EastWest gets PRS Aa + rating

MANILA, Philippines - Gotianun-led East West Banking Corp. obtained a PRS Aa plus rating from local credit watcher  Philippine Rating Services Corp.

The rating took into account EastWest Bank’s continuing expansion in asset and operational base, its healthy capital structure, sustained improvement in profitability, positive industry performance and outlook, and the bank’s enhanced market position.           

EastWest Bank’s expansion program involves the opening of 100 new branches this year to bring its total network including that of its rural bank subsidiaries to 400 by the first quarter of 2014.

The aggressive expansion is in line with the bank’s goal to attract more clients for its loan portfolio and deposits build-up.

The bank ended the first half with a total of 268 branches with the opening of 24 new outlets.

Adding the combined 47 branches of Green Bank, Inc. (GBI) and Finman Rural Bank, Inc. (FRBI), the group’s branch network totaled 316 as of June this year.

Loans and receivables grew to P80.7 billion in the first half, accounting for 61.6 percent of the bank’s total resources as of the same period. Total deposits jumped by 50 percent to P101.5 billion.

Despite the increase in risk-weighted assets, the bank’s capital adequacy ratio remained more than adequate at 16.8 percent as of the end of the first semester.