The bank’s net earnings have been largely weighed down by the increase in loan loss reserves that amounted to 8.55 million lei (€2.02 million). However, Banca Comerciala Carpatica has reached a capital adequacy ratio of 13.37%, exceeded the statutory ratio of 8% and the limit imposed by the central bank of 10%.

For the nine months ending September 30, Banca Carpatica booked net profit of 1.48 million lei. Pre-tax profit hovered near 5.87 million lei in Jan-Sep period, versus 1.48 million lei in the same period of last year.

In an effort to contain costs, the bank is likely to reduce bonuses and freeze salaries.

Carpatica’s assets totaled 3.27 billion lei at the end of September 2009, up 43.2% from 2.3billion lei at the end of December 2008.

Total bank lending fell 2.7% in the same period of last year, to 1.3 billion lei, from 1.336 billion lei at the end of 2008. The bank’s total deposits increased by 24.5% to 2.24 billion lei, from 1.8 billion at end-2008.

Banca Carpatica’s equity stood at 271 million lei, while customer base increased by 7% compared to end-2008.