We have 13 years of successful experience in the banking industry.
Both human life and organization's evolution have their events, milestones, stages. But unlike an individual who can exist for the sake of himself, the bank works and lives first and foremost for its customers.
The JSB "Pivdennyi" history is inseparably connected to the activity of its shareholders, customers, partners, as well as with South region of Ukraine and its inhabitants, with fates of notabilities and less famous people of our country. When reading this article You also make your contribution to bank's development. We write "Pivdenny" bank's history together!
The official date of bank's establishment is the 3-rd of December 1993 when the licence of the National Bank of Ukraine to perform banking activity was obtained.
History of the Bank could be divided into two stages:
- From the date of establishment till 1999
- From 2000 till the present moment
Two events became "watershed" between these stages – turning over the operation of Bank's Head Office in Sabanskiy lane and change of top management.
1993
The bank's birth took place on 1993 Frantsuzsky Blvd 10 in Odessa. A small but extraordinary bank came into the world.
At that time we had some advantages that permitted Pivdennyi Bank to achieve actual results. Our principal wealth was people – solidary creative team of professionals. This ensured the precise office work organization since first weeks. Other important advantage of the Bank became the orientation at the consumers' market and not of the sellers one. The expression "Customer is always right" was not mere words for us but principle of our work from the very outset of our activity. The important factor of success was also the ambitious attempt to transform the Bank into a powerful institution with considerable branch network. The common efforts of shareholders, customers and Bank officers during ten years hastened the coming of this moment.
1994
In 1994 Pivdennyi developed noticeably. Lending became its main activity. The Bank rendered loans according to all the regulations but without prejudication and surplus consideration. That was noted and appreciated by our customers. The primordial precepts of our credit policy were openness, individual approach to each customer, orientation at maximum satisfaction of customers' credit requirements.
At the end of the year Yu.A. Rodin became the head of the Council of shareholders. This talented mathematician, pragmatic financier and brilliant businessman not only unifed a team of professionals but inculcated them the spirit of creation and aspiration for victory.
1995-1996
In 1995-1996 the development and the growth went on – the assets increased by more than 6 times and the profit – more than 11 times. The automation of banking activities went on at full speed. Up-to-date technologies improving the volume and quality of the work were implemented. An electronic payment system Bank-Client was introduced and this allowed customers to manage their accounts from any place of Odessa and Odessa Region without leaving the office.
At the same period Pivdennyi penetrated into the stock market. Owing to successful transactions with securities the Bank was noticed. The bank became one of the leading operator of state bonds for internal debt and actively participated in the market of corporate securities, acted as a broker for its customers.
The expansion of Bank's clientele and business reputation of the Bank contributed to the active work of two first branches – in Odessa and Ilyichevsk. The bank ranked 6th among commercial banks of Ukraine in terms of the assets growth. Pivdennyi Bank established direct correspondent relationship with A-class foreign banks. The team of experts consisted of 120 employees.
1997
1997 was marked by Bank's entry to the 1st position within Ukraine in terms of the dynamics of capital growth. The JSB Pivdennyi was first bank in South region of Ukraine, who became a member of World-wide organization of Interbank Financial Communications S.W.I.F.T. that allows prompt and safe servicing of customers' international transactions in compliance with world standards.
In august 1997 the JSB Pivdennyi became a member of Ukrainian Interbank Currency Stock Exchange. As the year drew to a close the Bank became an associate member of international payment system EUROPAY INTERNATIONAL and official dealer of the "THOMAS COOK" company.
The aggressive policy of JSB Pivdennyi in the market of state bonds contributed to the entry of the Bank into the list of top ten most active operators of this market. Concurrently the Bank enhanced its framework on the stock market, including corporate securities, obtained a permission of shareholders' register keeping for open joint stock companies, became the participant of "Interregional Stock Union" and a full member of Professional Association of Register and Custodians.
Highly skilled management, advanced technologies innovation and stable growth facilitated the Joint Stock Bank's "Pivdennyi" to come out on the top and become the "pilot" bank in the project of TACIS and "PriceWaterhouseCoopers" on implementation of international accountancy's standards in Ukrainian banks.
1998
The year 1998 was marked by a sharp crisis of financial activity both in Russia and, as a consequence, in Ukraine. Plenty of companies, including banks went bankrupt. However, "Pivdennyi" Bank held out. The thorough analysis prevented us from handling the state bonds and bought us to change the assets structure in favour of bill of exchange transactions. The bank started the issue of own bills of exchange, bought other bank's and companies' bills of exchange and offered to its customers crediting through bills of exchange acceptance. The interest from loans constituted 50% of total income. 98% of total loan portfolio was loans within one year. Hence, neither bank's customers nor bank's work suffered under the crisis, whereas the bank's activity improved.
In July 1998 a new buildings complex of the bank's central office in historical centre of Odessa city – Sabanskiy lane was presented. The remarkable difference of the new office complex was in re-creation of the 19-th century building exterior destroyed during the World War II, combined with ultra-modern interior, autonomous engineering and technical systems, up-to-date banking equipment.
The end of the year was marked by the issue of own payment cards in International payment system EUROPAY INTERNATIONAL and by the start of cooperation with the auditors company "PriceWaterhouseCoopers". Pivdennyi Bank's great pride was the number of officers that exceeded 250 persons.
1999
In 1999 the Bank held out against the economic crisis and furthermore strengthened its position in the banking market. In compliance with the National Bank's of Ukraine criteria JSB "Pivdennyi" was listed among the first group of financial-stable banks and held a firm position among the top 20 banks of Ukraine.
Our customers estimated at its true worth the activity of the Bank. As a result, the total volume of the funds attracted within the year increased by 5 times: turnover of corporate deposits increases by 4 times, retail deposits – by 3 times, customers accounts' turnover – by 6 times.
The effective growth of "Pivdennyi" necessitated the Bank to create a branch network all over Ukraine. The branches in Kiev and Krivoy Rog began an intensive activity. The Bank's portfolio increased by 3 times, turnover with bills of exchange transactions – by 30 times.
Reuters-Dealing system was put into operation in order to increase the efficiency of transactions. The Bank exchanged telecommunication keys with more than 200 banks all over the world.
As the year drew to a close the Shareholders' Meeting elected a new Chairman of the Board whose candidacy was approved by the National Bank of Ukraine. Vadim V. Morokhovskiy being an energetic, young but nevertheless experienced businessman in banking businessman, introduced many innovations into activity of Pivdennyi Bank.
2000
In 2000 management structure of Pivdennyi Bank suffered qualitative modifications. Taking into account customers requirements PIVDENNYI Bank introduced a number of new services. The loan portfolio of Pivdennyi Bank increased by more than 3,5 times over the year. The monthly volume of the loans rendered amounted to UAH 300 MIO.
The branch network continued its further expansion. The branch of the JSB "Pivdennyi" in Dnepropetrovsk started an intensive activity. By the end of the year 2000 branches made 20% of banks' clientele and 40% of bank's loan portfolio.
As an active participant of the Ukrainian stock market the JSB "Pivdennyi" became a member of the Council of the First Stock Trade System, the largest Stock Exchange in Ukraine. JSB "Pivdennyi" is the first commercial bank of Ukraine to issue own bonds. The most significant fact is that owing to the bank's spotless reputation and convenient terms of repayment three series of first issue were completely placed in less than a week.
According to the strategic development policy, the Bank was focused on retail banking: the individuals' accounts balances increased by 8 times over the year and the number of the Bank's staff exceeded 550 persons.
2001
As a result of previous years' coordinated and fruitful activity the year 2001 was marked by "Pivdennyi" entry into a new development level. Bank's business, events and highlights were vivid proofs of that fact. According to the rating of the Association of the Ukrainian Banks, "Pivdennyi" ranked 14th with respect to assets volume.
Loan-investment portfolio of the Bank keeps on growing, the share of long-term loans considerably increased. Four new branches were opened – in Yalta, Zaporozhie, Nikolayev and Kherson. By the end of the year 2001 the share of the branches in Bank's total assets amounted to 33%.
The JSB "Pivdenhnyi" is one of the first banks acting as an underwriter for a number of its customers in securities transactions. The JSB "Pivdennyi" became an associated member of the company "VISA International". The total number of payment cards issued increased by 4 times over the year.
There was introduced a new e-bank system rendering to the customers a remote access to their accounts with JSB "Pivdennyi" via Internet, telephone and mobile connection. The number of JSB "Pivdennyi" employees exceeded 650 persons.
2002
First six months of the year 2002 the Bank strengthened and developed its success in the financial market, put new targets and accomplished new tasks. According to the rating of the Association of the Ukrainian banks, the JSB "Pivdennyi" ranked 12th with respect to net assets and 11th with respect to credit-investment portfolio. The number of corporate deposits provided the Bank with 7th position.
In order to achieve strategic goals fixed in the budget, the policy of bank's global financial security became toughen, the risk management system was revised, the interregional flows' management was optimized, administrative division of corporate and retail banking took place, the products' range considerably enhanced as well as the prices decreased.
As a result of these measures "Pivdennyi" Bank became an institution combining the characteristics as follows:
- European quality of service
- Competitive, on the scale of Ukraine, proposals
- The highest level of stability
2003
At the beginning of the year 2003 total net assets exceeded UAH one billion. JSB "Pivdennyi" strengthened its position among the largest private banks of Ukraine owing to the assets growth, elaboration of actual financial services, bank's policy on convenient and advantageous rendering of banking products.
For the personal contribution to Ukrainian economy development and integration process supporting JSB "Pivdennyi" was awarded a diploma and the Bank became a winner of International contest "Gold Trade Marks – 2003".
In conformity with branch network development policy JSB "Pivdennyi" opened 10 representative offices throughout Ukraine. The reputation of the Bank as a reliable business partner allows the Bank to support customer operations all over the world, participate in international project finance and feel comfortable in the western financial markets.
Hence, we are 10 years old – it is not of great significance on a scale of the centuries-old history of Ukraine on a scale of human life it is a milestone while for the Bank who started from nothing and became one of the largest and most respectable banking institution of the country under the post-soviet period – this is an enormous distance allowing not only to reckon up but to say with certainty that it is but a beginning of a long and glorious development history of "Pivdennyi" bank – suitable and available for any customer, independently of his wealth, legal status and location.
2004
Analysis of fiscal year 2004's effort proved to be the best in the Banks history. January 1st, 2005 showed total Bank Assets of UAH 1,6 billion. Shareholders capital exceeded UAH 165 million and customers' accounts exceeded UAH 1 billion. The expert Mission of International Organization on Development of Financial Measures to fight money-laundering chose PIVDENNYI Bank to conduct examinations of the financial system of Ukraine. PIVDENNYI Bank played a vital role in the excluding Ukraine from the International Organization on Development of Financial Measures blacklist, at the end of February 2004. Contributing to the betterment of Ukraine is part of our corporate mission. In 2004 PIVDENNYI Bank was nominated for Brand of the Year, Gold trade mark, European quality and the Best enterprise of Ukraine 2004, and Chairman of the board Vadim Morokhovskiy was acknowledged as the executive of the year. The third for the last eight years critical economic crisis at the end of 2004 in the next times showed financial fixity, stability of indexes and efficiency of bank subdivisions' program in the conditions of crisis of market liquidity.
PIVDENNYI Bank consistently is listed among the National Bank of Ukraine annual list of the Nations 20 most stable banks. Being the largest and most reliable financial institution in Southern Ukraine the bank retains the position as one of the largest private banks in Ukraine. In 2004 PIVDENNYI Bank opened 2 new branches in Kharkov and Lugansk, continuing the expansion of the branch network in Ukraine. PIVDENNYI Banks 2004 review:
- leading position in the market of banking services in the Southern Ukraine
- over 1300 highly skilled employees
- over 70 branches and divisions in all the centers of business activity in Ukraine
- over 70 000 clients, whose business, in a number of cases was built and developed by hands on professional managers and consultants of bank.
2005 In 2005, the NSR Corporation, having more than 100 years experience as a leading supplier in the field of banking, trade and information technologies solutions, awarded PIVDENNYI Bank the highest achievement Diploma.
2005
In March, 2005 Ukrainian Rating Agency and Publishing House "Galitskiye Kontrakti" as a result of the competition "Gvardia" acknowleged Vadim Morokhovskiy, PIVDENNYI Bank Chairman of the Board – the most successful top-manager of the Ukrainian economy and awarded him with a diploma "Professional confession 2005". In April, new branch of PIVDENNYI Bank was opened in Sevastopol. Active work on expansion on acquiring network, partner programs, joint projects, new products of cards and additional services allow for considerable growth in the credit card sector as well as promoting the profitability of the credit card business. The Banks good dynamics assisted in the acceptance by the common meeting of Shareholders the decision about the reinvestment of dividends of 2004 with an increase last to the level of UAH 161,500 MIO. The active voice of the Bank in the International forum of investment and innovations, annually conducted in Odessa, has effectively assisted the establishment of new business contacts and partners. Banking leaders, international investment funds companies, corporations, legal, consulting and auditing firms, all interested in investment have taken part in the Banks forums.
In July, 2005 PIVDENNYI Bank won in a competition by the Ministries of Finance of Ukraine on the selection of banks, having exclusive right of maintenance of projects of salaries of budgetary establishments, and became the authorized bank of payment of state social help. It is documented that, financial indexes, the strategy of development and the business reputation of Pivdennyi Bank, conform to all the rigid requirements of Ministry of Finance of Ukraine, this verifies stable position of the bank in the Ukrainian market. The PIVDENNYI Bank is among the leaders "TOP-100" – best companies of the financial sector of Ukraine. As determining criteria of selection, a competitive commission marked the Banks progress throughout the year, developed the branch network strategy of Ukraine and introduction of the newest types of bank services, the highest level of service and highly skilled and professional approach to each and every client. The highest level of trust has been maintained by the Bank. PIVDENNYI Bank is one of only a few bank int the Ukraine with a deposit portfolio, exceeding UAH 1 billion. In October, 2005 the net consolidated assets of bank exceeded UAH 2 billion.
Vadim Morokhovskiy, unique from all Chairmen of the Boards of commercial banks, is among the "TOP-100" of the most influential people of Ukraine in the annual rating of "Korrespondent" magazine. In the rating of one hundred most influential people of Ukraine, among which, is businessmen, politicians, cultural workers and athletes, "Correspondent" magazine presents the third year in succession taking into consideration the popularity of applicants and their influence on life of country, success and scales of the companies guided by them. In December, 2005 the rating efficiency trading marks of Ukraine "Gvardia Brendov", PIVDENNYI Bank was the recipient of an award diploma for the most effective brands of Ukraine. In December, 2005 the Bank won a bid from maintenance of payment on pensions of social financial aid. The Bank obtained license for maintenance of accounts of pensioners and socially unprotected citizens in the Odessa region, Kiev, Yalta, Sevastopol, Simferopol, Kharkov, Kherson. Dnepropetrovsk, Krivoy Rog, Nikolaev, Zaporozhie, Alushta, Alupka, Novoandreevka, Pavlograd, Khartsizsk, Vishnevoye, Lugansk and Lvov. Authorized capital of the bank is multiplied to UAH 200 MIO in December by decision of meeting of Shareholders' by the additional issue of equities.
12 years of development – that is a serious index of banking in Ukraine. Successfully overcoming the difficulties of Ukrainian banking system growth, while receiving all Ukrainian and international recognition, PIVDENNYI Bank has shown consistent development, broadening their spectrum of services for private and corporate clients, their regional network has seen steady growth, as a result. Combined with a flexible leadership policy, concise development strategy, and the most highly trained personnel, PIVDENNYI Bank today occupies their well-deserved position among the largest credit organizations in Ukraine. Reliability and impeccable reputation, efficiency and professionalism, serve as the foundation for the trust PIVDENNYI Bank partners and clients have come to expect. These are the principals which guide us.
2006
In accordance with PIVDENNYI Banks chosen development conception, in January, 2006 the new branch in Odessa was opened on Ekaterininskaya and Zhukovskogo streets. PIVDENNYI clients report many advantages. Including branch office comforts afforded to the highest European standards.
The PIVDENNYI banking experience consists of the most modern and comfortable branch offices, with a superior level of services available via our highly skilled banking professionals.
At PIVDENNYI You will enjoy a personal approach to efficiently handle all of your banking needs – Branch advantages include comfortable business hours, including weekends, for PIVDENNYI Clients.
PIVDENNYI Bank opened the first deposit ATM complex in Odessa.
This complex of self-service, the first in Odessa, which not only dispenses cash, but also accepts it, entering on a card account of the card holder on-line. Thus, for increasing the account through ATM, PIVDENNYI Bank does not charge a commission.
In March, 2006, The Ukrainian rating agency "Credit- Rating" gave to PIVDENNYI Bank a long-term credit rating of "uaBBB+" on the Ukrainian national scale. The
Banks high rating is a condition of having one of the largest volumes of assets and deposits.
This rating advantageously distinguishes PIVDENNYI Bank within the Ukrainian banking system and brings with it a very stable prognosis, forecasting stability.
In July, 2006, The International rating agency, Moody's Investors Services, gave PIVDENNYI BANK B2/NP deposit rating in foreign currency and E+ rating of financial stability. Signifying a healthy rating. The appropriated ratings reflect extraordinarily strong regional position in the bank services for corporate clients and individuals.
The strategy of diversification in bank services for individuals, throughout the history has led to balanced growth and high profitability. As well as strong capital base combined with a high amount of managed assets. Ratings are also grounded by nature of corporate management development of the bank and by methodology of risk management.
The receipt of the international agency Moody's Investors Service's rating is the next stage of Banks strategic mission, such as:
- The increasing of trust level to the bank from clients, potential investors, international financial organizations and banks;
- The recipient of an independent estimation of bank business, its financial state and prospects of development
- The possibility of borrowings at the international capital markets.
– assets were UAH 4,038 billion
– equity capital exceeded UAH 456 MIO
– customer funds exceeded UAH 2,860 billion
PIVDENNYI Bank has become the winner of banking competition for maintenance of international Swedish agency grant, guided by the Ministry of labour and social policy of Ukraine.
In August, 2006, The International Fitch Rating gives PIVDENNYI Bank a "B-" rating of issuer default and a "B" rating of short term credit. Other ratings of a bank were confirmed at followings
levels: rating of support – "5" and individual rating – "D/E".
The increase of ratings reflects the good indexes of bank credits and proceeding development of its regional client network. In addition, ratings are supported by a conservative policy in balances, acceptable level of profitability and limited risks of bank trade operations.
In 2006 Chairman of the Board, Vadim Morokhovskiy has become a new President of Odessa Chess Federation.
The Ukrainian Rating Agency and Publishing House "Galitskiye Kontrakti" as a result of competition "Gvardiya 500" has acknowledged PIVDENNYI Bank as the bank with leading positions in the financial markets of Ukraine.
The rating agency "Galitskiye Kontrakti" awarded PIVDENNYI Bank the certificate granting the Bank the right to display their logo as rating participant. 50-ty top companies of banking sector have participated in rating. By a fundamental index, influencing on awarding of rating there was a volume of assets on 1.01.2006. In opinion of rating agency this index is reflected by activity of bank establishment and shows his share at the market. It is already the second award of Ukrainian Rating Agency and Publishing House "Galitskiye Contrakti" for PIVDENNYI Bank.
Confidently confirming its status as a reliable partner while continuing dynamic development, PIVDENNYI Bank increases its network to 17 branches with 83 offices in different regions of Ukraine. Two new branches were opened in Lvov and Kirovograd, and a number of unbalanced operational offices in different cities of Ukraine.
In 2006, PIVDENNYI Bank was reorganized from a closed joint-stock company to a public corporation. 13 years of PIVDENNYI Banks history – is a fine measure of success. PIVDENNYI has exhibited the best banking traditions, lofty achievements and financial results. All of which are leading indicators of perspective growth and of the further professional development of the bank.
Nowadays, PIVDENNYI Bank offers the most modern banking services and products. Thereby retaining its traditions and enriching the corporate culture of its development. Number of highly skilled professionals exceeds 1800 people.
We help each of our clients to become more contemporarily and dynamic!
Security
