Countrywide ahead

Press, 7 February 1986, Page 8

Countrywide ahead

PA Auckland The Countrywide Building Society has reported an unaudited profit after tax of 52.25 M for the half year ended December 31. It is well ahead of the profit fo the corresponding period last year. No comparative figures are provided for the revenue statement, as it is the first half-year report produced. Revenue for the latest half was $39.9M. Cost of funds and expenses was $37.6M. The chief executive, Mr Peter Martin, said Countrywide had achieved a satisfactory strengthening both on its financial position and in profitability. “The deregulatory measures of Government economic policy led to a period over the last six months of Increasing interest rates, resulting in intense competition for

the saving and investing dollar,” said Mr Martin. Countrywide’s assets increased to SSO6M, an increase of SS3M from June 30.

During the half-year Countrywide lent 554.7 M on mortgage, compared with $74.5M for the whole of the last financial year. Mr Martin said his organisation was looking forward to the pending changes in the legislation governing building societies.

"Changes to the Building Societies Act and the introduction of new legislation relating to banking activities in New Zealand

are expected to provide Countrywide with opportunities to strengthen its position and to move into new areas of operations.” As well as launching a

life insurance company in the period under review, Countrywide has announced it will be shortly issuing a Visa card. “We are increasingly adopting a greater consumer banking role in order to provide a total service to our customers,” said Mr Martin.

Although interest rates eased in December, the present levels would be maintained in the immediate future, he said.