The executive management of the BCR aims to increase the return on equity (ROE) from 19.3% to more than 22% in 2007, now that it is focusing on retail operations and the overall lending has increased.

For 2007, BCR (Banca Comerciala Romana) management targets a "solid" increase in the volume of assets based on lending operations and intends to reach a ROE put at more than 22%. BCR also intends to cut the cost/revenues ratio despite the expenses made to support development and restructuring processes. These targets are in line with the bank's executive committee report, which will be presented on April 23 at the general meeting of shareholders.

Last year the BCR reported a ROE (provisions deducted) of 19.3%, while the return on assets (ROA) stood at 2%. At the same time the cost/revenues ratio amounted to 49.1% (financial risk expenses deducted).

According to a report signed by Andreas Treichl, the BCR will focus on the stronger development of its retail activities in 2007.

The strengthening of the distribution infrastructure remains a major objective for the BCR, in particular through promoting alternative channels for daily transactions.

In 2006, the volume of consumer loans included in BCR's portfolio increased by 70.5%, while loans granted on cards tripled from figures reported in 2005.

However, this was not sufficient given the tightening competition that generated lower prices on the market.

As regards the BCR's plans for the corporate services segment, the bank will focus on increased lending to SMEs and to real estate developers in 2007. Additionally the bank intends to "refine" the range of financial instruments offered to the private banking and major corporations segments.

In the management's report, the Supervisory Board noted that BCR's net income advanced by "only" 5.5% in 2006 (year on year) to 783 mil