Osibodu earns pass mark for Union Bank


-As Fitch upgrades ratings


By Peter OBIORA investadvocate

Sept 16 2010 07.00 GMT



Lagos–Funke Osibodu Group Managing Director/ Chief Executive Officer (GMD/CEO) of Union Bank of Nigerian Plc (UBN) has earned a pass mark for the Bank in her quest to move the Bank to greater heights by earning an upgrade in ratings by world’s foremost rating Agency, Fitch Global Rating.


This was contained in a Release made available to investadvocate Wednesday September 15 2010 by Francis Barde Principal Manager Corporate Affairs of the Bank in Lagos Nigeria.



“The foremost rating Agency, Fitch Global Rating has upgraded the “Individual Rating” of Union Bank of Nigeria Plc from “F” in December 2009 to “E” in its current Nigeria credit analysis, describing the Bank’s outlook as stable with affirmed “B+” long-term IDR” the Release affirmed.



Fitch Global was quoted as affirming that the up-grade of the Individual Rating was a reflection of Nigeria’s Apex Bank’s; Central Bank of Nigeria’s (CBN) strong support and regulatory forbearance for the Bank following the challenges the Bank encountered in August  year 2009.



The foremost rating Agency had in December year 2009, issued Union Bank with a “B+” in its “Issuer Default Ratings (IDR) and Support Rating Floor, this Fitch Global further affirmed indicates the level of support the Bank would receive based on its well established domestic franchise. 



“Financial analysts explained that Fitch individual rating reflects a bank’s standalone risk and the IDR the prospect of external support” the Release said.



This is coming on the heels of the Bank’s half year Unaudited Result for the period June 30 2010 released at the Floor of the Nigerian Stock Exchange (NSE) where it recorded a profit After Tax (PAT) of N12.1 billion compared to the N3.56 billion recorded in the first quarter of this year.



To record this performance, the Osibodu led management had reviewed its Operations and Human Resources for optimal utilisation and maximum contribution thereby fulfilling the promises she made on assumption of office August year 2009 on the instance of the CBN to once again make the Bank big, strong and reliable. 






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