Moody’s KMV, the world’s leading
provider of quantitative credit-risk measurement and management products
and services, today announced that Kasikornbank of Thailand has selected
Moody’s KMV tools to manage its portfolio-level credit risk and to
facilitate compliance with emerging regulatory requirements.
Moody’s KMV will provide Kasikornbank with solutions that will allow it
to examine the drivers of portfolio risk and economic capital allocation
and to gain an intuitive understanding of the impact of rating,
recovery, term, industry, size and other drivers of portfolio risk. This
clarity will be critical as the bank moves to allocate economic capital
to customers and business units for better decision making.
Specifically, Moody’s KMV’s tools will be used to calibrate the bank’s
credit risk management model in preparation for compliance with pending
Basel II regulatory requirements.
Mr. Patarapong Kanhasuwan, First Vice President of Kasikornbank,
commented, “This partnership provides us with a credit-risk solution
that helps us to systematically analyze and develop a strategy to
diversify, reduce volatility and improve the return on the bank’s
portfolio of credit. Moody’s KMV offers a strong and proven portfolio
management approach that enables us to more efficiently use our capital,
adhere to pending regulatory requirements, create the capacity to do
more business and increase shareholder value.”
The Moody’s KMV portfolio of products is valued by regulators and
customers alike for its use of empirical credit migration data and
validated data on correlations through two business cycles.
Murray Bordignon, Vice President and Head of Asia Pacific at Moody’s
KMV, commented, “Our work with Kasikornbank marks the continuation of a
trend where leading financial institutions across the globe are
deploying Moody’s KMV’s credit risk portfolio management solutions to
enhance their credit portfolios and capital management practices. We are
committed to assisting dynamic and forward-thinking institutions, such
as Kasikornbank, to increase returns on economic capital, comply with
stricter regulatory requirements and improve their balance sheet.”
*About Kasikornbank*
KASIKORNBANK Public Company Limited was established in 1945 with
registered capital of Baht 5 Million and has been listed on the Stock
Exchange of Thailand (SET) since 1976. As of June 30, 2006, the Bank is
the fourth largest commercial bank in Thailand as measured by total
assets. The Bank, with registered capital of Baht 30.5 billion and paid
up capital of Baht 23.7 billion, had total assets of Baht 845.1 billion,
total deposits of Baht 685.8 billion and total loans of Baht 629.1
billion. The Bank provides a broad range of consumer, commercial, and
corporate banking services, including lending, deposit-taking, credit
card services, international trade financing, custodian services, asset
management, and investment banking services. As of October 17, 2006, the
Bank operated 551 branches ; 168 Metropolitan branches and 383 Upcountry
branches. The Bank branch network extends throughout Thailand’s 76
provinces, as well as internationally with four branches overseas in
Hong Kong, Los Angeles, Cayman Islands and Shenzhen and three
representative offices in Beijing, Shanghai and Kunming.
As a result of a recent re-engineering process, the Bank has the
country’s most advanced computerized retailing services at all branches.
With a highly innovative background, the Bank is credited with the
introduction of a long line of new banking services in the Kingdom. The
bank started the first financial company in Thailand and was the first
to issue a national brand credit card. The bank’s ATM machine network
numbers 2,550 nationwide.
*About Moody’s KMV*
Moody’s KMV, a wholly owned subsidiary of Moody’s Corporation, is the
world’s leading provider of quantitative credit risk solutions to
lenders, investors and corporations. Moody’s KMV’s tools and services
include platform software systems for credit decisioning processes and
the market standard current default probabilities for public and private
companies as well as recovery estimates, valuations and correlations.
The company maintains the largest database of corporate defaults in the
world. The company’s solutions are widely used to assess portfolio
risk/return and are essential components in strategies to achieve
regulatory compliance for capital adequacy and allocation. A significant
credit risk Professional Services practice complements its software and
predictive models. Moody’s KMV serves over 1,700 clients in 85
countries, including most of the world’s 100 largest financial
institutions. In addition to its San Francisco headquarters, Moody’s KMV
has several offices around the world to serve its international customer
base.
