Result:Non-audited profit of SNORAS earned in 2003 exceeded the target by 0,3 million and made LTL 8,3 million.

Business Management:The business management was quite efficient during the reporting period: SNORAS’ ROA exceeded the estimates and made 0.70 per cent; ROE reached 4.68 per cent (cp. 0.56 and 3.72 estimated).

The bank observed all norms and standards set by the National Bank of Lithuania: as of 01.01.2004 SNORAS’ liquidity equalled 51.94 per cent (legal min. is 30 per cent), capital adequacy – 17.16 per cent (legal min. – 10 per cent) and open position – 12.04 per cent (legal max. – 25 per cent). Besides, the bank observed the requirement on the maximum exposure to one borrower and the total amount of large loans.

Clientele: Retail banking is one of the bank priorities and in this respect SNORAS aims at enlarging its customer base. Thus, during 2003 it doubled (165,2 thousand) and today exceeds 503 thousand private and corporate clients.

Network: As of 01.01.2004 the number of SNORAS ATMs was 276 and that of POS terminals reached 2159. The bank service network numbered ten branches located in all regional centres of Lithuania and 193 minibanks (19 new ones started their operation in Vilnius and in the cities of Kaunas, Klaipeda, Seduva, Rokiskes, Visaginas, Siauliai, Marijampole, Panevezys, Kaisiadorys, Trakai and Juodkrante); besides, sixteen functioning minibanks were equipped with the second work place.

Assets: At the end of December 2003 SNORAS assets totalled LTL 1,338 million (a twelve-month growth is 238,1 million or 21.6 per cent).

Deposits: During the reporting period the deposits and L/C grew by LTL 268 million (32.9 per cent) and at the end of 2003 reached LTL 1,083 million. The volume of deposits (both, time and demand) has changed as well: those of residents have grown by LTL 180,2 million and of non-residents - by LTL 87,8 million. Individual deposits grew by 33.5 per cent (LTL 185,5 million) and reached LTL 739,3 million at the end of December. Mainly it was due the increase of time deposits; as of 1 January 2004 they totalled LTL 557,5 million.

Investment & Lending: As of 31 December the credit portfolio amounted LTL 460,5 million During the year it has reduced by 21.1 per cent or LTL 85,6 million. This was mainly due to the change of the bank’s investment priorities to debt securities. At the end of the year special provisions to cover possible losses on loans made LTL 7,2 million (provisions/loans ratio was 1.6 per cent) and on other doubtful assets – LTL 5 million (ratio – 6.6 per cent).

In 2003 securities portfolio grew significantly – by 216 per cent or LTL 170,5 million, and in December totalled LTL 249,3 million, where Lithuanian G-bonds made 35 per cent, securities of Lithuanian and foreign companies – 33 per cent, foreign G-bonds – 23 per cent and debt securities of foreign banks – 9 per cent.

Payment Cards: During twelve months the number of bank cardholders exceeded 452 thousand individuals and corporate clients (where, almost 155 thousand were using local chip cards and 298 thousand – international payment cards). During the reporting period this number has doubled. The total turnover on all cards issued by the bank made LTL 1,263 billion (a 12 per cent growth; cp. 2002 – LTL 1,131 billion).

Capital: In 2003 the capital grew by LTL 8,3 million and made LTL 180,9 million. It is the third result among other Lithuanian banks.