SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1933
For the month of March 2006
BANCOLOMBIA S.A.
----------------
(Translation of Registrant's name into English)
Calle 50 No. 51-66
Medellin, Colombia
------------------
(Address of principal executive offices)
(Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.)
Form 20-F [X] Form 40-F [ ]
(Indicate by check mark whether the registrant by furnishing the information
contained in this form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
Yes [ ] No [X]
(If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82-______________.)
This Report on Form 6-K shall be incorporated by reference into the
registrant's registration statement on Form F-3 (File No. 001-32535).
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
BANCOLOMBIA S.A.
(Registrant)
Date: March 02, 2006 By /s/ JAIME ALBERTO VELASQUEZ B.
------------------------------------
Name: Jaime Alberto Velasquez B.
Title: Vice President of Finance
(BANCOLOMBIA LOGO) (CIB LISTED NYSE LOGO)
CONSOLIDATED FINANCIAL RESULTS
FOR THE QUARTER ENDED DECEMBER 31, 2005
MARCH 2, 2006. Medellin, Colombia -- Today, BANCOLOMBIA S.A. (NYSE: CIB)
announced the financial results for the quarter ended December 31, 2005.(1)
CONSOLIDATED BALANCE SHEET
AND INCOME STATEMENT QUARTER GROWTH
(Ps millions) 3Q 05 4Q 05 4Q 05/ 3Q 05
-------------------------- ------------ ------------ ------------
ASSETS
Loans and financial leases, net 17,245,858 17,920,370 3.91%
Investment securities, net 7,636,300 8,459,703 10.78%
Other assets 3,966,172 4,423,444 11.53%
------------ ------------ ------------
TOTAL ASSETS 28,848,330 30,803,517 6.78%
------------ ------------ ------------
LIABILITIES AND SHAREHOLDERS' EQUITY
DEPOSITS 17,516,446 18,384,982 4.96%
Non-interest bearing 2,613,728 3,530,279 35.07%
Interest bearing 14,902,718 14,854,703 -0.32%
OTHER LIABILITIES 8,101,685 9,041,245 11.60%
TOTAL LIABILITIES 25,618,131 27,426,227 7.06%
Shareholders' equity 3,230,199 3,377,290 4.55%
------------ ------------ ------------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 28,848,330 30,803,517 6.78%
------------ ------------ ------------
Interest income 885,126 793,968 -10.30%
Interest expense 284,961 286,994 0.71%
NET INTEREST INCOME 600,165 506,974 -15.53%
Net provisions (58,115) (22,406) -61.45%
Fees and income from service, net 207,961 212,777 2.32%
Other operating income 47,501 7,883 -83.40%
Operating expense (468,675) (375,591) -19.86%
Non-operating income, net (16,420) 20,006 221.84%
Income tax expense (43,178) (93,065) 115.54%
------------ ------------ ------------
NET INCOME 269,239 256,578 -4.70%
------------ ------------ ------------
----------
(1) This report corresponds to the consolidated financial statements of
BANCOLOMBIA and its affiliates of which it owns, directly or indirectly, 50% or
more of the voting capital stock. Any reference to BANCOLOMBIA must be
understood as to the Bank together with its affiliates, unless otherwise
specified. The unaudited pro forma combined condensed financial statements for
the fourth quarter of 2004 and as of December 31, 2004 and the relevant numbers
developed from such financial statements presented below are derived from (a)
the unaudited consolidated financial statements of Bancolombia as of September
30, 2004 and as of December 31, 2004, (b) the unaudited consolidated financial
statements of Corporacion Financiera Nacional y Suramericana S.A.
("Corfinsura"), giving effect to the spin-off of the portion of Corfinsura's
assets and liabilities that were not assumed by Bancolombia through the merger,
as of September 30, 2004 and, as of December 31, 2004 and (c) the unaudited
consolidated financial statements of Conavi Banco Comercial y de Ahorros S.A
("Conavi"), as of September 30, 2004 and as of December 31, 2004, as if the
merger had been completed as of those dates.
These financial statements have been prepared in accordance with generally
accepted accounting principles in Colombia (COLGAAP), are stated in nominal
terms and have not been audited. Even though for purposes of COLGAAP historical
pro forma information is not required, these pro forma financial statements are
presented for comparison purposes.
The unaudited pro forma combined condensed financial statements are provided for
illustrative purposes only and do not purport to represent what the actual
consolidated results of operations or the consolidated financial position of
Bancolombia would have been, nor are they necessarily indicative of future
consolidated results of operations or consolidated financial position. The
unaudited pro forma combined condensed financial statements do not include the
realization of cost savings from operating efficiencies, revenue synergies or
other restructuring costs currently expected to result from the merger. No
assurance can be given that any such savings or other expected benefits of the
merger will in fact take place, whether at the level of management's current
expectations or at all.
ANY REFERENCE TO BANCOLOMBIA MUST BE UNDERSTOOD AS TO THE BANK TOGETHER WITH ITS
AFFILIATES, UNLESS OTHERWISE SPECIFIED.
Exchange rate: December 31, 2005 Ps 2,284.22 = US$ 1 Average exchange rate
December 2005 Ps 2,320.77 = US$ 1
CONTACTS
SERGIO RESTREPO JAIME A. VELASQUEZ MAURICIO BOTERO
EXECUTIVE VP FINANCIAL VP IR MANAGER
TEL.: (574) 5108668 TEL.: (574) 5108666 TEL.: (574) 5108866
1
(BANCOLOMBIA LOGO)
4Q05
1. HIGHLIGHTS:
o This is the second time BANCOLOMBIA has released consolidated results
since the merger that took place on July 30, 2005. This report contains
pro forma figures for the fourth quarter of 2004 and for the period
ended December 31, 2004 as if the spin off of Corfinsura and the merger
with Conavi and Corfinsura (after the spin-off) had taken place on
those dates, for the purpose of comparison. All references to numbers
for periods prior to the merger contained herein were derived from such
pro forma consolidated financial statements.
o Net income for the year totaled Ps 946.9 billion, increasing 18.2% as
compared to Ps 801.1 billion pro forma for 2004. During the fourth
quarter, net income amounted to Ps 256.6 billion, which represents a
1.9% increase compared to the same period of 2004 pro forma.
o As of December 31, 2005, BANCOLOMBIA's net loans totaled Ps 17,920
billion, increasing 3.9% compared to Ps 17,246 billion in the previous
quarter. On a year-to-year basis, this represents an increase of 14.8%
from Ps 15,611 billion pro forma at December 31, 2004. On the other
hand, investment debt securities amounted to Ps 8,265 billion,
increasing 7.8% over the year compared to pro forma figures.
o During 2005, net interest income amounted to Ps 2,049.8 billion,
increasing 13.7% compared to 2004 pro forma. However, net interest
income for the fourth quarter 2005 was stable compared to the same
period of 2004. Similarly, the net interest margin was very stable
resulting in a margin of 7.89% during 2005, compared 7.86% during 2004
pro forma.
o Net fees and income from services for 2005 totaled Ps 768.3 billion,
which represents an increase of 22.1% compared to the pro forma figure
for 2004. During the fourth quarter of 2005, they amounted to Ps 212.8
billion, up 26.7% compared to the fourth quarter of 2004 pro forma.
o BANCOLOMBIA's ratio of past due loans to total loans at December 31,
2005 was 2.4% and the ratio of allowances to past due loans was 158%.
o As the Bank announced on January 2, 2006, its subsidiary Colcorp sold
its position in Abonos Colombianos S.A. -- Abocol S.A, to V.
International Ventures Inc. As a result of the transaction, there are
non-recurrent changes in income and expenses throughout the fourth
quarter results.
o BANCOLOMBIA experienced non-recurrent provisions due to changes in the
provisioning regulation.
QUARTER AS OF
STOCK INDICATORS 3Q 05 4Q 05 SEP-05 DEC-05
---------------- ------------ ------------ ------------ ------------
Net Income (Ps millions) 269,239 256,578 690,303 946,881
USD Earnings per ADS 0.647 0.617 1.658 2.278
ROAA 3.73% 3.50% 3.19% 3.23%
ROAE 33.34% 31.76% 28.49% 29.30%
P/BV ADS (1) 2.83 3.55
P/BV Local (2) (3) 2.80 3.31
P/E (4) 8.43 11.12
Shares Outstanding 727,827,005 727,827,005
(1) Defined as ADS price divided by ADS book value.
(2) Defined as Share price divided by share book value.
(3) Share prices on the Colombian Stock Exchange
(4) Defined as market capitalization divided by annualized quarter results
2
(BANCOLOMBIA LOGO)
4Q05
2. CONSOLIDATED BALANCE SHEET
2.1 ASSETS
BANCOLOMBIA's total assets increased 6.8% over the quarter to Ps 30,804
billion as of December 31, 2005 from Ps 28.848 billion as of September
30, 2005, registering a 12,5% increase over the year from pro forma Ps
27,379 billion as of December 31, 2004.
2.1.1 LOAN PORTFOLIO
Corporate loans were stable over the quarter, but increased 9.76% over
the year to Ps 9,558 billion as of December 31, 2005 from Ps 8,708
billion pro forma as of December 31, 2004.
LOAN PORTFOLIO AS OF GROWTH
(Ps millions) 31-DEC-04 30-SEP-05 31-DEC-05 4Q 05/3Q 05 4Q 05/4Q 04
-------------- ------------ ------------ ------------ ------------ ------------
PRO FORMA
CORPORATE
Working capital loans 6,827,168 7,958,571 7,754,880 -2.56% 13.59%
Loans funded by
domestic development banks 1,178,611 1,042,505 948,659 -9.00% -19.51%
Trade Financing 593,294 423,198 749,342 77.07% 26.30%
Overdrafts 71,001 87,557 62,043 -29.14% -12.62%
Credit Cards 37,984 44,396 43,084 -2.96% 13.43%
------------ ------------ ------------ ------------ ------------
TOTAL CORPORATE 8,708,058 9,556,227 9,558,008 0.02% 9.76%
------------ ------------ ------------ ------------ ------------
RETAIL AND SMEs
Working capital loans 1,295,950 1,442,580 1,613,158 11.82% 24.48%
Personal loans 1,235,058 1,498,279 1,517,369 1.27% 22.86%
Loans funded by
domestic development banks 359,494 385,205 403,412 4.73% 12.22%
Credit Cards 638,890 550,927 623,934 13.25% -2.34%
Overdrafts 90,361 134,639 101,957 -24.27% 12.83%
Automobile loans 382,107 541,223 631,972 16.77% 65.39%
Trade Financing 54,189 60,056 52,449 -12.67% -3.21%
------------ ------------ ------------ ------------ ------------
TOTAL RETAIL AND SMEs 4,056,049 4,612,909 4,944,251 7.18% 21.90%
MORTGAGE 1,391,333 1,483,011 1,463,437 -1.32% 5.18%
FINANCIAL LEASES 2,126,247 2,336,170 2,660,556 13.89% 25.13%
------------ ------------ ------------ ------------ ------------
TOTAL LOANS AND FINANCIAL LEASES 16,281,687 17,988,317 18,626,252 3.55% 14.40%
ALLOWANCE FOR LOAN LOSSES AND FINANCIAL
LEASES (670,408) (742,459) (705,882) -4.93% 5.29%
------------ ------------ ------------ ------------ ------------
TOTAL LOANS AND FINANCIAL LEASES, NET 15,611,279 17,245,858 17,920,370 3.91% 14.79%
------------ ------------ ------------ ------------ ------------
The retail and small and medium-sized enterprise ("SME") loan portfolio
maintained positive growth rates. It totaled Ps 4,944 billion as of
December 31, 2005, increasing 7.2% over the quarter and 21.9% over the
year.
Mortgage loans increased 5.2% over the year, amounting to Ps 1,463
billion, but decreased 1.3% quarter-to-quarter compared to the
September 30, 2005 results. The quarterly decrease is mainly explained
by a mortgage securitization of Ps 32 billion that took place on
December 15, 2005. On the other hand, financial leases increased 13.9%
over the quarter and 25.1% over the year amounting to Ps 2,661 billion.
3
(BANCOLOMBIA LOGO)
4Q05
2.1.2 INVESTMENT PORTFOLIO
BANCOLOMBIA's investments in debt securities amounted to Ps 8,265
billion, increasing 12.6% over the quarter. On a year-to-year basis,
this represents an increase of 7.8%, from pro forma Ps 7,667 billion at
December 31, 2004.
2.1.3 ASSET QUALITY
As of December 31, 2005, the Bank's past due loans accounted for 2.4%
of total loans. Loans classified as C, D and E accounted for 3.4% of
total loans. Furthermore, the ratio of allowances to past due loans at
the end of the quarter was 158%, while the ratio of allowances to loans
classified as C, D and E was 114%.
LOANS AND FINANCIAL LEASES CLASSIFICATION
(Ps millions) AS OF 31-DEC-04 AS OF 30-SEP-05 AS OF 31-DEC-05
----------------------------------------- ----------------------- ----------------------- -----------------------
"A" Normal 15,128,994 92.9% 16,853,001 93.7% 17,359,081 93.2%
"B" Subnormal 531,801 3.3% 503,075 2.8% 638,131 3.4%
"C" Deficient 205,870 1.3% 158,943 0.9% 202,934 1.1%
"D" Doubtful recovery 234,643 1.4% 278,559 1.5% 252,635 1.4%
"E" Unrecoverable 180,379 1.1% 194,739 1.1% 173,471 0.9%
TOTAL 16,281,687 100% 17,988,317 100% 18,626,252 100%
---------- ---------- ---------- ---------- ---------- ----------
LOANS AND FINANCIAL LEASES CLASSIFIED AS C,
D AND E AS A PERCENTAGE OF TOTAL LOANS AND
FINANCIAL LEASES 3.8% 3.5% 3.4%
ASSET QUALITY AS OF GROWTH
(Ps millions) 31-DEC-04 30-SEP-05 31-DEC-05 4Q 05/3Q 05 4Q 05/4Q 04
------------- ------------ ------------ ------------ ------------- -----------
PRO FORMA
Total performing past due loans 289,268 301,878 224,319 -25.69% -22.45%
Total non-performing past due loans (1) 254,773 277,971 227,117 -18.29% -10.86%
Total past due loans 544,041 579,849 451,436 -22.15% -17.02%
Allowance for loans and accrued interest losses 684,826 755,290 714,537 -5.40% 4.34%
Past due loans to total loans 3.34% 3.22% 2.42%
Non-performing loans to total loans 1.56% 1.55% 1.22%
C, D, and E loans to total loans 3.81% 3.51% 3.38%
Allowances to past due loans (2) 125.88% 130.26% 158.28%
Allowances to C, D, and E loans (2) 110.30% 119.46% 113.59%
Allowances to non-performing loans (2) 268.80% 271.72% 314.61%
Allowances to total loans 4.21% 4.20% 3.84%
Performing loans to total loans 98.44% 98.45% 98.78%
(1) Non-performing loans comprise consumer loans that are past due 60 days
or more, commercial loans that are past due 90 days or more, and
mortgage loans that are past due 120 days or more.
(2) Allowance means allowance for loan and accrued interest losses.
2.2 LIABILITIES
Total deposits increased 5.0% over the quarter and 5.8% over the year,
totaling Ps 18,385 billion as of December 31, 2005. The funding mix
improved over the year. Savings deposits increased 15.7%, whereas time
deposits decreased 7.2% over the year, compared to pro forma 2004
figures.
4
(BANCOLOMBIA LOGO)
4Q05
2.3 SHAREHOLDERS' EQUITY
BANCOLOMBIA's shareholders' equity totaled Ps 3,377 billion at the end
of 2005. Compared with September 31, 2005, this amount represents an
increase of 4.6% over the quarter and 20.9% over the year. Unrealized
gains on available for sale debt securities totaled Ps 58.6 billion as
of December 30, 2005.
At the end of 2005, the Bank's consolidated ratio of technical capital
to risk-weighted assets was 10.9%.
TECHNICAL CAPITAL RISK WEIGHTED ASSETS AS OF
Consolidated (Ps millions) 31-DEC-04 30-SEP-05 31-DEC-05
-------------------------------------- ------------ ------------ ------------
PRO FORMA
Basic capital (Tier I) 2,156,490 2,123,055 2,169,481
Additional capital (Tier II) 441,138 464,592 393,822
Technical capital (1) 2,597,628 2,587,647 2,563,303
Risk weighted assets included market risk 20,661,560 22,371,981 23,457,768
------------ ------------ ------------
CAPITAL ADEQUACY (2) 12.57% 11.57% 10.93%
------------ ------------ ------------
(1) Technical capital is the sum of basic capital and additional capital.
(2) Capital Adequacy is Technical capital divided by Risk weighted assets
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This release contains statements that may be considered forward-looking
statements within the meaning of Section 27A of the U.S. Securities Act
of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934.
All forward-looking statements, whether made in this release or in
future filings or press releases or orally, address matters that
involve risks and uncertainties; consequently, there are or will be
factors, including, among others, changes in general economic and
business conditions, changes in currency exchange rates and interest
rates, introduction of competing products by other companies, lack of
acceptances of new products or services by our targeted customers,
changes in business strategy and various others factors, that could
cause actual results to differ materially from those indicated in such
statements. We do not intend, and do not assume any obligation, to
update these forward-looking statements
5
(BANCOLOMBIA LOGO)
4Q05
3. INCOME STATEMENT
BANCOLOMBIA's net income amounted to Ps 256.6 billion during the fourth
quarter and Ps 946.9 billion during the year ended December 31, 2005,
as compared to Ps 251.8 billion and Ps 801.1 billion for the same
periods of 2004 pro forma, respectively.
3.1 NET INTEREST INCOME
Interest on loans were stable over the quarter, totaling Ps 533.5
billion. On a year-to-year basis, this represents an increase of 7.9%
from the pro forma Ps 494.4 billion at December 31, 2004. On the other
hand, interests on investment securities reached Ps 824.7 billions in
2005, increasing 8.8% over the year from pro forma Ps 758.3 billion on
a pro forma basis as of December 31, 2004. On a quarterly basis,
interests on investments amounted to Ps 169.4 billion during the
quarter, decreasing 38.0% compared to the previous quarter, due mainly
to a not so strong performance of the Colombian bond prices. In sum,
net interest income totaled Ps 2,049.8 billion during 2005, increasing
13.7% compared to the previous year pro forma results.
3.2 PROVISIONS
Provisions for loan and interest losses amounted to Ps 43.8 billion,
decreasing 31.7% compared to the results of the previous quarter which,
as explained in the previous quarterly release, included additional
allowances made for the loans of the acquired companies, following
BANCOLOMBIA's credit risk management policies. Ps 26.2 billion from
these provisions correspond to adjustments made by the new provisioning
regulation. On the other hand, recoveries of provisions for foreclosed
assets increased strongly compared to the previous quarter amounting to
Ps 26.0 billion.
3.3 FEES AND INCOME FROM SERVICES
The different sources of fee generation continued their positive trend.
Net fees and income from services amounted to Ps 212.8 billion during
the fourth quarter of 2005. This represents an increase of 26.7% as
compared to Ps 167.9 billion pro forma results for the fourth quarter
of 2004.
BANCOLOMBIA's accumulated unconsolidated credit card billing increased
17.0% during the year, resulting in a 22.3% market share of the
Colombian credit card business. In addition, the Bank's number of
outstanding credit cards increased 13.4%, resulting in a 16.1% market
share.
ACCUMULATED CREDIT CARD BILLING % 2005
(Millions of pesos as of December 31, 2005) Dec-04 Dec-05 Growth Market Share
------------------------------------------- ------------ ------------ ------------ ------------
Pro forma
Bancolombia VISA 718,740 879,462 22.36% 7.03%
Bancolombia Mastercard 1,275,721 1,391,484 9.07% 11.12%
Bancolombia American Express 389,357 517,309 32.86% 4.13%
TOTAL BANCOLOMBIA 2,383,818 2,788,255 16.97% 22.28%
------------ ------------ ------------ ------------
Colombian credit card market 10,085,888 12,514,862 24.08%
------------ ------------ ------------ ------------
Source: Credibanco, American Express y Red Multicolor
CREDIT CARD MARKET SHARE % 2005
Outstanding credit cards as of December 31, 2005 Dec-04 Dec-05 Growth Market Share
------------------------------------------------ ------------ ------------ ------------ ------------
Pro forma
Bancolombia VISA 159,390 191,821 20.35% 5.55%
Bancolombia Mastercard 246,186 258,518 5.01% 7.48%
Bancolombia American Express 84,366 105,003 24.46% 3.04%
TOTAL BANCOLOMBIA 489,942 555,342 13.35% 16.07%
------------ ------------ ------------ ------------
Colombian credit card market 2,812,228 3,454,971 22.86%
------------ ------------ ------------ ------------
Source: Credibanco, American Express y Red Multicolor.
(BANCOLOMBIA LOGO)
4Q05
3.4 OPERATING EXPENSES
Total operating expenses decreased 18.2% during the quarter to Ps 362.5
billion, which represents a 7.4% increase on an accumulated
year-over-year basis. BANCOLOMBIA's operating expenses to net operating
income efficiency ratio dropped to 51.6% and the operating expenses
over average total assets dropped to 5.1%, during the fourth quarter of
2005.
PRINCIPAL RATIOS QUARTER AS OF
--------------------------------------- --------------------------
4Q 04 3Q 05 4Q 05 31-DEC-04 31-DEC-05
---------- ------- ----- --------- ---------
PROFITABILITY PRO FORMA
Net interest margin (1) 8.87% 9.59% 7.80% 7.86% 7.89%
Return on average total assets (2) 3.92% 3.73% 3.50% 3.12% 3.23%
Return on average shareholders' equity (3) 40.12% 33.34% 31.76% 31.91% 29.30%
EFFICIENCY
Operating expenses to net operating income (4) 56.38% 54.78% 51.62% 55.78% 54.94%
Operating expenses to average total assets (4) 6.49% 6.50% 5.12% 5.85% 5.64%
CAPITAL ADEQUACY
Shareholders' equity to total assets 10.20% 11.20% 10.96%
Technical capital to risk weighted assets 12.57% 11.57% 10.93%
(1) Defined as Net Interest Income divided by interest-earning
assets.
(2) Net income divided by total assets.
(3) Net income divided by shareholders' equity.
(4) Operating income includes net interest income, total fees and
income from services, and total other operating income.
3.5 NON-OPERATING INCOME
There were non-recurrent events such as the sale of real state from
Corfinsura and Conavi, the recovery from 2004 income tax provision and
the sale of stocks received as payment for fully provisioned
charged-off loans, that explain the increase of non-operating income.
7
(BANCOLOMBIA LOGO)
4Q05
CONSOLIDATED BALANCE SHEET AS OF GROWTH
------------------------------------------ -----------------------
LAST
(Ps millions) DEC-04 SEP-05 DEC-05 QUARTER ANNUAL
------------- ---------- ---------- ---------- -------- --------
PRO FORMA
ASSETS
Cash and due from banks 1,122,846 1,040,224 1,241,435 19.34% 10.56%
Overnight funds sold 507,540 410,735 488,587 18.95% -3.73%
TOTAL CASH AND EQUIVALENTS 1,630,386 1,450,959 1,730,022 19.23% 6.11%
---------- ---------- ---------- -------- --------
DEBT SECURITIES 7,667,071 7,342,978 8,264,885 12.55% 7.80%
Trading 4,837,478 4,591,826 5,400,950 17.62% 11.65%
Available for Sale 1,943,685 1,879,456 1,842,556 -1.96% -5.20%
Held to Maturity 885,908 871,696 1,021,379 17.17% 15.29%
EQUITY SECURITIES 301,944 356,995 268,286 -24.85% -11.15%
Trading 130,462 170,980 50,805 -70.29% -61.06%
Available for Sale 171,482 186,015 217,481 16.92% 26.82%
Market value allowance (70,566) (63,673) (73,468) 15.38% 4.11%
NET INVESTMENT SECURITIES 7,898,449 7,636,300 8,459,703 10.78% 7.11%
---------- ---------- ---------- -------- --------
Commercial loans 10,775,256 11,769,986 11,949,501 1.53% 10.90%
Consumer loans 1,898,735 2,300,528 2,437,727 5.96% 28.39%
Small business loans 90,116 98,622 115,031 16.64% 27.65%
Mortgage loans 1,391,333 1,483,011 1,463,437 -1.32% 5.18%
Finance lease 2,126,247 2,336,170 2,660,556 13.89% 25.13%
Allowance for loan losses (670,408) (742,459) (705,882) -4.93% 5.29%
NET TOTAL LOANS AND FINANCIAL LEASES 15,611,279 17,245,858 17,920,370 3.91% 14.79%
---------- ---------- ---------- -------- --------
Accrued interest receivable on loans 202,064 197,061 206,921 5.00% 2.40%
Allowance for accrued interest losses (14,418) (12,831) (8,655) -32.55% -39.97%
NET TOTAL INTEREST ACCRUED 187,646 184,230 198,266 7.62% 5.66%
---------- ---------- ---------- -------- --------
Customers' acceptances and derivatives 96,411 102,755 133,420 29.84% 38.39%
Net accounts receivable 317,241 289,699 590,313 103.77% 86.08%
Net premises and equipment 502,664 652,828 623,729 -4.46% 24.08%
Foreclosed assets, net 81,302 39,180 31,360 -19.96% -61.43%
Prepaid expenses and deferred charges 53,781 31,602 26,898 -14.89% -49.99%
Goodwill 73,607 56,024 50,959 -9.04% -30.77%
Operating leases, net 130,922 143,024 143,974 0.66% 9.97%
Other 404,764 591,032 563,588 -4.64% 39.24%
Reappraisal of assets 390,402 424,839 330,915 -22.11% -15.24%
---------- ---------- ---------- -------- --------
TOTAL ASSETS 27,378,854 28,848,330 30,803,517 6.78% 12.51%
---------- ---------- ---------- -------- --------
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
DEPOSITS
NON-INTEREST BEARING 2,885,725 2,613,728 3,530,279 35.07% 22.34%
Checking accounts 2,581,220 2,246,240 3,171,182 41.18% 22.86%
Other 304,505 367,488 359,097 -2.28% 17.93%
---------- ---------- ---------- -------- --------
INTEREST BEARING 14,488,323 14,902,718 14,854,703 -0.32% 2.53%
Checking accounts 1,238,013 1,115,689 1,068,409 -4.24% -13.70%
Time deposits 6,744,413 6,413,490 6,259,800 -2.40% -7.19%
Savings deposits 6,505,897 7,373,539 7,526,494 2.07% 15.69%
---------- ---------- ---------- -------- --------
TOTAL DEPOSITS 17,374,048 17,516,446 18,384,982 4.96% 5.82%
Overnight funds 821,926 1,032,610 1,329,913 28.79% 61.80%
Bank acceptances outstanding 67,507 57,209 63,126 10.34% -6.49%
Interbank borrowings 747,183 1,543,154 1,705,468 10.52% 128.25%
Borrowings from domestic development banks 2,284,972 1,833,188 2,222,083 21.21% -2.75%
Accounts payable 907,987 916,552 1,250,084 36.39% 37.68%
Accrued interest payable 182,877 185,168 182,292 -1.55% -0.32%
Other liabilities 301,355 292,033 459,968 57.51% 52.63%
Bonds 1,723,590 1,768,280 1,648,312 -6.78% -4.37%
Accrued expenses 119,353 419,172 130,859 -68.78% 9.64%
Minority interest in consolidated subsidiaries 55,384 54,319 49,140 -9.53% -11.27%
---------- ---------- ---------- -------- --------
TOTAL LIABILITIES 24,586,182 25,618,131 27,426,227 7.06% 11.55%
---------- ---------- ---------- -------- --------
SHAREHOLDERS' EQUITY
SUBSCRIBED AND PAID IN CAPITAL 364,643 363,580 363,914 0.09% -0.20%
RETAINED EARNINGS 1,810,491 2,118,885 2,362,711 11.51% 30.50%
Appropiated 1,009,385 1,428,582 1,415,830 -0.89% 40.27%
Unappropiated 801,106 690,303 946,881 37.17% 18.20%
---------- ---------- ---------- -------- --------
REAPPRAISAL AND OTHERS 552,066 651,457 592,083 -9.11% 7.25%
GROSS UNREALIZED GAIN OR LOSS ON DEBT SECURITIES 65,472 96,277 58,582 -39.15% -10.52%
---------- ---------- ---------- -------- --------
TOTAL SHAREHOLDER'S EQUITY 2,792,672 3,230,199 3,377,290 4.55% 20.93%
---------- ---------- ---------- -------- --------
8
(BANCOLOMBIA LOGO)
4Q05
CONSOLIDATED INCOME STATEMENT AS OF QUARTER GROWTH
---------------------- --------------------------------- -------------------
DEC-05 / 4Q 05/ 4Q 05/
(Ps Millions) DEC-04 DEC-05 DEC-04 4Q 04 3Q 05 4Q 05 3Q 05 4Q 04
--------- --------- -------- --------- ------- ------- -------- --------
PRO FORMA PRO FORMA
INTEREST INCOME AND EXPENSES
Interest on loans 1,835,772 2,050,274 11.68% 494,444 529,527 533,504 0.75% 7.90%
Interest on investment securities 758,287 824,709 8.76% 217,690 273,298 169,396 -38.02% -22.18%
Overnight funds 20,031 33,629 67.88% 6,879 9,141 8,845 -3.24% 28.58%
Leasing 245,800 291,472 18.58% 70,313 73,160 82,223 12.39% 16.94%
TOTAL INTEREST INCOME 2,859,890 3,200,084 11.90% 789,326 885,126 793,968 -10.30% 0.59%
--------- --------- ------- -------- -------- ------- ------ ------
Interest expense
Checking accounts 13,505 20,311 50.40% 4,091 5,068 6,153 21.41% 50.40%
Time deposits 412,387 449,367 8.97% 113,720 115,189 103,521 -10.13% -8.97%
Savings deposits 220,215 241,889 9.84% 57,754 60,902 62,606 2.80% 8.40%
TOTAL INTEREST ON DEPOSITS 646,107 711,567 10.13% 175,565 181,159 172,280 -4.90% -1.87%
--------- --------- ------- -------- -------- ------- ------ ------
Interbank borrowings 15,865 54,630 244.34% 5,739 12,834 21,103 64.43% 267.71%
Borrowings from domestic
development banks 153,531 156,509 1.94% 37,148 39,176 38,810 -0.93% 4.47%
Overnight funds 98,040 73,910 -24.61% 23,370 15,001 18,673 24.48% -20.10%
Bonds 143,210 153,658 7.30% 39,132 36,791 36,128 -1.80% -7.68%
TOTAL INTEREST EXPENSE 1,056,753 1,150,274 8.85% 280,954 284,961 286,994 0.71% 2.15%
--------- --------- ------- -------- -------- ------- ------ ------
NET INTEREST INCOME 1,803,137 2,049,810 13.68% 508,372 600,165 506,974 -15.53% -0.27%
Provision for loan and accrued
interest losses, net (126,321) (159,214) 26.04% (29,566) (64,171) (17,658) -72.48% -40.28%
Adjustment of provisions on loan
and accrued interest losses by new
regulations -- (26,190) -- -- (26,190)
Recovery of charged-off loans 57,613 61,829 7.32% 32,030 15,297 15,226 -0.46% -52.46%
Provision for foreclosed assets and
other assets (83,409) (63,969) -23.31% (30,533) (15,562) (19,733) 26.80% -35.37%
Recovery of provisions for
foreclosed assets and other assets 51,595 56,504 9.51% 23,871 6,321 25,949 310.52% 8.71%
--------- --------- ------- -------- -------- ------- ------ ------
TOTAL NET PROVISIONS (100,522) (131,040) 30.36% (4,198) (58,115) (22,406) -61.45% 433.73%
NET INTEREST INCOME AFTER PROVISION
FOR LOANS AND ACCRUED INTEREST
LOSSES 1,702,615 1,918,770 12.70% 504,174 542,050 484,568 -10.60% -3.89%
--------- --------- ------- -------- -------- ------- ------ ------
Commissions from banking services
and other services 77,949 101,355 30.03% 29,015 26,186 39,692 51.58% 36.80%
Electronic services and ATM fees 76,397 101,299 32.60% 21,603 24,743 22,528 -8.95% 4.28%
Branch network services 42,836 48,984 14.35% 11,578 12,837 13,341 3.93% 15.23%
Collections and payments fees 48,544 56,670 16.74% 13,431 14,640 14,987 2.37% 11.59%
Credit card merchant fees 8,251 10,076 22.12% 225 2,647 2,689 1.59% 1095.11%
Credit and debit card annual
fees, net 192,029 205,606 7.07% 51,283 53,196 52,639 -1.05% 2.64%
Checking fees 51,239 54,846 7.04% 13,284 14,104 13,960 -1.02% 5.09%
Warehouse services 49,049 62,155 26.72% 13,068 14,182 20,449 44.19% 56.48%
Fiduciary activities, net 51,178 60,131 17.49% 12,530 16,501 14,803 -10.29% 18.14%
Brokerage fees 43,014 68,231 58.63% 7,562 23,896 15,478 -35.23% 104.68%
Check remittance 10,850 10,579 -2.50% 2,705 2,725 2,856 4.81% 5.58%
International operations 36,476 36,484 0.02% 12,163 13,013 8,844 -32.04% -27.29%
FEES AND OTHER SERVICE INCOME 687,812 816,416 18.70% 188,447 218,670 222,266 1.64% 17.95%
--------- --------- ------- -------- -------- ------- ------ ------
Fees and other service expenses (58,753) (48,087) -18.15% (20,561) (10,709) (9,489) -11.39% -53.85%
TOTAL FEES AND INCOME FROM
SERVICES, NET 629,059 768,329 22.14% 167,886 207,961 212,777 2.32% 26.74%
--------- --------- ------- -------- -------- ------- ------ ------
OTHER OPERATING INCOME
Net foreign exchange gains (116,008) (53,361) -54.00% (43,647) (16,189) 24,303 250.12% 155.68%
Forward contracts in foreign
currency 207,222 141,055 -31.93% 66,016 31,447 4,442 -85.87% -93.27%
Gains on sales of investments
on equity securities 3,979 8,097 103.49% 3,563 302 7,698 2449.01% 116.05%
Dividend income 42,967 42,731 -0.55% 1,498 1,831 1,536 -16.11% 2.54%
Revenues from commercial
subsidiaries 107,856 45,020 -58.26% 31,068 27,884 (31,853) -214.23% -202.53%
Communication, postage, rent and
others 15,073 10,406 -30.96% 3,983 2,226 1,757 -21.07% -55.89%
TOTAL OTHER OPERATING INCOME 261,089 193,948 -25.72% 62,481 47,501 7,883 -83.40% -87.38%
--------- --------- ------- -------- -------- ------- ------ ------
TOTAL INCOME 2,592,763 2,881,047 11.12% 734,541 797,512 705,228 -11.57% -3.99%
OPERATING EXPENSES
Salaries and employee benefits 545,129 615,121 12.84% 146,171 157,833 155,125 -1.72% 6.13%
Bonus plan payments 33,107 26,826 -18.97% 12,965 12,551 5,572 -55.61% -57.02%
Compensation 15,235 8,030 -47.29% 2,320 2,188 1,157 -47.12% -50.13%
Administrative and other expenses 731,405 793,179 8.45% 198,102 235,245 165,083 -29.83% -16.67%
Deposit security, net 44,626 55,050 23.36% 13,398 13,203 13,042 -1.22% -2.66%
Donation expenses 11,595 615 -94.70% 11,043 130 82 -36.92% -99.26%
Depreciation 96,778 87,633 -9.45% 26,646 22,049 22,401 1.60% -15.93%
TOTAL OPERATING EXPENSES 1,477,875 1,586,454 7.35% 410,645 443,199 362,462 -18.22% -11.73%
--------- --------- ------- -------- -------- ------- ------ ------
NET OPERATING INCOME 1,114,888 1,294,593 16.12% 323,896 354,313 342,766 -3.26% 5.83%
Merger expenses 1,799 45,703 2440.47% 223 19,814 7,467 -62.31% 3248.43%
Goodwill amortization Banco de
Colombia 22,648 22,648 0.00% 5,662 5,662 5,662 0.00% 0.00%
NON-OPERATING INCOME (EXPENSE)
Other income 75,674 109,770 45.06% 22,428 12,331 59,448 382.10% 165.06%
Minority interest (6,204) (6,496) 4.71% (1,761) (1,430) (1,978) 38.32% 12.32%
Other expense (99,749) (105,120) 5.38% (23,386) (27,321) (37,464) 37.13% 60.20%
TOTAL NON-OPERATING INCOME (30,279) (1,846) -93.90% (2,719) (16,420) 20,006 221.84% 835.79%
INCOME BEFORE INCOME TAXES 1,060,162 1,224,396 15.49% 315,292 312,417 349,643 11.92% 10.89%
Income tax expense (259,056) (277,515) 7.13% (63,451) (43,178) (93,065) 115.54% 46.67%
--------- --------- ------- -------- -------- ------- ------ ------
NET INCOME 801,106 946,881 18.20% 251,841 269,239 256,578 -4.70% 1.88%
--------- --------- ------- -------- -------- ------- ------ ------
9