indonesia," Markus said.
Lippo Bank, established in 1948, is one of the country's oldest commercial banks with 307 branches in 104 Indonesian cities.
The bank has a wide range of retail, commercial, consumer, international and investment banking products. And has a share in domestic joint venture banks and financial institutions with foreign partners, including Banque National de Paris, Tokai Bank, Daiwa Bank, Bankers Trust and GMAC Finance.
Lippo Bank, a Lippo Group subsidiary, wholly owns merchant banks in Sydney, Bangkok, Kuala Lumpur, Hanoi and Ho Chi Minh City. (09)