AGM 2020: BNG Bank supports clients where possible during corona pandemic
16 April 2020 16:00 - The Hague
'Municipalities are seeing their revenues drop and their expenditures rise. Housing associations are being faced with the question of whether tenants can still afford to pay their rent. The corona crisis is taking a massive financial toll on the healthcare sector. There is not a single client who has not been affected by the corona pandemic. Our society is in the midst of a crisis. We at BNG Bank support our clients where possible.'
'We are focusing first and foremost on taking care of each other and maintaining continuity of service. We have sufficient access to liquidity to provide loans. We are approaching clients pro-actively. We are participating in sector-wide initiatives. For instance, smaller clients can receive a six-month deferral of repayments on their outstanding loans of up to €2.5 million.'
Volatile financial markets
'The corona pandemic is impacting financial markets, which are volatile. Prices for borrowing and for hedging interest rate risks, for example, fluctuate. We have had good access to the capital market since the beginning of the crisis. However, the price we paid was higher than before the crisis. This is a phenomenon that affects all issuers equally. As a result, we have been forced to increase the rates for our clients', says Gita Salden.
Jan van Rutte and Johan Conijn reappointed to Supervisory Board
In accordance with the [NOT FOUND] Supervisory Board's nomination, the AGM reappointed Jan van Rutte and Johan Conijn as members of the Supervisory Board.
Financial statements adopted, dividend proposal approved
During the AGM, BNG Bank's [NOT FOUND] financial statements for 2019 were adopted. The volume of new long-term lending rose by 21% to EUR 14 billion. The net profit for 2019 amounted to EUR 163 million. The AGM also approved the dividend proposal. In accordance with its dividend policy, BNG Bank proposed to pay out EUR 71 million to shareholders. This equals 50% of the net profit after deduction of the dividend to providers of hybrid capital. As [NOT FOUND] announced on 1 April 2020, BNG Bank decided to postpone payment of the dividend over the year 2019 until at least 1 October 2020.
Due to the coronavirus, BNG Bank held its shareholders meeting remotely. Shareholders could log in, ask questions and vote from their own work location.