BCV's 2003 capital increase

BCV's participation-certificate issue boosts shareholders' equity by CHF 1.25 bn in recapitalization.

BCV's 2003 recapitalization concluded on 28 February, at which date all third-party investor subscriptions for participation certificates issued in the operation had been fully paid up. The recapitalization plan involved creating a participation capital and issuing participation certificates, and was officially approved by BCV's EGM of 5 February 2003. Almost all of the dividend-right participation certificates issued were subscribed by Vaud Canton.

13,586,956 bearer participation certificates were issued, with a par value of CHF 62.50 and a subscription price of CHF 92.- per certificate. As provided for in the Bank's Articles of Association, the certificates carry a preference dividend entitlement.

BCV's recapitalization will allow the Bank to strengthen its shareholders' equity and to cover the increased provisioning needs and valuation adjustments which a thoroughgoing credit-risk analysis brought to light in 2002. The operation has provided BCV with the wherewithal to develop its business and implement the Bank's new strategy, which was summarized for the shareholders at the 5 February EGM.

Important Upcoming BCV Group Events

• 25 March 2003 : 2002 Consolidated Financial Statements and 2003 guidance made public
• 22 May 2003 : AGM, with First Quarter Business Report
• August 2003 : Half-yearly statements
• November 2003 : Third Quarter Business Report

Contact(s)

Daniel Herrera, Head of Communications
Phone +41 844 228 228
E-mail