NEWSROOM

Thursday, March 26, 2009
Majority Shareholder Relationship

Recently, reports have surfaced in the media and public domain concerning AIC (Barbados) Limited (AIC Barbados) and discussions which that institution is having with its creditors. Some commentators have also expressed concern(s) about the potential impact on National Commercial Bank Jamaica Limited and its subsidiaries (NCB). We therefore find it necessary to clarify any misconceptions which our stakeholders may be having about our relationship with AIC Barbados.
 
AIC Barbados, a privately held company owned by AIC Limited, is a majority shareholder in NCB, with 62% of total issued shares as at the end of the 2008 Financial Year. Its connection with the Bank is that of being a shareholder to whom dividends are paid and its operations are not in any way associated with NCB.
 
NCB cannot provide financial assistance to or undertake business dealings with any shareholder – regardless of the extent of his/her/its stake in our group – beyond what the Jamaican Banking Act and Regulations allow.
 
In any event, the NCB group has no financial exposure to AIC Barbados or its parent AIC Limited and in that regard, can therefore expect no impact on our business arising from their operations.
 
The NCB group continues to be one of the most dominant and profitable institutions in Jamaica. Our operations are, as always, guided by the very stringent and appropriately conservative regulations governing banks in Jamaica, as well as world-class governance and best practice standards that we have instituted. We expect no change in the foregoing and, consequently, wish to assure our stakeholders that their concerns in this regard, though understandable, are without merit. Business operations at NCB continue in the usual manner.

PATRICK HYLTON

GROUP MANAGING DIRECTOR