BTA Bank’s Capital Gap Widened by $473 Million Last Month

BTA Bank’s capital shortfall widened by 70.2 billion tenge ($473 million) last month, the Kazakh central bank said.

The liabilities of the lender, Kazakhstan’s biggest before it defaulted in 2009, exceeded assets by 232.6 billion tenge under international accounting standards as of Dec. 1, compared with a gap of 162.4 billion tenge a month earlier, the Almaty- based central bank’s financial oversight committee said in a monthly report on its website today.

BTA, which is seeking to restructure its debt for the second time in as many years, will begin investor meetings on Jan. 10 in Singapore, London and New York, Chairman Anvar Saidenov said in a letter to shareholders published on the bank’s website yesterday. The bank said in September it has a $150 million coupon payment due in January.

The Almaty-based lender may not make the next interest payment “due on certain of its indebtedness,” Saidenov said in the letter. “Any such payment would deteriorate the bank’s current capital and liquidity ratios even further.”

The following table shows the 11-month performance of Kazakhstan’s six largest lenders by assets, along with 12th- ranked Temirbank, and their position as of Dec. 1. The data from the oversight committee are in billions of tenge:

================================================================
Bank                 Assets     Loans    Provisions  Profit/
                             Outstanding              Loss
================================================================


Kazkommertsbank      2,525.1   2,233.0      783.8       1.08
Halyk Bank           2,160.4   1,300.5      322.0      32.83
BTA Bank             1,630.8   2,088.2    1,307.7     -23.98
Bank Centercredit    1,077.2     795.1      127.4       1.68
ATF Bank               999.6     872.9      166.5     -30.72
Alliance Bank          528.6     556.2      255.8      19.78
Temirbank              256.8     219.5      117.0       4.78
All 38 Banks        12,729.1  10,233.6    3,334.5      44.45


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To contact the reporter on this story: Nariman Gizitdinov in Almaty at ngizitdinov@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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