ZAGREBACKA BANK MAKES EUR52.28 MILLION NET PROFIT IN 2001

ZAGREB, May 7 (Hina) - Zagrebacka Bank (ZABA) had a successful year in 2001, increasing its balance by 27 percent, from 32.4 billion to 41.08 billion kuna, and making a net profit of 386.88 million kuna (EUR52.28 million). In keeping with a decision adopted by the bank's assembly on Tuesday, shareholders will be paid a dividend of EUR10.9 per share, payable in kunas from funds assigned to accumulated profits from previous years. #L# The assembly, in which 96.22 percent with the right of vote is held by UniCredito Italiano and Allianz, while 3.78 percent is held by other holders, adopted a financial report on the bank's business. A new nine-member Supervisory Board was appointed in keeping with the bank's new ownership structure. ZABA chairman of the Board Franjo Lukovic spoke about the bank's business activities in 2001. The balance of the ZABA Group, which in addition to the bank's branches in Croatia includes those in Bosnia and Herzegovina - Zagrebacka banka BH Mostar and Univerzal banka Sarajevo, reached 48 billion kuna, with a gross profit, before tax, of 603 million. The bank's gross profit amounted to 516 million kuna. Total deposits at the Group level increased by ten billion kuna to 37.3 billion, while deposits in the bank increased by 33.1 percent to 31.5 billion. The total amount of bank loans reached 16.3 billion kuna on the last day of 2001, of which 8.8 billion was to legal entities and 7.57 billion for citizens. Lukovic stressed that for the first time following a two-year stagnation, 2001 marked an increase in business with legal entities. (EUR1 = 7.4 kuna) (hina) sp sb