PKO BP promises up to 40% of profits paid as dividends

The domestic leader in retail banking and servicing small and medium sized enterprises PKO BP is aiming to increase its share of corporate banking from 10% to the top position on the market. The first step has already been concluded after PKO BP was given the green light by the Securities and Stock Exchange Commission (KPWiG) to take over DM Broker brokerage house, which is controlled by HSBC and specializes in servicing corporate customers. The Bank's president Andrzej Podsiadło revealed that PKO BP's net profit will be on a much higher level this year than zł.1.23 billion recorded in 2003. In an attempt to attract investors to take part in the bank's floatation, it was also announced that between 20-40% of profits will be regularly paid out as dividends. According to State Treasury estimates, the sale of a 30% stake of PKO BP on the bourse will generate between zł.5-6 billion in revenue for the budget. (Parkiet, p. 1; Puls Biznesu, p. 6) A.K.