NEWS

CUSTOMERS CELEBRATE UNION BANK MONEYGRAM PRIZES

It was sheer demonstration of joy and happiness as winners of Union Bank Moneygram raffle draws were presented with attractive prizes, including cars, motorcycles and generators at colourful ceremonies held in Lagos.

The two separate draws of the 10th Year Anniversary Promotion of Moneygram International Nigeria, which commenced in November 2007 and ended in February 2008, saw the emergence of 12 winners in all. Two of the lucky customers won brand new cars, five won brand new motorcycles and five won brand new generators.

Mrs. Esther Ogunbiyi and Mr. Charles Chukwuma could not contain their joy when they were presented with their car keys. They were visibly excited and short of words. An elated Mrs. Ogunbiyi said, “I did not believe it. It was not until I received the letter inviting me to this ceremony that the winning was real”. “I am so grateful to God for this kindness and I thank Union Bank as well as Moneygram for changing my life positively”, Mr. Chukwuma said

Similarly, Messrs. Vincent Udosen, Tunde Odelana and Kelly Ogieriakhi as well as Mrs. Edith Oyigbo and Mrs. Abisola Aderotoye were thrilled to receive keys to brand new motorcycles. They said the news came as a pleasant surprise as they least expected they could win.

Furthermore, Messrs. Hilary Okoro, Fred Itota, Lucky Dibie and Livinus Anyaigbo as well as Mrs. Folakemi Nathan Akinlami, all winners of brand new generators, expressed their appreciation for the prizes and praised Union Bank for living up to expectation.

Executive Director (Corporate and International Banking), Mr Austin Obigwe, used the occasion of the draws to re-affirm Union Bank’s commitment to all Nigerians in the Diaspora of efficient and prompt delivery of funds sent through Moneygram in the Bank.

He stated that with over 400 branches nationwide, the Bank had all it took to deliver the money transfer service to its customers and prospective ones, stressing that it also had the widest reach to rural areas, where dependents reside.

Mrs. Joke Giwa, Moneygram Country Director, Nigeria, said that the promotion was a friendly way of rewarding deserving customers for their continued patronage. She also thanked the agent banks for their support.

BARTH EBONG FOUNDATION ENDOWS PROFESSORIAL CHAIR

Dr Barth Ebong Foundation has endowed a N10 million Professorial Chair in Accounting at University of Uyo, Uyo, Akwa Ibom State. It also instituted N150, 000 each as annual prizes to the Best and Second Best Graduating Students in Accounting at the University.

The endowment and prizes would be in perpetuity and would be managed by Union Trustees Limited, a subsidiary of Union Bank of Nigeria PLC. The Bank would also be considering the University’s request on capital project.

The Bank’s Group Managing Director/Chief Executive, Dr. Barth Ebong, made the announcements during the recent convocation ceremony of the University, following his conferment with the degree of Doctor of Science (Honorary Causa).

In conferring the honour on him, the University authorities described him as a prime example of his colleagues of an astute, committed, honest and self-effacing leader of men, adding “Dr. Barth Ebong is a great man and the history of the banking industry in Nigeria cannot be written without a prominent chapter being devoted to his immense contributions”.

The University also noted that “his phenomenal rise and ascendancy to the leadership of a bank such as Union Bank presented to Nigerian youths, hope for a brighter tomorrow in spite of he incongruities of Nigeria’s political arena”.

Also, Dr. Barth Ebong, used the opportunity of the reception organized in his honour later to restate Union Bank’s commitment to efficient and satisfactory customer service delivery, at all times, saying efforts aimed at repositioning the Bank and making it a clear leader in the industry were ongoing.

He stated that the honorary doctorate degrees conferred on him so far by two tertiary institutions in the country was an eloquent testimony that Union Bank was doing its utmost not only to assist grow the national economy, but also to improve the society, at large.

He stressed that though the University of Uyo thought it fit to honour him, the recognition was, indeed, for the entire management and staff of the Bank who work with him “to get Union Bank to remain big, strong, reliable and are still working very hard to make sure that it grows from being a good bank to a great bank”.

Dr Ebong also dedicated the award to the Bank’s teeming customers, saying they have assisted him in no small measure “to succeed to the level for which I have been recognized, on behalf, of the other workers of Union Bank of Nigeria PLC”, and prayed that God continues to give the customers the grace, energy and enablement to continue to give the Bank unflinching support.

The Bank boss further attributed his achievements and successes in life to the very strong support he had continued to receive from his family, and advised the staff, customers and shareholders to continue to work hard “not as if you do it to Bartholomew Ebong, but as you are doing it to God and in so wise He will reward you abundantly”.

In his remarks, former Chairman of the Bank, Elder Kalu Uke Kalu, who presided over the occasion, appreciated God for His goodness to Dr Ebong and his wife, and prayed that the goodness would overflow and positively affect and impact the Bank and ensure more benefits to the shareholders.

Many eminent personalities, including some members of the National Assembly, former members of the Akwa Ibom State Executive Council, Serving and retired Executive Directors as well as other members of General Management of the Bank and heads of the Bank’s subsidiaries, among others, attended the reception held at Le Meridien Ibom Hotel and Golf Resort, Uyo.

UNION BANK BRINGS UNIQUE PRODUCTS/SERVICES TO KADUNA FAIR

Union Bank of Nigeria PLC is bringing a handful of unique consumer financial products and style of services to this year’s Kaduna International Trade Fair to satisfy the yearnings and further create value for its teeming customers and prospective ones.

The products, which are technologically driven, include Union Ever – savings/current accounts based products; Union Life Time Accounts; Union Plus – consumer credit finance loan products; and Union Galaxy –the electronic banking package. In these categories are bouquet of products, specifically developed to satisfy the yearnings of the different customer segments such as Money Line (Cashmaster), Importers Express Account, Distributor Commodity Link Account, Union Elite Account and Association Account (U-Trade).

The products have value-added features and benefits such as greater account flexibility, higher interest rate yields, portfolio management services, insurance covers for account holders, bonus interest, concessionary rates for commission on turnover and direct linkage of deposits with loans, among others.

Other services available include on-line real time banking services, telephone banking, current/savings accounts, Moneygram international money transfer, leasing, trade/commerce as well as products of the Bank’s subsidiaries. Customers and visitors to the Bank’s stand would be provided with Automated Teller Machine (ATM) to enable them transact necessary banking services such as cash withdrawals, account inquiries, e.t.c.

The Bank is offering professional advice to investors on its agricultural and SME financing schemes, which has placed it as Nigeria’s Best Agricultural Support Bank since inception of the award by the Central Bank of Nigeria (CBN), and the Best SME Financing Bank according to CBN’s latest rating. In addition, they would receive business advice on imports/exports, oil and gas, solid minerals and foreign exchange transactions

UNION BANK REASSURES INTERNATIONAL COMMUNITY

The management of Union Bank of Nigeria Plc has enjoined members of the European community, especially in the United Kingdom, to see the Bank as their development partner and take advantage of its strength and presence in London to grow their businesses.

Addressing dignitaries and high net worth customers at a dinner hosted for the London business community to mark the Bank's annual board meeting, the Group Managing Director/Chief Executive of the Bank, Dr. Barth Ebong, reiterated the Bank's avowed commitment to offering quality service expected of the best global practices.

He stressed that Union Bank had the capacity of offer cutting edge services based on its financial strength, pedigree and professionalism, adding that the Bank was known for rewarding its shareholders with good returns on their investment.

He enthused that within the context of global best practices, the Bank had taken the industry to a higher level with state-of-the-art technology, products and human capital. "The Bank prides itself as a centre of ethical conduct and professionalism in the banking industry, a feat that has sustained it since inception close to a century ago", Dr. Ebong stated.

Chairman of Union Bank UK Plc, Dr. Godwin Oboh, acknowledged the support of the London community in the development of the Bank since its establishment and urged the customers and potential ones to take advantage of the Bank's electronic services to transact business within the comfort of their offices and homes. He assured that the Bank would not only offer products that would promote its customers' interests in a seamless manner, but would also continue to improve on its processes and information technology to deliver superior and competitive service to them.

Attesting to the ethical standard of the Bank, Nigeria's Acting High Commissioner to the United Kingdom, Ambassador Dozie Nwanna, OON, said there was hardly any bank in Nigeria with the kind of records of professionalism, integrity, strength, stable board and management like Union Bank. He paid glowing tribute to the Bank's leadership and achievements over the years, with the hope that these would be sustained and enhanced within the global challenges.

Many customers spoke in the similar vein urging the Bank to reinvigorate its service delivery platforms within the context of global challenges.

UNION BANK SIGNS US$150M LOAN AGREEMENT WITH MERRILL LYNCH INTERANTIONAL

Union Bank of Nigeria PLC has signed a one-year US$150m, Naira-linked Bilateral Loan Agreement with Merrill Lynch International. The Agreement is the first-ever international debt raising by the Bank and the first offshore debt raising by any Nigerian bank since the credit turmoil in the international markets.

Speaking on the Agreement, Union Bank Group Managing Director/Chief Executive, Dr. Barth Ebong expressed his excitement, reflecting on the solidity of the Bank within the framework of the reputation of Merrill Lynch International as the Sole Arranger and Lender. He emphasised that the Bank had equipped itself to face the challenges posed by global expectations, adding that the Agreement would further propel the Bank to play its leadership role.

“We believe that being the first Nigerian and Sub-Saharan bank to successfully re-open the international credit markets for Sub-Saharan Africa after the recent credit volatility reflects Union Bank’s leading market position both in Nigeria and in Africa, with a remarkable list of achievements and sustainable developments over the decades. This deal is a great success that will contribute further to the successful development of our business and competitive positioning”, Dr. Ebong said.

Giving an insight into the reasons behind the Agreement, Merrill Lynch Head of Sub-Saharan Africa, Global Markets, Mr. Alex Von Sponeck said that “the Union Bank name was very positively received internationally, and we are happy to have arranged this deal for Union Bank, its debut foray into the international markets, while at the same time demonstrating that the Nigerian banking sector is relatively resilient to international credit market volatility.”

Union Bank is among the five largest banks in Nigeria in terms of assets and market capitalisation. It had a market capitalisation of N415bn and assets of N517bn as at March 31, 2006. It has a highly diversified shareholder structure with over 490,000 shareholders. In partnership with BlackRock, where Merrill Lynch owns substantial interests, it is among the 14 banks selected by the Central Bank of Nigeria to manage a portion of Nigeria’s foreign reserves. Fitch International Rating Agency had rated the Bank with B+ (long term foreign currency) and A+ (long term local currency) for 2005/2006 financial year.

Merrill Lynch is one of the world's leading wealth management, capital markets and advisory companies with offices in 36 countries and territories and total client assets of approximately $1.5 trillion. As an investment bank, it is a leading global trader and underwriter of securities and derivatives across a broad range of asset classes and serves as a strategic advisor to corporations, governments, institutions and individuals worldwide. Merrill Lynch owns just under half of BlackRock, one of the world’s largest publicly traded investment management companies with approximately $1 trillion in assets under management.

SHAREHOLDERS APPROVE UNION BANK'S PLAN TO RAISE ADDITIONAL CAPITAL

Union Bank's shareholders approved the Bank's plan to raise additional capital as well as proposal to write off the goodwill of N15,721,202,896 arising from the acquisition of Universal Trust Bank Plc, Broad Bank of Nigeria Limited and Union Merchant Bank Limited from the N71,069,554,424 in the Share Premium Account. In addition, the Bank got the nod of its shareholders to increase its authorised share capital from N7,500,00,000 to N10,000,000,000 subject to ratification by regulatory authorities.

UNION BANK RAISES CAPITAL BASE

Union Bank of Nigeria PLC has concluded arrangements for an Extra-Ordinary General Meeting to seek shareholders approval to raise additional capital through a placing process from strategic investors with multinational banking experience.

The meeting, scheduled for Thursday, September 27, 2007 at the Royal Tropicana Hotel, Kano, would enable the Bank to seek the shareholders’ approval to take all necessary steps in pursuance of the process, subject to regulatory and statutory requirements to increase its authorized share capital from N7,500,000,000 to N10,000,000,000.

Furthermore, the shareholders’ consent would be sought by the directors to write off the goodwill of N15,721,202,896 arising from the acquisition of Universal Trust Bank PLC, Broad Bank of Nigeria Limited and Union Merchant Bank Limited from the N71,069,554,424 in the Share Premium Account and to utilize part of the Share Premium Account in writing off the outstanding goodwill as provided by Companies and Allied Matters Act 1990.

The Group Managing Director/Chief Executive of the Bank, Dr. Barth Ebong, stressed that the measures were part of the Bank’s strategic efforts towards further positioning it for the unfolding domestic and global challenges of today’s banking as well as consolidate its leadership position in the industry.

With a cumulative shareholders’ fund of over N100.50 billion, Union Bank remains one of the most capitalized banks in Nigeria, following the success of its last recapitalisation drive which raked in over N55 billion from its rights issue and public offer respectively, above its initial target of N40 billion.

Union Bank has also been listed among the Top 1000 World Banks for 2007 by The Banker magazine of the Financial Times Group. In its recently released yearly global banking rating for 2007, the Bank achieved an international ranking of 502 and a country ranking of 2 in Nigeria.

Also recently, Fitch Ratings, a foremost international rating and research agency, assigned the Bank National Long and Short-term ratings of ‘A+ (nga)’ and ‘F1’, respectively, as well as Issuer Default Rating (“IDR”) ‘B+’ with a stable outlook.

The recognitions are coming on the heels of 2000, 2001, 2002 and 2004 The Bank as well as 2006 Euromoney Awards for Excellence as the Best Bank in Nigeria.

FITCH RATES UNION BANK HIGHER

Fitch Global Ratings, a foremost international rating Agency, has assigned Union Bank of Nigeria PLC National Long and Short-term Ratings of ‘A+(nga)’ and ‘F1(nga)’ respectively, as well as Issuer Default Rating (“IDR”) ‘B+’ with a stable outlook.

The Agency explained that the “F1” rating indicates Union Bank’s “strongest capacity for timely payment of financial commitments”.

The report stated that IDR, short-term, national and support ratings reflect the probability of support for Union Bank in case of need from the Nigerian authorities. It said Union Bank’s well-established domestic franchise would mean a high level of willingness to support but the propensity was limited by the ‘BB-IDR’ assigned to Nigeria.

Fitch noted that the Bank would report robust earnings growth during the 2007 financial year, owing to the continued improvement in economic activities and buoyant credit demand. It said that improved depositor confidence caused the Bank’s total deposits to rise by 21 per cent year-on-year to N411.5 billion during the 2006 financial year, while it considers market risk to be low and liquidity levels adequate.

The Agency also acknowledged that Union Bank’s initiatives to improve its Information and Communication Technology (ICT) as well as risk and control structures would help to alleviate operational risk pressures.

It further noted that Union Bank is a Nigerian-listed universal bank, established 90 years ago with an extensive branch network through which it extends universal banking services and is one of the four largest banks in Nigeria in terms of assets, with a strong banking franchise.

Union Bank has overtime developed into the largest financial supermarket in the country, with viable subsidiaries, specializing in mortgages, insurance, trusteeship, stockbroking, property development/management and share registration. Each of these subsidiaries is a leader in its relevant sub-sector and contributing substantially to the Group’s gross earnings.

UNION BANK SUPPORTS ENUGU STATE HOUSING SCHEME

The management of Union Bank of Nigeria PLC has pledged to support Enugu State in the area of mass housing development with the setting aside of between N3 to N5 billion for utilization by the state government.

The Bank’s Group Managing Director/Chief Executive, Dr. Barth Ebong, disclosed this during a courtesy call on the State Governor, His Excellency, Mr. Sullivan Chime, at the Government House, Enugu, to formally congratulate him on his election and identify areas of possible business collaboration with the State.

Dr. Ebong said the Bank had established Real Estate Security Trust Fund for housing through its subsidiary, Union Homes Savings and Loans Plc, and called on the State Government to set up a team to work out modalities to benefit from the financial services available in the Union Bank Group.

He also described Union Bank’s contribution to the socio-economic development of Nigeria in its 90 years of existence as immeasurable, saying the Bank would establish more branches in Enugu State to enhance banking services and stir the potential economic growth at the grassroots.

Governor Chime, in his response, appreciated the support and co-operation extended to the State over the years and assured that the State Government would not hesitate to do business with the Bank.

While expressing interest in the Bank’s programme for housing development, he stated that a team would be constituted to firm up discussions on areas of partnership with the Bank.

UNION BANK BOSS ADVOCATES BANKS/EDUCATIONAL INSTITUTIONS PARTNERSHIP

The need for strategic alliance and partnership between tertiary institutions and banks in the country to revive the education sector and ensure that it contributes meaningfully to the process of economic growth and development has been stressed.

The Group Managing Director/Chief Executive of Union Bank of Nigeria PLC, Dr. Barth Ebong, made the assertion while speaking on The Role of Banks in Educational Reforms in the 21st Century Nigeria at a Roundtable on Bridging and Strengthening New Partnerships Universities and the Private Sector in Ibadan, Oyo State.

Dr. Ebong noted that the partnership could be in the area of developing a functional and work-related curriculum through collaboration to draw up and periodically review existing curricula towards ensuring that graduates of the educational system acquire requisite skills and competencies.

Another form that such partnership could take, he said, was through staff exchange programme. “This would involve an arrangement whereby academics are provided opportunities to work in banks and vice versa”, he explained.

He also stressed the need to encourage institutions of learning to liaise with the banks to obtain mortgage finance towards building students’ hostels and staff quarters to ameliorate the problem of shortage of accommodation, both for students and staff, facing the institutions, especially at the tertiary level.

Dr Ebong noted that a number of publishing companies had benefited from credit facilities by banks, saying this had assisted to improve the supply of textbooks and journals, which were currently in short supply in the country. “When our publishing companies are well equipped, they will be in a position to publish the research and intellectual works of our academics, which will go a long way to boosting scholarship in the country”, he stated.

He also stated that Nigerian banks had lived up to expectation of investing part of their profit to promote the growth, development and sustainability of the education sector in line with the principle of corporate social responsibility. Such include the endowment of professorial chairs in the universities as well as donation of physical infrastructure like hostels, lecture halls and administrative blocks.

Others are the building/equipping information and communication technology centres in tertiary institutions, promotion of scholarship by sponsoring conferences, essay competitions and awards of scholarship as well as extension of credit facilities to proprietors of schools at different levels of the education system to finance infrastructure development in the schools.

Dr. Ebong commended the initiative by the Federal Government to reform the education sector and put it on a pedestal that would allow the Nigerian economy to compete effectively in the global arena. He said the reform was inevitable, if the lost glory of the sector was to be restored, adding that, as financial intermediaries, banks had an important role to play in facilitating the success of the reforms.

UNION BANK PLEDGES SUPPORT TO NATIONAL ASSEMBLY

The Group Managing Director/Chief Executive of Union Bank of Nigeria PLC, Dr. Barth Ebong, has expressed the Bank’s readiness to partner with members of the National Assembly in assisting them, even beyond their current pressing challenges.

Dr. Ebong made the pledge in Abuja during a courtesy call on the Senate President, Senator David Mark, in his office recently.

He reiterated that, as one of the foremost financial institutions in the country, Union Bank’s focus was to continue to contribute significantly to the growth of the national economy and ensure improved life for the citizenry.

To this end, he said, Union Bank had introduced agricultural and SME financing schemes as well as developed new products for all categories of its teeming customers and prospective ones, urging the federal legislators to also take advantage of the Bank’s products and services.

While expressing optimism that his wealth of experience will impact positively on the performance of his current assignment as senate president, Dr. Ebong assured Senator Mark that the Bank would continue to identify with the upper house in the fight against poverty in the country.

Responding, the Senate President commended the Bank’s Management for finding the time to felicitate with him on his election. He assured that the Senate, under his leadership, would have a robust partnership with the Bank and other stakeholders in moving the country forward.

UNION BANK SIGNS ON CONSORTIUM FOR E-PAYMENT SOLUTIONS

Union Bank of Nigeria PLC has signed on a consortium, with the world-renowned electronic banking guru and co-inventor of Automated Teller Machine (ATM), Mr. Jack Chang, as lead consultant. This will enable it to play a leadership role in the transformation of electronic banking in Africa.

The Group Managing Director/Chief Executive, Dr. Barth Ebong, who signed the services agreement, on behalf of Union Bank, noted that the Bank was very pleased to partner with members of the consortium to satisfy the yearnings of its customers, locally and internationally

He said the product would ensure that Nigerians continue to enjoy unhindered access to integrated quality financial services by the Bank, both at home and abroad, and also, complement the 21 new products recently launched into the market and specifically developed to meet expectations and needs of the customers and potential ones.

Dr. Ebong stressed that the Bank was still the best bank to bank on and remained the most capitalised in the country. He was excited that customers would enjoy a product that will integrate them into the world financial community.

In his remarks, Mr. Ravi Sundaram, Managing Director of ElectraCard Services Limited and a member of the consortium, said the importance of the project was to get the Bank into the most modern electronic banking in the world, which will position it to play a leadership role in the emerging new payment initiative.

The scheme, he also stated would enable the Bank to issue debit cards to people residing within and outside the country as well as develop a system that facilitates retail spending and infusion of money into Nigeria for economic development.