Speaking at the ceremony which attracted five state governors, represented by their commissioners of transport, the Comptroller General of Customs and Excise, eminent transporters and banks, automobile companies and oil and gas companies, the chairman of the occasion, Minister of Transport, Honourable Yusuf Suleiman said that the award was well deserved.

The Minister who was represented by the Emir of Karu, Federal Capital Territory, Emmanuel Kyauta Yupwe said that the process of selection was transparently conducted and Union Bank won by merit.

Union Bank was adjudged the most transport friendly bank, after a rigorous selection process by the award committee of the ministry drawn from stakeholders in the transport sector which shortlisted four banks considered outstanding in transport financing in the past five years, 2005 - 2009.

Union Bank’s total exposure to the transport sector during the period under review was to the tune of N160.97billion covering aviation, maritime, road transport and road infrastructure.

Earlier in an acceptance letter to the ministry, the Group Managing Director/Chief Executive of the Bank, Mrs Funke Osibodu said that it was gratifying to note that the award was coming at a time the bank was overcoming the recent challenges in the industry and making great strides to regain its leadership position.

The award, she said, was no doubt, an added impetus to the management’s efforts in repositioning the great institution and a further clarion call to duty.

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The Bank’s products/services allow customers to view their balances; print statement of accounts; transfer money to any bank account in Nigeria; buy airtime from any network and pay bills (i.e. DSTV, HITV, PHCN, etc) on-line; among others. Customers could also make fund transfers by using e-payment channels like Nept, Union galaxy, corporate pay and RTGS. These products include internet banking, Union Mobile Commerce, ATM services, Point of Sales (POS) services, etc

In addition, the bank would parade other impressive consumer credit and banking products, namely Union ever, Union lifetime accounts, Union plus and Union wealth designed to meet various desires of high net-worth individuals, enterprise owners and students.

Visitors to the Bank’s stand will also be offered free advisory services on various consumer products, agriculture financing options, as well as micro-finance schemes available in the Bank.

Meanwhile, the Bank had since the intervention of Central Bank of Nigeria, cleaned its books and placed high a premium on relationship management, business development and excellent customer service.  The management is optimistic that the future of the bank remains bright even as the result of different strategies initiated would manifest in its subsequent improved financial results.

It would be recalled that Union Bank has consistently participated in the Kaduna Trade Fair in the last two decades.  It is one of the only banks that have a permanent pavilion at the Kaduna International Trade Fair complex.

The bank therefore, expects its existing and prospective customers and stakeholders to remain steadfast in their continued support and patronage.

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The recruitment of fresh staff will be a continuous exercise and it is part of the continued efforts to reposition the Bank and ensure that its esteemed customers gain from improved service delivery as well as customer-focused processes.

The Bank also disengaged 77 staff following decision on outstanding disciplinary cases. In addition, 46 staff were sanctioned for various acts of misdemeanour, while 19 others got letters of commendation for job excellence.

The Bank had earlier employed 500 fresh graduates as part of the efforts to regenerate its human capital, while the management has re-assured customers and other stakeholders of its commitment towards the positive and progressive transformation of the Bank to maximize the opportunities presented in the industry

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The Group’s total assets grew from N1.215 trillion achieved in the preceding year to N1.329trillion in 2009, while the Bank recorded N1.197 trillion from the figure of N993.93 billion recorded in 2008, indicating a growth rate of 21 per cent. Also, Group’s deposits rose from N682.31 billion in 2008 to N772.13 billion, while the Bank’s deposits increased from N649.33 billion to N758.39 billion in 2009, representing an increase of 17 per cent.

However, the full provision made for bad loans and other non-performing credits in a full swoop impacted negatively on the Group’s profitability. The Group’s profit before provisions stood at N39.74 billion at the end of the 2009 financial year.

The increase in the provision for risk assets to N83.283 billion brought loss before taxation and exceptional items to N43.539 billion, compared to a profit of N33.012 billion in 2008.

The Bank’s management, led by Mrs. Funke Osibodu as Group Managing Director/Chief Executive, remains very optimistic that Union Bank would again assume its rightful position in the banking industry now that its books have been cleaned up and is poised to exploit the business opportunities arising from the gradual recovery in the global economy.

Mrs. Osibodu also stressed the need for the esteemed customers to remain steadfast with the Bank and increase their patronage, as the Bank was being repositioned to provide excellent services to them, thereby guaranteeing better value for shareholders in the years ahead.

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The Bank’s Group Managing Director/Chief Executive, Mrs. Funke Osibodu, who presided over the draw, also used the opportunity to present three brand new Toyota Corolla cars, 20 motorcycles and other cash prizes to the lucky winners of the first regional draw held earlier in Owerri, Imo State.
In her speech, Mrs. Osibodu stressed that the Savings Bonanza was packaged to leverage on the Bank’s extensive branch network and strength in retail and consumer banking in order to mobilize deposits from widely dispersed savers, especially the small-scale savers to facilitate rapid economic growth.

She noted that the primary aim of the bonanza was to reward the Bank’s esteemed customers for their continued patronage and loyalty, adding that the promo had been extended to January 2010 to accommodate other prospective and existing savers as more cars, motorcycles were still up for grabs in the subsequent monthly and regional draws to be held across the country.

She also disclosed that the grand finale would produce winners of three Toyota Land Cruiser Jeeps, one three-bedroom luxury flat in Lagos and one three-bedroom bungalow in Abuja. So far, 260 savers have won prizes under the Savings Bonanza, out of which 237 customers won various cash prizes, while 23 won three Toyota corolla cars and 20 motorcycles.

Mrs. Osibodu further informed the customers that the recent change in the leadership of the Bank was to serve them better. According to her, “the change was effected to safeguard the interests of the shareholders and more importantly, the depositors”. She, therefore, advised the customers to continue to patronise the Bank as it was poised to emerge stronger and more reliable.

The winners, who could not contain their joy, heaped encomiums on the Bank for fulfilling its promises and pledged their continued patronage of the Bank.

The draw attracted notable customers of the Bank, traditional rulers and top government functionaries, among other dignitaries, including His Majesty, King D. D. Jaja, Jeki the 5th, Amanyanabo of Opobo; His Royal Highness, Eze Dr. G.B. Odun, JP, Paramount Ruler of Oginigba, who picked winners of the Toyota Corolla cars; Chief Dr. Clement Eke, Ezechimerum 1 of Woji town; Reverend E. A. Nicholas of the Anglican Diocese; and Honourable Briggs-Kuro, JP, Special Adviser to the Governor of Rivers State on Aquaculture/Deep-Sea Fishing.

Also in attendance were some members of the Bank’s top management, including Mr. Adekunle Adeosun, Executive Director (Commercial & Retail Banking-South & Consumer Banking); Mr. Philip Ikeazor, Executive Director (Corporate & International Banking, Investment Banking and Treasury); Sir Peter Aliogo, Deputy General Manager (Marketing) and Lady Chika Nwajagu, Assistant General Manager/Zonal Coordinator, Port Harcourt Zonal Office.

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Alhaji Yusuf Abdullahi, a top businessman in Kano, explained that his relationship with Union Bank spanned several years, right from the time of Barclays Bank. He said he had even increased his deposits with the Bank to demonstrate his steadfastness and expressed the hope that the Bank would come out of its trying moments stronger.

Chairman of the Market Traders and Artisans’ Association in Bauchi, Alhaji Salihu Garba, expressed happiness over the services the Bank was rendering to the traders in Bauchi State and gave assurance that members of the association would stand by Union Bank in its trying moments.

Commissioner for Finance, Benue State, Honourable Omadachi Oklobia, assured that the State Government would seek to improve its relationship with Union Bank by exploring better opportunities that would be beneficial to both parties, especially in the area of project financing, among others.

He noted that Union Bank had a long history with Benue State, having established its presence in the State in 1954, about 55 years ago, and also contributed in no small measure to the development of the State. He added that the State remained willing to partner with the Bank in the implementation of the Government’s programmes aimed at socio-economic development of Benue State.

Acting Permanent Secretary, Ministry of Local Government and Chieftaincy Affairs, Plateau State, Mrs Hassana Ayika, and Executive Chairman, Jos North Local Government, Hon. Barrister Timothy Buba, acknowledged that Union Bank, as an institution, had a long history in Nigeria’s banking industry, and stressed that the hiccup was a clarion call on the bank to reinforce its core banking activities.
Both government officials stated that their institutions had enjoyed good working relationship with Union Bank over the years and they did not intend to shift their loyalty, hoping that the Bank’s present challenge would open new areas for stronger business relationships.

It would be recalled that the Bauchi State Governor, Mallam (Dr) Isa Yuguda, had expressed similar sentiments, when he stated that as a government, Bauchi State felt very strongly that Union Bank was still a strong and reliable Bank, with a crop of professionals that were still dedicated as well as honest and could still maintain the ethics of banking.

The governor stressed that he was very confident that the Bank had already bounced back, considering the structure of its debt portfolio, of which about fifty per cent should not have been classified as non-performing given the guarantee banking them.

He noted that Union Bank was the only commercial bank that had set aside the largest sum of money for agricultural financing to the tune of N500 million to encourage the State’s farming population.

The leader of the Bank’s delegation, Mr Tony Olufidipe, Deputy General Manager (Retail-Sales/Credit), who represented the Group Managing Director/Chief Executive, Mrs Funke Osibodu, had told the customers separately that Union Bank’s management was currently pursuing strategies that would see the Bank emerging stronger and very reliable, especially in the areas of customer service, information technology satisfying meeting customer expectations.

While expressing the Bank’s profound appreciation to the customers for their support and patronage over the years, especially during its trying moments, Mr Olufidipe assured them of the Bank’s solidity and stability, saying they still had a bank that would continue to support their business growth at all times.

He explained that the management visit was part of efforts to sensitize the customers on the Bank’s financial health, especially following the Central Bank of Nigeria reforms, and to convey the Group Managing Director/Chief Executive’s goodwill to them, while also seeking for better ways to serve them and meet their expectations.

Mr Onazi Onazi Ogebe, Assistant General Manager (Risk Management and Control), accompanied Mr Olufidipe on the visits and were supported by the respective Zonal Coordinators and Managers of Business Development Centres (BDCs).

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The raffle draw also produced a new millionaire, bringing to five, the number of millionaires produced so far by the Savings Bonanza. The lucky winner of the one million Naira cash prize is Mrs. Paulina Utoego Ezeocha of Okigwe road branch, Imo State.

Thirty-eight customers of the Bank also won various cash prizes ranging from N10,000 - N500,000, while twenty customers won the first set of twenty motorcycles at the regional draw.

The Group Managing Director/Chief Executive of Union Bank of Nigeria PLC, Mrs. Funke Osibodu informed the customers that the Savings Bonanza draw was designed to promote savings habit among Nigerians.

She noted that, “It was intended to mobilize the large amount of money outside the banking system, estimated to be in excess of N1 trillion as at the end of 2008,” emphasising also that the funds were to be used to support the productive real sector investments, thereby facilitating rapid economic growth in the economy.

Mrs. Osibodu informed the audience that the promo had been extended to January 2010 and is open to existing and new savers as more cars, motorcycles and cash prize winners will emerge in subsequent monthly and regional draws to be held across the country. She said that the grand finale would produce three Toyota Land cruiser jeeps, one three bedroom luxury flat in Lagos, and one three bedroom bungalow in Abuja.

The GMD/CE encouraged the customers to spread the good news to those who were unable to attend the draw with the view to convincing them of the need to continue to patronize the savings promo in order to boost their chances of wining the outstanding prizes.

She informed the customers that the new changes in the leadership of the Bank was intended to make the Bank, more “Time Tested, Bigger, Stronger, More Reliable”. The changes were therefore introduced to safeguard the interest of the shareholders and more importantly, those of the depositors. According to her, the Bank is being repositioned to provide excellent services to its highly esteemed customers, thereby guaranteeing better value for shareholders.

In his remarks, the Honourable commissioner of Commerce and Industry, Imo State, Dr. Chief Geff Ojinaka who represented the Executive Governor of Imo State, thanked the Bank for choosing the state to organise the first regional draw, attributing the choice to the investment opportunities inherent in the state. He congratulated the Bank for a very successful draw and encouraged the Bank to continue to do business with the state. He pledged the state’s readiness to partner with the Bank in its development strategies.

The regional draw attracted notable customers of the Bank, dignitaries, traditional rulers and top government functionaries namely, His Royal Majesty, Eze Emmanuel Njemanze, the Ozurugbo of Owerre; His Royal Highness, Eze Onaka, the Oburu of Abba; the Permanent Secretary Commerce and Industry Imo State, Mr. Evans Uzokwu; the Permanent /secretary ministry of Petroleum and Environment Chief Chidi Oguoma; the Vice Chancellor Imo Sate University Professor A. N. Okere; His Grace Archbishop Okorocha of the Anglican Diocese amongst others.

Also in attendance were some members of the Bank’s management, including the Executive Director, Commercial & Retail Banking, Mr. Adekunle Adeosun, Deputy General Manager, Marketing, Sir Peter Aliogo, Deputy General Manager, e-Business, Mr. Theodore Amagwu; the Business Development Manager, Owerri BDC, Mr. Bon Asinobi, amongst other top management staff.

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Governor Yuguda stressed that Union Bank was the only commercial bank that had set aside a whooping sum of N500 million for lending to farmers in the state, and therefore, called on other banks to emulate the Bank to encourage the state’s farming population to grow farm produce and develop SMEs that could add value to the economy of Bauchi State and Nigeria, in general.

He stated that the State Government was convinced that Union Bank remained a strong and resilient Bank, considering its strong assets and customers base, as well as professional staff “that are still dedicated and honest, that can still maintain professionalism and ethics of banking”.

Mallam Yuguda also observed that, but for the banking consolidation that saw Union Bank acquiring other banks with different cultures, the current challenges facing the Bank could probably not have occurred.

“We are very confident that Union Bank will, or should I say, has already bounced back given the structure of the debt portfolio, of which about 50 per cent should not have been classified as non-performing considering the guarantee backing them”, the Governor stated.

He, therefore, called on the professionals in the Bank to assist the new management to manage the Bank as a growing concern and assured that the Bauchi State Government would continue to patronize the Bank.

Earlier, Mr. Olufidipe told the Governor and other top government officials including the Deputy Governor that the Bank’s delegation was on a sensitization visit to update them and customers on the Bank’s status and also regain confidence of its stakeholders in the zone.

He stressed that the current challenges facing the Bank had, indeed, been surmounted as the new management of Union Bank is pursuing new strategies that would see the Bank coming out stronger and very reliable, especially in the areas of customer service delivery, IT and meeting customers’ expectations, among others.

Mr. Olufidipe stated that Union Bank was quite willing to assist the growth of the Bauchi State economy, especially in the areas of agriculture, SME financing and contractor-financing, among others, disclosing that the Bank had already set aside the sum of N500 million for lending to farmers in the state.

He stressed that the Bank’s brand was still very strong considering its robust customer base, strong customer loyalty and committed staff, and also solicited for more business relationship with the Bauchi State Government that would be beneficial to both parties.

Mr. Olufidipe was accompanied on the visit by Mr. Onazi Onazi-Ogebe, Assistant General Manager (Risk Management & Control); Abdulkadir Ja’afaru, Assistant General Manager/Zonal Co-ordinator, Jos Zonal Office and Alhaji Mohammed Bello Hussaini, BDC Manager, Bauchi Business Development Centre.

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“We are determined to use the enormous resources of our bank, especially its goodwill, to return it to a stable and more dependable level,”” Osibodu said.She said that Union Bank would harness its resources to address the findings of the examiners so that it could return to its enviable position in the banking industry.

The bank chief executive said that to achieve the objectives, the bank would focus on risk management and control, marketing and business development, as well as people management. Osibodu said that the bank’’s decision-making relating to credit risk operation would be strengthened through aggressive loan recovery.According to her, both internal machinery and other resources placed at the bank’’s disposal by the law enforcement agencies would be used to reposition the bank.She said the bank would also monitor and reduce its concentrated risks by ensuring that the loan portfolio was more evenly spread, with less impact on the bank by large ticket items.

On the operational side, Osibodu said that Union Bank would ensure the integrity of its accounting and financial reporting systems. She said that appropriate controls, including a system for monitoring risks, financial probity and compliance with the law would be adopted, while corporate governance structure would focus on enhancing transparency and accountability.Osibodu said that the organisational structure of the bank would change and reflect new expectations, while its business module and portfolio would be reinvigorated to tap opportunities in diversified spheres.

“Until recently, there was no separation between the operations and marketing function in our branches. The branches were bogged down by operational issues and consequently had little time for marketing and business development,” she added.

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