Aktia Pankki Oyj - Other information disclosed according to the rules of the Exchange

Aktia continues its process for renewal, starts codetermination negotiations and updates its outlook for 2017

Aktia Bank plc               
Stock Exchange Release
29/08/2017 at 9.15 am
  

Aktia Bank plc continues its process for renewal to lay the foundations for Aktia’s future operations with the aim to improve customer service. Codetermination negotiations are held with the staff in Aktia Bank plc and Aktia Life Insurance Ltd for production-related reasons and due to restructuring of business operations.

- The basis of our operations is in good condition, and we look ahead in our changing operating environment. Digitalisation opens new opportunities for the financial sector to enhance customer experience and improve services. With the actions we take, we strive to foresee changes. We will look into the effects of the changes on job descriptions in the future together with our staff and find ways for them to improve their competence, says Martin Backman, President & CEO of Aktia Bank.

Following the renewal, approximately 160 new job opportunities are expected to be opened, and approximately 260 of the present jobs are expected to end. The measures planned are expected to bring annual savings of about EUR 5–7 million from 2018 onwards.  This will generate one-off costs of approximately EUR 6–7 million to be booked in the third quarter of 2017.

Due to the costs for the renewal, Aktia Bank estimates its operating profit for 2017 to be EUR 10–15 million lower than in 2016.

New outlook for 2017

The operating profit for 2017 is estimated to be lower than in 2016, as the restructuring will burden the operating profit for 2017 and no larger one-time gains are expected. The comparable operating profit is expected to be on the same level as the comparable operating profit in 2016.

Previous outlook (08/08/2017)

The operating profit for 2017 is estimated to be lower than in 2016, as no larger one-time gains are expected.

 

Aktia Bank plc

 

For more information, please contact:
Martin Backman, President & CEO, tel. +358 10 247 6250

All media contacts to Malin Pettersson, Director, Communications, tel. +358 10 247 7941

Distribution:
Nasdaq Helsinki Oy
Central mass media
www.aktia.com

 

Aktia provides a broad range of products within banking, insurance and real estate agency. Aktia operates mainly in coastal areas and inland growth areas. Aktia has about 380,000 customers who are served by approximately 1,000 employees at approximately 45 branch offices and via Internet and telephone services. Aktia's shares are listed on the list of Nasdaq Helsinki Ltd. For more information about Aktia see www.aktia.com.