Kaupthing Bank

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Kaupthing Bank

Type	Public
Founded	Reykjavík, Iceland, 1930 (foundation of Búnaðarbanki)
Headquarters	Reykjavík, Iceland
Key people	Hreiðar Már Sigurðsson, CEO Sigurður Einarsson, Chairman Ingólfur Helgason, CEO in Iceland
Industry	Banking
Revenue	100 billion ISK (approx. $1.4 billion USD [1]
Employees	2,500
Slogan	Thinking Beyond
Website	www.kaupthing.net

Kaupthing Bank (ICEX: KAUP, OMX (Stockholm): KAUP SEK) is a northern European bank, headquartered in Reykjavík, Iceland. It was formed by the merger of Kaupthing and Búnaðarbanki Íslands in 2003 and is the largest bank in Iceland.

Kaupthing Bank currently operates in ten countries; all the Nordic countries, Luxembourg, Switzerland, the United Kingdom and the United States. It is the eighth largest bank in the Nordic countries in terms of market capitalization.

The bank employs over 2,500 people and maintains 36 retail branches in Iceland.

As of December 31st 2005, the bank had a total assets of €34 billion. In 2006, it ranked number 1,006 on Forbes Global 2000, which is an annual ranking of top 2000 corporations in the world by Forbes magazine. [2] The same year, it ranked number 177 (up by 34 seats from 2005) on the list of the world's largest banks composed annually by the international finance magazine The Banker.

In 2005, Kaupthing Bank had net earnings of €683 million. About 70% of the of the operating profit originated outside of Iceland (30% in Iceland, 34% in the UK, 26% in Scandinavia, 8% in Luxembourg and 2% in other countries.) In the first quarter of 2006, the percentage of operating profit created in Iceland was down to 20%. [3]

Kaupthing Bank reported net earnings of €327 million in the first half of 2006, a €73 million increase from the first half of 2005. [4]

1 The name
2 History
3 Operations
4 Acquisitions, mergers, subsidiaries
5 See also
6 Sources

[edit] The name

The bank is known as Kaupthing Bank outside of Iceland.

In Iceland, its official name is Kaupþing Banki hf. although it uses the name KB banki for its retail operations in Iceland (for its network of high-street banks). Formerly, its official name was Kaupþing Búnaðarbanki hf., but the name was changed as the former name was considered too unwieldy for most people.

[edit] History

Founded in 1930 Búnaðarbanki Íslands was publicly owned from its inception and was privatized by the government in stages between 1998 and 2003. Kaupþing Bank was founded in 1982. Four years later, it was one of the founding members of the Iceland Stock Exchange. Half of the bank was sold to the Icelandic savings banks in 1986. The other half was sold to Búnaðarbanki Íslands in 1990, which sold its shares to the savings banks in 1996. The savings banks began selling its shares to the public on the stock market in 2000.

[edit] Operations

Kaupthing Bank is a northern European bank offering integrated financial services to companies, institutional investors and individuals. These services include corporate banking, investment banking, capital markets services, asset management and comprehensive wealth management for private banking clients.

[edit] Acquisitions, mergers, subsidiaries

1982 Kaupthing hf. founded in Iceland
1998 Kaupthing Luxembourg, S.A. opened
2000 Kaupthing Faroe Islands opened, Kaupthing New York opened, Kaupthing Stockholm opened
2001 Kaupthing Bank Copenhagen opened, Kaupthing Lausanne opened, Sofi acquired in Finland
2002 Aragon acquired in Sweden, JP Nordiska acquired in Sweden, Auðlind acquired in Iceland
2003 Kaupthing merges with Búnaðarbanki Íslands to form Kaupthing Bank, Tyren acquired in Norway, Norvestia acquired in Finland, Kaupthing Limited opened in the UK
2004 A. Sundvall acquired in Norway, FIH acquired in Denmark
2005 Singer & Friedlander acquired in the UK
2006 Kaupthing Limited merges with Singer & Friedlander to form Kaupthing Singer & Friedlander in the UK

2003: Kaupthing and Búnaðarbanki Íslands merge