6-K 1 v130508_6k.htm
 
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 1934

November 03, 2008
 
 
Commission File Number: 333-130901
 
 
MACRO BANK INC.
(Exact name of registrant as specified in its Charter)
 
 
Sarmiento 447
Buenos Aires C1 1041
Tel: 54 11 5222 6500
(Address of registrant’s principal executive offices)
 
 
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
 
Form 20-F x        Form 40-F o
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
 
Yes o      No x
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
 
Yes o      No x
 
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
 
Yes o      No x
 
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- N/A
 
 

BANCO MACRO ANNOUNCES RESULTS FOR THE THIRD QUARTER OF 2008

Buenos Aires, Argentina, November 3, 2008 - Banco Macro S.A. (NYSE: BMA; Buenos Aires: BMA) (“Banco Macro” or “BMA” or the “Bank”) announced today its results for the third quarter period ended September 30, 2008 (“3Q08”). All figures are in Argentine pesos (Ps.) and have been prepared in accordance with Argentine GAAP.

SUMMARY
 
·
The Bank’s net income totalled Ps.163.2 million. This result was 85%, or Ps.75.2 million higher than 3Q07’s Ps.88.0 million, and 1%, or Ps.2.2 million above 2Q08. The annualized 3Q08 ROAE and ROAA were 24.2% and 2.9%, respectively.
 
·
The Bank’s net financial income was Ps.367.4 million, increasing 58% year to year (“YoY”). Banco Macro’s operating income of Ps.233.8 million jumped 148% YoY compared to the Ps.94.3 million posted in 3Q07.
 
·
Banco Macro’s financing to the private sector grew 26% YoY, or Ps.2,427 million. Personal loans, which represent a strategic product for the Bank, once again led annual private loan portfolio growth while documents were the leading products for 3Q08.
 
·
Total deposits grew 13%, or Ps.1,878.3 million quarter on quarter (“QoQ”), totalling Ps.16.8 billion and representing 80% of the Bank’s liabilities. Quarterly deposit growth was led by private sector deposits (11% or Ps. 1.4 billion) followed by public sector deposits (21% or Ps. 0.5 billion).
 
·
Banco Macro continued showing a strong solvency ratio, with an excess capital of Ps.1.6 billion (22.1% capitalization ratio). In addition, the Bank’s liquid assets remained at a high level, reaching 53.7% of total deposits.
 
·
The Bank’s non-performing lending to total lending ratio remained at 2.0% and the coverage ratio was 104.6%.
 
·
In 3Q08, the Bank repurchased 32.4 million shares, according to the Share Buy Back Program launched on January 8th, 2008. In addition, the Bank repurchased nominal value US$ 10.85 million of Class 2 Notes.
 
 


RESULTS
 
Earnings per share were Ps.0.24. This was 85% or Ps.0.11 higher than the 3Q07 value of Ps.0.13.

EARNINGS PER SHARE
  
MACRO consolidated
  
 
  
III07
  
IV07
  
I08
  
II08
  
III08
  
   
 
  
 
  
 
  
 
  
 
  
Net income (M $)
    
88.0
    
168.7
    
151.6
    
161.0
    
163.2
  
Average shares outstanding (M)
    
683.9
    
683.9
    
683.2
    
679.4
    
650.7
  
Average shares in portfolio (M)
    
0.0
    
0.0
    
0.7
    
4.5
    
33.2
  
Average shares issued (M)
    
683.9
    
683.9
    
683.9
    
683.9
    
683.9
  
Book value per share ($)
    
3.71
    
3.96
    
4.17
    
4.04
    
4.01
  
Earnings per share ($)
    
0.13
    
0.25
    
0.22
    
0.24
    
0.24
  
 
Banco Macro’s 3Q08 net income rose by 85% YoY to Ps.163.2 million from last year’s level of Ps.88.0 million. When compared to 3Q07, the Bank’s operating result of Ps. 233.8 million jumped 148% compared to Ps.94.3 million for 3Q07.
 
The Bank’s 3Q08 ROAE and ROAA were 24.2% and 2.9%, respectively. Additionally, this performance has a higher value considering the low leverage of Banco Macro’s balance sheet (8.6x assets to equity ratio).

INCOME STATEMENT
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Net financial income
    
233.0
    
358.7
    
354.9
    
398.6
    
367.4
  
Provision for loan losses
    
-29.8
    
-33.0
    
-28.7
    
-43.2
    
-25.0
  
Net fee income
    
125.5
    
150.9
    
153.3
    
174.5
    
189.2
  
 
    
328.7
    
476.6
    
479.5
    
529.9
    
531.6
  
Administrative expense
    
-234.4
    
-274.2
    
-301.8
    
-296.3
    
-297.8
  
 
    
94.3
    
202.4
    
177.6
    
233.6
    
233.8
  
Minority interest
    
-0.4
    
-0.6
    
-0.6
    
-0.7
    
-1.1
  
Net other income
    
10.9
    
4.5
    
12.8
    
-12.9
    
11.5
  
Earnings before income tax
    
104.8
    
206.3
    
189.9
    
220.0
    
244.2
  
Income tax
    
-16.7
    
-37.7
    
-38.3
    
-59.0
    
-80.9
  
NET INCOME
    
88.0
    
168.7
    
151.6
    
161.0
    
163.2
  
 
The Bank’s financial income of Ps.734.1 million increased 67% YoY, or Ps.294.1 million. This attractive performance was mainly driven by the increase in interest on loans and the increase in other financial income. For 3Q08, financial income increased 5% or Ps.34.8 million compared to 2Q08 based also on the above mentioned reasons.
 
Interest on loans grew Ps.228.6 million, or 83% YoY and represented 69% of total financial income, a 7% increase from the 62% for 2Q08. In this segment, interest on “other loans”, which includes personal loans, increased by 74% YoY and 12% QoQ. Interests on “overdrafts”, increased by 129% YoY and 30% QoQ and interest on documents rose 103% YoY and 44% QoQ.

Page 2 of 18
 
 
The quarterly increase in “other” financial income (Ps.21.6 million or 59%) was explained by forward FX gains. However, spot FX gains of Ps.21 million decreased 55% QoQ or Ps.26 million.
 
The above mentioned factors were partially offset by a lower result in income from government and private securities, which decreased 22% QoQ, mainly due to a lower result in LEBAC/NOBAC and for the gain in the sale of “Lujan” financial trust accounted in 2Q08.
 
CER-adjusted income decreased 34% when compared with 2Q08, which is in line with the CPI evolution.

FINANCIAL INCOME
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Interest on cash and due from banks
    
6.6
    
5.3
    
2.5
    
1.7
    
1.6
  
Interest on loans to the financial sector
    
5.1
    
4.8
    
2.6
    
3.9
    
4.9
  
Interest on overdrafts
    
43.8
    
58.8
    
56.6
    
77.4
    
100.4
  
Interest on documents
    
26.7
    
36.6
    
36.7
    
37.8
    
54.2
  
Interest on mortgages
    
17.7
    
21.3
    
21.3
    
22.9
    
26.0
  
Interest on pledges
    
12.5
    
14.8
    
15.2
    
15.9
    
16.6
  
Interest on credit cards
    
13.7
    
17.4
    
20.6
    
24.5
    
32.1
  
Interest on other loans
    
155.0
    
190.3
    
220.3
    
240.4
    
268.9
  
Interest on other receivables from finan. interm.
    
5.7
    
3.8
    
6.2
    
3.7
    
3.6
  
Income from government & private securities (1)
    
84.4
    
191.3
    
139.6
    
156.4
    
122.6
  
Net options results
    
0.5
    
0.1
    
0.0
    
0.0
    
0.1
  
Results of guaranteed loans
    
14.4
    
2.9
    
9.0
    
9.2
    
9.3
  
CER adjustment
    
6.3
    
30.5
    
22.4
    
21.6
    
14.3
  
CVS adjustment
    
0.4
    
0.3
    
0.2
    
0.2
    
0.2
  
Difference in quoted prices of foreign currency
    
13.9
    
16.8
    
12.0
    
47.0
    
21.0
  
Other
    
33.3
    
34.7
    
38.4
    
36.7
    
58.3
  
 
                      
Total financial income
    
440.0
    
629.7
    
603.6
    
699.3
    
734.1
  
 
                      
(1) Income from government & private securities
                      
LEBAC / NOBAC
    
73.4
    
173.5
    
133.6
    
119.8
    
106.2
  
Other
    
11.0
    
17.8
    
6.0
    
36.6
    
16.4
  
TOTAL
    
84.4
    
191.3
    
139.6
    
156.4
    
122.6
  
 
In 3Q08, Banco Macro’s financial expenses of Ps.366.7 million climbed 77% or Ps. 159.7 million YoY. This performance was mainly driven by the 119% YoY increase in interest on deposits which represented 76% of total financial expenses. This can be traced to the 33% YoY increase in Banco Macro’s time deposit portfolio and the increase in market interest rates.
 
The quarterly decrease of 30% in “other” financial expenses was explained by the lower adjustment in valuation of Prestamos Garantizados (PGN).
 
Finally CER-adjusted expenses also decreased Ps.4.1 million or 39% which is attributed to the CPI evolution.

Page 3 of 18
 

FINANCIAL EXPENSES
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Interest on checking accounts
    
5.3
    
4.8
    
4.0
    
3.4
    
4.7
  
Interest on saving accounts
    
2.7
    
4.3
    
3.4
    
3.3
    
3.2
  
Interest on time deposits
    
119.3
    
150.7
    
165.7
    
186.6
    
270.4
  
Interest on loans from the financial sector
    
1.4
    
2.1
    
1.0
    
0.8
    
1.3
  
Interest on other loans from the financial sector
    
21.7
    
21.6
    
23.9
    
22.0
    
22.5
  
Interest on subordinated notes
    
11.7
    
12.0
    
11.8
    
11.5
    
11.7
  
Other Interest
    
2.6
    
1.4
    
2.3
    
2.5
    
2.0
  
CER adjustments
    
7.6
    
10.4
    
11.4
    
10.5
    
6.4
  
Deposits guarantee fond
    
5.1
    
6.1
    
6.0
    
6.2
    
6.7
  
Other
    
29.6
    
57.6
    
19.3
    
53.9
    
37.8
  
Total Financial Expenses
    
207.0
    
271.0
    
248.8
    
300.7
    
366.7
  
 
Banco Macro’s 3Q08’s net financial income was Ps.367.4 million, Ps.134.4 million or 58% higher than 3Q07 and 8% lower than 2Q08.
 
Banco Macro’s net fee income of Ps.189.2 million rose by 51% or Ps.63.7 million from last year’s level of Ps.125.5 million and climbed Ps.14.7 million or 8% QoQ, which was attributable to an increase in fees on deposit accounts and debit and credit cards.

NET FEE INCOME
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Fee charges on deposit accounts
    
101.6
    
119.8
    
126.6
    
137.9
    
152.8
  
Debit and credit card income
    
29.6
    
34.1
    
35.4
    
36.9
    
39.9
  
Other fees related to foreign trade
    
3.9
    
3.9
    
4.1
    
5.9
    
4.8
  
Credit-related fees
    
13.6
    
15.8
    
14.3
    
20.4
    
15.3
  
Lease of safe-deposit boxes
    
3.8
    
3.7
    
3.8
    
3.7
    
3.8
  
Other
    
16.0
    
16.5
    
12.6
    
13.3
    
12.2
  
Total fee income
    
168.5
    
193.8
    
196.8
    
218.1
    
228.8
  
 
                      
Total fee expenses
    
43.1
    
42.8
    
43.5
    
43.6
    
39.6
  
 
                      
Net fee income
    
125.5
    
150.9
    
153.3
    
174.5
    
189.2
  
 
Banco Macro’s administrative expenses grew by 27% YoY to Ps.297.8 million, compared to Ps.234.4 million in 3Q07. Personnel expenses and other professional fees climbed by 32% YoY attributable to the salary increase agreed with the unions (19.5% effective since March) and a slight increase in the number of employees. The quarterly growth of this line was compensated by the decrease in fees to directors & statutory auditors, resulting in 1% QoQ increase in total administrative expenses.

Page 4 of 18
 
 
Banco Macro’s efficiency ratio (expenses / net financial and fee income) largely improved to 53.5% when compared to 3Q07’s level of 65.6%.

ADMINISTRATIVE EXPENSES
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Personnel expenses
    
147.2
    
166.0
    
213.9
    
187.2
    
194.2
  
Fees to directors & statutory auditors
    
3.8
    
15.6
    
3.8
    
13.4
    
4.2
  
Other professional fees
    
9.5
    
14.2
    
10.2
    
11.8
    
14.9
  
Advertising & publicity
    
13.8
    
16.6
    
10.2
    
14.3
    
14.5
  
Taxes
    
2.9
    
2.8
    
2.7
    
3.4
    
3.0
  
Equipment depreciation
    
10.5
    
12.5
    
12.9
    
12.5
    
12.2
  
Organization expenses amortization
    
4.5
    
5.6
    
6.0
    
6.1
    
6.4
  
Other operating expenses
    
37.5
    
36.1
    
39.1
    
42.7
    
42.6
  
Other
    
4.7
    
4.8
    
3.0
    
4.9
    
5.8
  
Total Administrative Expenses
    
234.4
    
274.2
    
301.8
    
296.3
    
297.8
  
 
                      
Total Employees
    
7.848
    
7.868
    
7.846
    
7.962
    
7.958
  
Branches
    
428
   
427
   
426
   
423
   
423
 
 
                                
Efficiency ratio
    
65.6
%
  
54.0
%
  
59.4
%
  
51.7
%
  
53.5
%
 
The Bank’s net other income was Ps.11.5 million. The “other income” increase was explained by Ps.25 million from a dividend paid by Visa Argentina S.A.

NET OTHER INCOME
  
MACRO consolidated
  
In MILLION $
  
 
  
 
  
 
  
 
  
 
  
Other Income
    
III07
    
IV07
    
I08
    
II08
    
III08
  
Penalty interest
    
2.2
    
2.5
    
2.6
    
2.9
    
3.8
  
Recovered loans and allowances reversed
    
35.7
    
20.9
    
29.8
    
16.8
    
15.0
  
Other
   
8.0
    
16.1
    
21.1
    
11.7
    
35.0
  
Total Other Income
    
45.9
    
39.5
    
53.5
    
31.4
    
53.8
  
 
                      
Other Expense
                      
Uncollected charges for other loans and other provisions
    
5.6
    
4.2
    
11.4
    
4.0
    
11.4
  
Difference in amparos amortization
    
8.8
    
9.0
    
9.0
    
6.4
    
7.3
  
Goodwill amortization
    
2.4
    
2.3
    
2.1
    
2.1
    
2.1
  
Other Expense
    
18.2
    
19.5
    
18.2
    
31.8
    
21.5
  
Total Other Expense
    
35.0
    
35.0
    
40.7
    
44.3
    
42.3
  
 
                      
Net Other Income
    
10.9
    
4.5
    
12.8
    
-12.9
    
11.5
  

Finally, as of 3Q08, the effective income tax rate increased to 27.2% from the 14.3% registered in 3Q07. Nuevo Banco Bisel continues to be the only subsidiary with tax-loss carry forwards after Suquia merger.

Page 5 of 18


FINANCIAL ASSETS
 
Private sector financing
 
The volume of “core” financing to the private sector continued to grow at attractive rates (31% YoY, or Ps.2.6 billion). Aggregating the Bank’s financial trust and leasing portfolio, total financing increased 26% YoY, and netting the effects related to the Bank’s liquidity management policy (advances to AAA companies) increased 22% or Ps.2.0 billion YoY.
 
In 3Q08, the Bank’s lending portfolio expansion resulted in a 38% increase in personal loans, or Ps.1.1 billion (YoY). It is important to highlight that Banco Macro has 90% of its personal loans extended to payroll accounts. Moreover, credit card loans increased by 28% YoY.
 
In addition, discounted documents portfolio increased 34% YoY, and 28% QoQ while overdrafts to triple “A” companies portfolio valuing Ps.719.6 million (120% YoY growth) have been another financial instrument where Banco Macro allocated its excess liquidity.
 
Financial Trusts financing decreased 25% QoQ and YoY, explained by the partial redemption of Tucumán’s financial trust.

PRIVATE SECTOR LOAN PORTFOLIO
  
MACRO consolidated
  
Variation
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
Q to Q
  
Y to Y
  
 
  
 
  
 
  
 
  
 
  
 
  
 
  
 
  
Overdrafts (total)
    
1,342.8
    
1,375.1
    
1,116.7
    
2,022.5
    
1,916.2
    
-5
%
  
43
%
Overdrafts
    
1,016.0
    
1,071.4
    
928.4
    
1,233.7
    
1,196.6
          
AAA (liquidity administration)
    
326.8
    
303.7
    
188.3
    
788.8
    
719.6
          
Discounted documents
    
1,043.2
    
1,213.7
    
1,058.8
    
1,093.5
    
1,397.2
    
28
%
  
34
%
Mortgages
    
575.3
    
619.8
    
621.6
    
722.9
    
736.5
    
2
%
  
28
%
Pledges
    
324.3
    
348.0
    
362.7
    
378.3
    
340.9
    
-10
%
  
5
%
Consumer
    
2,763.2
    
3,207.5
    
3,521.7
    
3,744.1
    
3,813.9
    
2
%
  
38
%
Credit Cards
    
635.6
    
722.0
    
780.6
    
833.4
    
816.6
    
-2
%
  
28
%
Others
    
1,584.9
    
1,719.0
    
1,741.4
    
1,925.6
    
1,846.8
    
-4
%
  
17
%
Total credit to the private sector
    
8,269.3
    
9,205.1
    
9,203.5
    
10,720.3
    
10,868.1
    
1
%
  
31
%
Financial trusts
    
728.2
    
548.9
    
658.7
    
733.5
    
549.4
    
-25
%
  
-25
%
Leasing
    
373.6
    
372.9
    
387.5
    
388.9
    
380.7
    
-2
%
  
2
%
Total credit w/ f. trusts and leasing
    
9,371.1
    
10,126.9
    
10,249.7
    
11,842.7
    
11,798.2
    
0
%
  
26
%
 
                              
Total credit w/o liquidity administration
    
9,044.3
    
9,823.2
    
10,061.4
    
11,053.9
    
11,078.6
    
0
%
  
22
%

Page 6 of 18
 

PUBLIC SECTOR ASSETS
 
The Bank’s exposure of public sector assets (net of LEBAC / NOBAC) to total assets ratio remained at 6.7% in 3Q08 and at similar level than the 6.8% system’s average.

PUBLIC SECTOR ASSETS
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
LEBAC / NOBAC B.C.R.A.
    
3,853.6
    
3,268.7
    
3,856.3
    
3,118.5
    
4,227.8
  
Other
    
268.2
    
311.6
    
706.1
    
378.7
    
508.3
  
Government securities
    
4,121.8
    
3,580.3
    
4,562.4
    
3,497.2
    
4,736.1
  
Guaranteed loans
    
750.2
    
730.0
    
742.7
    
731.7
    
727.7
  
Provincial loans
    
0.4
    
0.4
    
0.4
    
0.3
    
0.1
  
Government securities loans
    
14.5
    
7.0
    
6.0
    
13.8
    
11.8
  
Loans
    
765.1
    
737.4
    
749.1
    
745.8
    
739.6
  
Purchase of government bonds
    
111.0
    
125.8
    
64.5
    
195.1
    
318.9
  
Other receivables for financial intermediation
    
111.0
    
125.8
    
64.5
    
195.1
    
318.9
  
BODEN to collect
    
14.5
    
21.9
    
22.6
    
18.7
    
17.6
  
Other receivables
    
14.5
    
21.9
    
22.6
    
18.7
    
17.6
  
 
                      
TOTAL PUBLIC SECTOR ASSETS
    
5,012.4
    
4,465.4
    
5,398.6
    
4,456.8
    
5,812.2
  
 
                      
TOTAL PUBLIC SECTOR LIABILITIES
    
642.9
    
470.0
    
580.4
    
685.1
    
618.0
  
 
                      
Net exposure
    
4,369.5
    
3,995.4
    
4,818.2
    
3,771.7
    
5,194.2
  
 
                      
TOTAL PUBLIC SECTOR ASSETS (net of LEBAC / NOBAC )
    
1,158.8
    
1,196.7
    
1,542.3
    
1,338.3
    
1,584.4
  
 
                      
TOTAL PUBLIC SECTOR ASSETS (net of LEBAC / NOBAC) /TOTAL ASSETS
    
5.9
%
  
6.0
%
  
7.1
%
  
6.3
%
  
6.7
%
 
                      
Net exposure (net of LEBAC/NOBAC) / TOTAL ASSETS
    
2.6
%
  
3.7
%
  
4.5
%
  
3.1
%
  
4.1
%

FUNDING
 
Deposits
 
Banco Macro’s total deposit base amounted to Ps.16.8 billion. The deposit base represents the most important source of funds for the Bank (80% of total liabilities).
 
Private sector deposits rose 11% or Ps.1.4 billion QoQ. This expansion was mainly explained by CDs which increased 16% or Ps.1.1 billion. Similarly, provincial public sector funding increased 21% QoQ, or Ps.0.5 billion.

Page 7 of 18
 

 
MACRO consolidated
  
Variation
  
In MILLION $
  
III 07
  
IV 07
  
I 08
  
II 08
  
III 08
  
Q to Q
  
Y to Y
  
 
  
 
  
 
  
 
  
 
  
 
  
 
  
 
  
Public sector
    
2,043.9
    
1,774.1
    
2,132.7
    
2,466.3
    
2,986.7
    
21
%
  
46
%
 
                              
Financial sector
    
9.3
    
13.3
    
9.7
    
9.9
    
13.6
    
37
%
  
46
%
 
                              
Private sector
    
11,419.2
    
11,803.7
    
12,410.1
    
12,430.8
    
13,785.0
    
11
%
  
21
%
Current accounts
    
2,370.0
    
2,599.7
    
2,552.9
    
2,536.4
    
2,715.2
    
7
%
  
15
%
Savings accounts
    
2,603.8
    
2,780.4
    
2,610.5
    
2,559.5
    
2,621.3
    
2
%
  
1
%
Time deposits
    
5,947.8
    
5,907.0
    
6,667.4
    
6,776.8
    
7,884.4
    
16
%
  
33
%
Other
    
497.7
    
516.6
    
579.3
    
558.1
    
564.1
    
1
%
  
13
%
TOTAL
    
13,472.5
    
13,591.1
    
14,552.5
    
14,907.0
    
16,785.3
    
13
%
  
25
%
 
Other sources of funds
 
In 3Q08, other sources of funds decreased Ps.98.9 million or 2% QoQ mainly explained by Bisel’s annual payment of its Central Bank debt and a reduction in inter-banking loans.
 
When compared to 2Q08, unsubordinated bonds decreased due to the cancellation of US$ 10 million nominal value of “Class 2” Notes in September, partially offset by the increase of nominal exchange rate and the impact on the Bank’s debt.
 
Additionally, subordinated bond balance also rose due to the impact of the nominal exchange rate increase (Ps.15.9 million) and the accrued interests to be paid in the period (Ps.11.5 million).
 
Finally, the Bank’s equity QoQ decrease was explained by the share buy back program (Ps 189.6 million), which was partially compensated by the quarterly net income (Ps 163.2 million).

OTHER FUNDING
 
MACRO consolidated
  
In MILLION $
  
III 07
  
IV 07
  
I  08
  
II  08
  
III 08
  
 
  
 
  
 
  
 
  
 
  
 
  
Central Bank
    
339.0
    
347.9
    
355.3
    
366.4
    
296.6
  
Banks and international institutions
    
167.6
    
164.8
    
170.5
    
212.7
    
243.3
  
Financing received from Argentine financial institutions
  
130.3
    
160.3
    
114.8
    
208.2
  
Subordinated corporate bonds
    
501.5
    
490.7
    
504.4
    
471.1
    
507.4
  
Unsubordinated corporate bonds
    
787.0
    
799.5
    
769.4
    
749.9
    
732.5
  
Shareholders´ equity
    
2,538.9
    
2,707.7
    
2,849.3
    
2,766.5
    
2,740.0
  
Total Funding
    
4,464.3
    
4,670.9
    
4,763.7
    
4,774.8
    
4,676.0
  
 
Banco Macro’s average cost of funds was 6.9% as of September 2008, one of the lowest in the banking sector. Banco Macro’s current and saving accounts continued to represent approximately 50% of its deposit base. These accounts are low cost and are not sensitive to interest rate increases.

Page 8 of 18

 
LIQUID ASSETS
 
The Bank’s liquid assets increased by 18% QoQ. During the quarter, LEBAC/NOBAC portfolio increased by Ps.1.7 billion, of wich Ps.5.8 million were repos.
 
Banco Macro’s liquid assets to deposits ratio remained at a healthy 53.7%.
 
LIQUID ASSETS
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Cash
    
2,567.6
    
3,117.4
    
2,462.1
    
3,485.0
    
3,239.3
  
Guarantees for compensating chambers
    
154.2
    
186.4
    
178.6
    
183.0
    
183.6
  
Loans to AAA companies
    
326.8
    
303.7
    
188.3
    
788.8
    
719.6
  
Call
   
28.6
    
65.0
    
130.0
    
65.0
    
52.0
  
Repos
    
25.2
    
67.0
    
18.4
    
14.5
    
8.7
  
LEBAC / NOBAC
    
4,586.0
    
3,478.2
    
4,900.6
    
3,118.5
    
4,816.5
  
TOTAL
    
7,688.4
    
7,217.7
    
7,878.0
    
7,654.8
    
9,019.7
  
 
                      
Liquid assets to total deposits
    
57.1
%
  
53.1
%
  
54.1
%
  
51.4
%
  
53.7
%

SOLVENCY
 
In 3Q08, Banco Macro showed an excess capital of Ps.1.6 billion, a value grater than the required capital amount of Ps.1.3 billion.
 
The capitalization ratio was 22.1%, well above the 10.5% minimum required by the Central Bank.

The main target for the Bank’s excess capital is growth with the consequent higher leverage of its balance sheet.

MIN.CAP.REQUIREMENT
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
Credit requirements
    
799
   
884
   
927
   
1.023
   
1.089
  
Market risk requirements
    
127
   
127
   
111
   
103
   
67
 
Interest rate requirements
    
7
   
102
   
118
   
165
   
185
 
Incremental requirements
    
18
   
36
   
148
   
11
   
0
 
Integrated capital
    
2.852
    
2.970
    
3.132
    
2.962
    
2.981
  
Excess capital
    
1.901
    
1.821
    
1.828
    
1.660
    
1.640
  

Page 9 of 18
 
 

ASSET QUALITY

 
In 3Q08, Banco Macro’s non-performing financing to total financing ratio was 2.04%, similar to the previous quarter. This slight weakening in consumer portfolio was expected by the Bank due to the lower growth rate of the Argentine economy and the portfolio maturity.
 
The coverage ratio level was 104.6%.

ASSET QUALITY
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I 08
  
II08
  
III08
  
Commercial portfolio
    
4,981.7
    
5,291.3
    
4,908.0
    
6,150.7
    
6,436.2
  
Irregular
    
47.3
    
46.2
    
67.6
    
60.6
    
61.8
  
Consumer portfolio
    
5,057.8
    
5,699.6
    
6,054.1
    
6,292.6
    
6,312.1
  
Irregular
    
87.5
    
121.8
    
150.4
    
191.4
    
198.5
  
Total portfolio
    
10,039.5
    
10,990.9
    
10,962.1
    
12,443.3
    
12,748.3
  
Irregular
    
134.8
    
168.0
    
218.0
    
252.0
    
260.4
  
Irregular / Total portfolio
    
1.34
%
  
1.53
%
  
1.99
%
  
2.03
%
  
2.04
%
Total provisions
    
211.8
    
238.3
    
241.9
    
271.7
    
272.2
  
Coverage ratio w/allowances
    
157.12
%
  
141.85
%
  
110.95
%
  
107.81
%
  
104.56
%
 
Page 10 of 18
 
 
CER EXPOSURE AND FOREIGN CURRENCY POSITION

CER EXPOSURE
  
Macro consolidated
  
In MILLION $
  
III 07
  
IV 07
  
I 08
  
II 08
  
III 08
  
 
  
 
  
 
  
 
  
 
  
 
  
CER adjustable ASSETS
                      
 
                      
Guaranteed loans
    
749.0
    
728.7
    
742.1
    
730.9
    
727.0
  
Loans to the private sector
    
57.0
    
65.5
    
60.4
    
59.7
    
54.6
  
Other loans
    
16.1
    
16.0
    
15.7
    
11.6
    
10.5
  
Loans
    
822.1
    
810.2
    
818.2
    
802.2
    
792.1
  
 
                      
Leasing
    
4.3
    
4.4
    
4.2
    
4.3
    
3.8
  
Other loans
    
12.9
    
13.1
    
12.8
    
12.8
    
3.2
  
Total CER adjustable assets
    
839.3
    
827.7
    
835.2
    
819.3
    
799.1
  
 
                      
CER adjustable LIABILITIES
                      
Deposits
    
92.9
    
74.6
    
23.2
    
13.1
    
6.5
  
Other liabilities for financial intermediation
    
379.9
    
387.2
    
396.8
    
406.1
    
338.4
  
Subordinated debt
    
2.4
    
2.5
    
2.1
    
2.2
    
11.0
  
Total CER adjustable liabilities
    
475.2
    
464.3
    
422.1
    
421.4
    
355.9
  
 
                      
NET ASSET CER EXPOSURE
    
364.1
    
363.4
    
413.1
    
397.9
    
443.2
  

 
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Cash
    
1,262.4
    
1,001.5
    
1,010.5
    
1,141.5
    
1,313.1
  
Government Securities
    
187.4
    
288.4
    
277.8
    
174.2
    
415.4
  
Loans
    
1,497.9
    
1,598.9
    
1,493.2
    
1,781.6
    
2,098.1
  
Other receivables from financial intermediation
    
228.0
    
236.2
    
163.2
    
298.7
    
390.0
  
Investments in other companies
    
1.3
    
1.3
    
1.3
    
0.4
    
0.5
  
Other receivables
    
21.2
    
22.6
    
24.4
    
52.3
    
52.9
  
Other assets
    
19.0
    
20.5
    
52.5
    
55.2
    
62.2
  
TOTAL ASSETS
    
3,217.2
    
3,169.4
    
3,022.9
    
3,504.0
    
4,332.2
  
Deposits
    
2,089.5
    
2,119.2
    
2,121.6
    
2,186.5
    
2,390.3
  
Other liabilities from financial intermediation
    
901.4
    
984.0
    
880.6
    
1,158.1
    
1,244.8
  
Other liabilities
    
5.3
    
7.3
    
4.7
    
3.9
    
9.2
  
Subordinated corporate bonds
    
499.1
    
488.2
    
502.2
    
468.9
    
495.7
  
TOTAL LIABILITIES
    
3,495.3
    
3,598.7
    
3,509.1
    
3,817.4
    
4,140.0
  
 
                      
NET FX POSITION
    
-278.1
    
-429.3
    
-486.2
    
-313.4
    
192.2
  
 
Page 11 of 18
 
 
RELEVANT AND RECENT EVENTS

 
ü
On October 1st, 2008, Banco Macro’s Board of Directors has requested to the Buenos Aires Stock Exchange its prior authorization to reduce the Bank's subscribed and paid-in capital stock in an amount of up to Ps.60 million, representing 60 million Class B shares, with a face value of $1 (one Argentine peso) each and the right to one vote per share. As of October 30th, 2008, Buenos Aires Stock Exchange did not report about this matter.

 
ü
On October 29th, 2008, the Board of Directors increased the Share Buy Back Program to 102 million ordinary shares from 68 million and the maximum amount to be invested to Ps.495 million from Ps.390 million. In addition, the price range was set between Ps.0.01 and Ps.4 per share and the Share Buy Back Program was extended for 45 additional days starting on November 4th.

 
ü
As of October 30th, 2008, Banco Macro has repurchased 62.9 million ordinary shares Class B (including ADS) totaling Ps.339.9 million according to the terms and conditions established in the Share Buy Back Program launched in January 8, 2008. Additionally, the Bank has repurchased “Class 2” and “Class 3” Notes for a nominal value of US$ 32.7 million and US$ 1.5 million respectively.
 
Page 12 of 18
 
 
QUARTERLY CONFERENCE CALL
 
A conference call to discuss this press release will be held on November 4, 2008 at 1:00 p.m. Buenos Aires time (10:00 a.m., New York time), with the presence of Jorge Pablo Brito (Member of the Executive Committee), Guillermo Stanley (Board Member), Guillermo Goldberg (Deputy General Manager) and Jorge Scarinci, (Finance and Investor Relations Manager). Dial in information:
 
(866) 550-6338 (Within the U.S.)
 
(347) 284-6930 (Outside the U.S.)
 
Conference ID: 6124572
 
DISCLAIMER
 
This press release includes forward-looking statements. We have based these forward-looking statements largely on our current beliefs, expectations and projections about future events and financial trends affecting our business. Many important factors could cause our actual results to differ substantially from those anticipated in our forward-looking statements, including, among other things: inflation; changes in interest rates and the cost of deposits; government regulation; adverse legal or regulatory disputes or proceedings; credit and other risks of lending, such as increases in defaults by borrowers; fluctuations and declines in the value of Argentine public debt; competition in banking, financial services; deterioration in regional and national business and economic conditions in Argentina; and fluctuations in the exchange rate of the peso.

The words “believe,” “may”, “will,” “aim,” “estimate,” “continue,” “anticipate,” “intend,” “expect” and similar words are intended to identify forward-looking statements. Forward-looking statements include information concerning our possible or assumed future results of operations, business strategies, financing plans, competitive position, industry environment, potential growth opportunities, the effects of future regulation and the effects of competition. Forward-looking statements speak only as of the date they were made, and we undertake no obligation to update publicly or to revise any forward-looking statements after we distribute this press release because of new information, future events or other factors. In light of the risks and uncertainties described above, the forward-looking events and circumstances discussed in this press release might not occur and are not guarantees of future performance.

This report is a summary analysis of Banco Macro's financial condition and results of operations as of and for the period indicated. For a correct interpretation, this report must be read in conjunction with all other material periodically filed with the Comisión Nacional de Valores (www.cnv.gov.ar), the Securities and Exchange Commission (www.sec.gov), the Bolsa de Comercio de Buenos Aires (www.bolsar.com.ar) and the New York Stock Exchange (www.nyse.com). In addition, the Central Bank (www.bcra.gov.ar) may publish information related to Banco Macro as of a date subsequent to the last date for which the Bank has published information.

Readers of this report must note that this is a translation made from an original version written and expressed in Spanish. Consequently, any matters of interpretation should be referred to the original version in Spanish.

INVESTOR RELATIONS CONTACTS:

In Buenos Aires:
Jorge Scarinci, CFA
Finance and Investor Relations Manager
Tel: +5411-5222-6730
E-mail: investorelations@macro.com.ar
visit our website at: www.macro.com.ar       
Page 13 of 18
 
 
QUARTERLY BALANCE SHEET
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
ASSETS
    
19,731.7
    
19,781.2
    
21,606.6
    
21,170.7
    
23,623.6
  
Cash
    
2,567.6
    
3,117.4
    
2,462.1
    
3,485.0
    
3,239.3
  
Government Securities
    
4,946.2
    
3,950.7
    
5,715.1
    
3,600.7
    
5,497.0
  
LEBAC/NOBAC
    
4,586.0
    
3,478.2
    
4,900.6
    
3,118.5
    
4,816.5
  
Other
    
360.2
    
472.5
    
814.5
    
482.2
    
680.5
  
Loans
    
9,015.9
    
10,009.4
    
10,044.8
    
11,436.9
    
11,731.5
  
to the non-Financial Government Sector
    
752.8
    
732.5
    
745.1
    
733.8
    
866.6
  
to the Financial Sector
    
80.5
    
161.7
    
183.5
    
97.9
    
115.4
  
to the non-financial private sector
    
8,376.0
    
9,335.6
    
9,339.9
    
10,858.7
    
11,009.7
  
  -Overdrafts
    
1,342.8
    
1,375.1
    
1,116.7
    
2,022.5
    
1,916.2
  
  -Discounted documents
    
1,043.2
    
1,213.7
    
1,058.8
    
1,093.5
    
1,397.2
  
  -Mortgages
    
575.3
    
619.8
    
621.6
    
722.9
    
736.5
  
  -Pledges
    
324.3
    
348.0
    
362.7
    
378.3
    
340.9
  
  -Consumer
    
2,763.2
    
3,207.5
    
3,521.8
    
3,744.1
    
3,813.9
  
  -Credit cards
    
635.6
    
722.0
    
780.6
    
833.4
    
816.6
  
  -Other
    
1,584.9
    
1,719.0
    
1,741.4
    
1,925.6
    
1,846.8
  
  - Less: int. doc., cotiz dif.
    
106.7
    
130.5
    
136.3
    
138.4
    
141.6
  
Allowances
    
-193.4
    
-220.4
    
-223.7
    
-253.5
    
-260.2
  
Other receivables from financial intermediation
    
1,740.5
    
1,226.3
    
1,902.8
    
1,216.2
    
1,751.5
  
Investments in other companies
    
10.4
    
10.4
    
10.4
    
9.7
    
28.6
  
Other receivables
    
265.5
    
254.3
    
257.7
    
238.0
    
254.7
  
Other assets
    
1,185.6
    
1,149.7
    
1,213.7
    
1,184.2
    
1,121.0
  
LIABILITIES
    
17,192.8
    
17,010.5
    
18,757.3
    
18,404.2
    
20,883.7
  
Deposits
    
13,472.5
    
13,591.1
    
14,552.5
    
14,907.0
    
16,785.3
  
From the non-financial government sector
    
2,043.9
    
1,774.1
    
2,132.7
    
2,466.3
    
2,986.7
  
From the financial sector
    
9.3
    
13.3
    
9.7
    
9.9
    
13.6
  
From the non-financial private sector
    
11,419.3
    
11,803.7
    
12,410.1
    
12,430.8
    
13,785.0
  
  -Checking accounts
    
2,370.0
    
2,599.7
    
2,552.9
    
2,536.4
    
2,715.2
  
  -Savings accounts
    
2,603.8
    
2,780.4
    
2,610.5
    
2,559.5
    
2,621.3
  
  -Time deposits
    
5,947.8
    
5,907.0
    
6,667.4
    
6,776.8
    
7,884.4
  
  -Other
    
497.7
    
516.6
    
579.3
    
558.1
    
564.1
  
Other liabilities from financial intermediation
   
2,858.7
    
2,571.9
    
3,197.0
    
2,595.9
    
3,126.8
  
Subordinated corporate bonds
    
501.5
    
490.7
    
504.4
    
471.1
    
507.4
  
Other liabilities
   
360.1
    
356.8
    
503.4
    
430.2
    
464.2
  
 
                      
STOCKHOLDERS´ EQUITY
    
2,538.9
    
2,707.7
    
2,849.3
    
2,766.5
    
2,740.0
  
 
                      
LIABILITIES + STOCKHOLDERS´ EQUITY
    
19,731.7
    
19,781.2
    
21,606.6
    
21,170.7
    
23,623.6
  
 
Page 14 of 18
 
 
QUARTERLY BALANCE SHEET
  
BISEL
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
ASSETS
    
3,513.6
    
3,757.8
    
3,836.1
    
3,957.5
    
4,401.8
  
Cash
    
400.8
    
484.4
    
417.7
    
454.6
    
430.3
  
Government Securities
    
1,089.5
    
840.5
    
1,103.8
    
867.5
    
1,065.8
  
Loans
    
1,450.4
    
1,663.3
    
1,690.2
    
1,873.7
    
1,996.6
  
to the non-Financial Government Sector
    
182.7
    
176.8
    
181.3
    
175.2
    
265.9
  
to the Financial Sector
    
0.1
    
3.3
    
0.0
    
0.0
    
0.0
  
to the non-financial private sector
    
1,295.2
    
1,515.1
    
1,550.9
    
1,743.7
    
1,777.4
  
  -Overdrafts
    
143.4
    
117.8
    
113.4
    
265.4
    
274.2
  
  -Discounted documents
    
375.4
    
469.3
    
450.9
    
420.5
    
467.3
  
  -Mortgages
    
89.8
    
103.7
    
104.1
    
106.3
    
113.4
  
  -Pledges
    
77.7
    
109.7
    
118.2
    
126.0
    
104.6
  
  -Consumer
    
284.9
    
344.3
    
383.2
    
415.3
    
425.6
  
  -Credit cards
    
176.3
    
210.0
    
220.8
    
223.5
    
194.1
  
  -Other
    
122.7
    
128.2
    
130.2
    
154.5
    
174.8
  
  -Less: int. doc., cotiz dif.
    
25.0
    
32.0
    
30.1
    
32.2
    
23.4
  
Allowances
    
-27.6
    
-31.8
    
-42.0
    
-45.2
    
-46.7
  
Other receivables from financial intermediation
    
368.1
    
572.8
    
404.3
    
532.2
    
689.3
  
Investments in other companies
    
1.3
    
1.3
    
1.3
    
0.4
    
0.4
  
Other receivables
    
41.9
    
45.6
    
46.5
    
52.7
    
58.9
  
Other assets
    
161.6
    
149.9
    
172.3
    
176.4
    
160.5
  
LIABILITIES
    
2,475.6
    
2,662.5
    
2,668.9
    
2,720.3
    
3,089.2
  
Deposits
    
1,951.0
    
1,929.9
    
2,065.9
    
1,892.9
    
2,093.6
  
From the non-financial government sector
    
19.7
    
14.7
    
20.4
    
23.6
    
27.4
  
From the financial sector
    
0.5
    
1.7
    
0.6
    
1.6
    
3.0
  
From the non-financial private sector
    
1,930.8
    
1,913.5
    
2,044.9
    
1,867.7
    
2,063.2
  
  -Checking accounts
    
498.1
    
501.8
    
552.0
    
530.0
    
604.6
  
  -Savings accounts
    
478.8
    
496.1
    
492.4
    
458.6
    
476.9
  
  -Time deposits
    
877.9
    
836.9
    
916.4
    
809.8
    
912.3
  
  -Other
    
76.0
    
78.7
    
84.1
    
69.3
    
69.4
  
Other liabilities from financial intermediation
   
472.6
    
676.5
    
539.5
    
774.2
    
952.2
  
Subordinated corporate bonds
    
0.0
    
0.0
    
0.0
    
0.0
    
0.0
  
Other liabilities
   
52.0
    
38.0
    
63.5
    
53.2
    
43.4
  
 
                      
STOCKHOLDERS´ EQUITY
    
1,038.0
    
1,113.4
    
1,167.2
    
1,237.2
    
1,312.6
  
 
                      
LIABILITIES + STOCKHOLDERS´ EQUITY
    
3,513.6
    
3,757.8
    
3,836.1
    
3,957.5
    
4,401.8
  
 
Page 15 of 18
 
 
QUARTERLY INCOME STATEMENT
  
MACRO consolidated
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Financial income
    
440.0
    
629.8
    
603.7
    
699.3
    
734.1
  
Interest on cash and due from banks
    
6.6
    
5.3
    
2.5
    
1.7
    
1.6
  
Interest on loans to the financial sector
    
5.1
    
4.8
    
2.6
    
3.9
    
4.9
  
Interest on overdrafts
    
43.8
    
58.8
    
56.6
    
77.4
    
100.4
  
Interest on documents
    
26.7
    
36.6
    
36.7
    
37.8
    
54.2
  
Interest on mortgages
    
17.7
    
21.3
    
21.3
    
22.9
    
26.0
  
Interest on pledges
    
12.5
    
14.8
    
15.2
    
15.9
    
16.6
  
Interest on credit cards
    
13.7
    
17.4
    
20.6
    
24.5
    
32.1
  
Interest on other loans
    
155.0
    
190.3
    
220.3
    
240.4
    
268.9
  
Income from government & private securities
    
84.4
    
191.3
    
139.6
    
156.4
    
122.6
  
Net options results
    
0.5
    
0.1
    
0.0
    
0.0
    
0.1
  
Results of guaranteed loans
    
14.4
    
2.9
    
9.0
    
9.2
    
9.3
  
Interest on other receivables from fin. intermediation
    
5.7
    
3.8
    
6.2
    
3.7
    
3.6
  
CER adjustment
   
6.3
    
30.5
    
22.4
    
21.6
    
14.3
  
CVS adjustment
    
0.4
    
0.3
    
0.2
    
0.2
    
0.2
  
Difference in Foreign Exchange
    
13.9
    
16.8
    
12.0
    
47.0
    
21.0
  
Other
    
33.3
    
34.7
    
38.4
    
36.7
    
58.3
  
Financial expense
    
-207.0
    
-271.0
    
-248.8
    
-300.7
    
-366.7
  
Interest on checking accounts
    
-5.3
    
-4.8
    
-4.0
    
-3.4
    
-4.7
  
Interest on saving accounts
    
-2.7
    
-4.3
    
-3.4
    
-3.3
    
-3.2
  
Interest on time deposits
    
-119.3
    
-150.7
    
-165.7
    
-186.6
    
-270.4
  
Interest on loans from the financial sector
    
-1.4
    
-2.1
    
-1.0
    
-0.8
    
-1.3
  
Interest on other loans from the financial sector
    
0.0
    
-0.1
    
0.0
    
-0.1
    
0.1
  
Interest on subordinated notes
    
-11.7
    
-12.0
    
-11.8
    
-11.5
    
-11.7
  
Other Interest
    
-2.6
    
-1.3
    
-2.3
    
-2.4
    
-2.1
  
Net Income from options
    
0.0
    
0.1
    
-0.3
    
0.1
    
0.2
  
Interest on other receivables from fin. intermediation
    
-21.7
    
-21.6
    
-23.9
    
-22.0
    
-22.5
  
CER adjustments
    
-7.6
    
-10.4
    
-11.4
    
-10.5
    
-6.4
  
Deposits guarantee fund
    
-5.1
    
-6.1
    
-6.0
    
-6.2
    
-6.7
  
Other Interest
    
-29.6
    
-57.7
    
-19.0
    
-54.0
    
-38.0
  
Net financial income
    
233.0
    
358.8
    
354.9
    
398.6
    
367.4
  
Provision for loan losses
    
-29.8
    
-33.0
    
-28.7
    
-43.2
    
-25.0
  
 
                      
Fee income
    
168.7
    
193.7
    
196.8
    
218.1
    
228.8
  
Fee expense
    
-43.1
    
-42.8
    
-43.5
    
-43.6
    
-39.6
  
Net fee income
    
125.5
    
150.9
    
153.3
    
174.5
    
189.2
  
 
                      
Administrative expense
    
-234.4
    
-274.2
    
-301.8
    
-296.3
    
-297.8
  
Minority interest
    
-0.5
    
-0.6
    
-0.6
    
-0.7
    
-1.1
  
Net other income
    
10.9
    
4.5
    
12.8
    
-12.9
    
11.5
  
Earnings before income tax
    
104.7
    
206.4
    
189.9
    
220.0
    
244.2
  
Income tax
    
-16.7
    
-37.7
    
-38.3
    
-59.0
    
-80.9
  
 
                      
Net income
    
88.0
    
168.7
    
151.6
    
161.0
    
163.2
  
 
Page 16 of 18
 
 
QUARTERLY INCOME STATEMENT
  
BISEL
  
In MILLION $
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Financial income
    
81.2
    
132.4
    
117.2
    
150.2
    
146.5
  
Interest on cash and due from banks
    
0.8
    
0.4
    
0.2
    
0.1
    
0.0
  
Interest on loans to the financial sector
    
0.0
    
0.0
    
0.0
    
0.0
    
0.1
  
Interest on overdrafts
    
6.2
    
6.8
    
7.3
    
9.0
    
14.0
  
Interest on documents
    
10.2
    
15.3
    
16.0
    
16.1
    
23.2
  
Interest on mortgages
    
2.4
    
3.3
    
3.4
    
3.5
    
3.9
  
Interest on pledges
    
2.8
    
4.6
    
5.1
    
5.6
    
5.9
  
Interest on credit cards
    
1.8
    
2.7
    
3.6
    
4.8
    
6.2
  
Interest on other loans
    
14.2
    
18.9
    
21.6
    
24.3
    
26.7
  
Income from government & private securities
    
31.3
    
65.0
    
44.6
    
59.0
    
43.9
  
Results of guaranteed loans
    
8.0
    
-3.6
    
2.4
    
2.4
    
2.5
  
Interest on other receivables from fin. intermediation
    
0.7
    
0.8
    
0.8
    
0.4
    
0.5
  
CER adjustment
   
-3.0
    
10.6
    
5.8
    
5.5
    
4.0
  
Difference in Foreign Exchange
    
1.7
    
2.8
    
1.3
    
14.2
    
4.3
  
Other
    
4.1
    
4.8
    
5.2
    
5.3
    
11.3
  
Financial expense
    
-33.6
    
-41.7
    
-32.4
    
-47.6
    
-41.4
  
Interest on checking accounts
    
-0.1
    
-0.2
    
-0.2
    
-0.2
    
-0.2
  
Interest on saving accounts
    
-0.6
    
-0.7
    
-0.7
    
-0.6
    
-0.7
  
Interest on time deposits
    
-15.2
    
-17.9
    
-18.8
    
-19.0
    
-25.5
  
Interest on loans from the financial sector
    
0.0
    
-0.1
    
0.0
    
-0.1
    
-0.2
  
Interest on other loans from the financial sector
    
0.0
    
0.0
    
0.0
    
-0.1
    
0.1
  
Other Interest
    
-0.9
    
-0.8
    
-0.9
    
-0.8
    
-0.8
  
Interest on other receivables from fin. intermediation
    
0.0
    
-0.1
    
-0.1
    
0.0
    
-0.3
  
CER adjustments
    
-2.8
    
-4.0
    
-4.7
    
-4.2
    
-2.4
  
Deposits guarantee fund
    
-0.8
    
-0.8
    
-0.9
    
-0.9
    
-0.9
  
Other Interest
    
-13.2
    
-17.1
    
-6.1
    
-21.7
    
-10.5
  
Net financial income
    
47.6
    
90.7
    
84.8
    
102.6
    
105.2
  
Provision for loan losses
    
-6.3
    
-4.8
    
-7.8
    
-7.2
    
-6.1
  
 
                      
Fee income
    
33.1
    
36.2
    
38.1
    
40.0
    
44.5
  
Fee expense
    
-4.0
    
-6.7
    
-6.1
    
-6.0
    
-6.8
  
Net fee income
    
29.1
    
29.5
    
32.0
    
34.0
    
37.6
  
 
                      
Administrative expense
    
-51.2
    
-53.4
    
-62.4
    
-64.3
    
-65.6
  
Minority interest
    
0.0
    
0.0
    
0.0
    
0.0
    
0.0
  
Net other income
    
10.7
    
13.4
    
7.3
    
4.8
    
4.3
  
Earnings before income tax
    
29.9
    
75.4
    
53.9
    
69.9
    
75.5
  
Income tax
    
0.0
    
0.0
    
0.0
    
0.0
    
0.0
  
 
                      
Net income
    
29.9
    
75.4
    
53.9
    
69.9
    
75.5
  
 
Page 17 of 18
 

QUARTER ANNUALIZED RATIOS
  
MACRO consolidated
  
 
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Profitability & performance
                      
Net interest margin
    
5.8
%
  
8.4
%
  
7.8
%
  
7.7
%
  
7.2
%
Fee income ratio
    
35.0
%
  
29.6
%
  
30.2
%
  
30.5
%
  
34.0
%
Efficiency ratio
    
65.6
%
  
54.0
%
  
59.4
%
  
51.7
%
  
53.5
%
Fee income as a percentage of adm expenses
    
53.4
%
  
54.8
%
  
50.8
%
  
58.9
%
  
63.5
%
Return on average assets
    
2.0
%
  
3.5
%
  
3.0
%
  
3.1
%
  
2.9
%
Return on average equity
    
14.5
%
  
26.2
%
  
22.0
%
  
23.6
%
  
24.2
%
Liquidity
                      
Loans as a percentage of total deposits
    
68.4
%
  
75.3
%
  
70.6
%
  
78.4
%
  
71.4
%
Liquid assets as a percentage of total deposits
    
57.1
%
  
53.1
%
  
54.1
%
  
51.4
%
  
53.7
%
Capital
                      
Total equity as a percentage of total assets
    
12.9
%
  
13.7
%
  
13.2
%
  
13.1
%
  
11.6
%
Regulatory capital as a percentage of risk weighted assets
    
28.1
%
  
26.8
%
  
27.3
%
  
22.1
%
  
22.1
%
Asset Quality
                      
Allowances over total loans
    
2.1
%
  
2.2
%
  
2.2
%
  
2.2
%
  
2.2
%
Non-performing loans as a percentage of total loans
    
1.4
%
  
1.6
%
  
2.0
%
  
2.0
%
  
2.0
%
Allowances as a percentage of non-performing loans
    
152.1
%
  
138.8
%
  
111.4
%
  
107.0
%
  
106.7
%
Amparos as a percentage of average equity
    
4.5
%
  
3.9
%
  
3.3
%
  
3.2
%
  
1.3
%
 
PERIOD ANNUALIZED RATIOS
  
MACRO consolidated
  
 
  
III07
  
IV07
  
I08
  
II08
  
III08
  
 
  
 
  
 
  
 
  
 
  
 
  
Profitability & performance
                      
Net interest margin
    
6.4
%
  
6.9
%
  
7.8
%
  
7.7
%
  
7.6
%
Fee income ratio
    
33.2
%
  
32.0
%
  
30.2
%
  
30.3
%
  
31.6
%
Efficiency ratio
    
62.7
%
  
59.9
%
  
59.4
%
  
55.3
%
  
54.7
%
Fee income as a percentage of adm expenses
    
53.0
%
  
53.5
%
  
50.8
%
  
54.8
%
  
57.7
%
Return on average assets
    
2.6
%
  
2.8
%
  
3.0
%
  
3.0
%
  
3.0
%
Return on average equity
    
18.4
%
  
20.2
%
  
22.0
%
  
22.8
%
  
23.3
%
Liquidity
                      
Loans as a percentage of total deposits
    
68.4
%
  
75.3
%
  
70.6
%
  
78.4
%
  
71.4
%
Liquid assets as a percentage of total deposits
    
57.1
%
  
53.1
%
  
54.1
%
  
51.4
%
  
53.7
%
Capital
                      
Total equity as a percentage of total assets
    
12.9
%
  
13.7
%
  
13.2
%
  
13.0
%
  
11.6
%
Regulatory capital as a percentage of risk weighted assets
    
28.1
%
  
26.8
%
  
27.3
%
  
22.1
%
  
22.1
%
Asset Quality
                      
Allowances over total loans
    
2.1
%
  
2.2
%
  
2.2
%
  
2.2
%
  
2.2
%
Non-performing loans as a percentage of total loans
    
1.4
%
  
1.6
%
  
2.0
%
  
2.0
%
  
2.0
%
Allowances as a percentage of non-performing loans
    
152.1
%
  
138.8
%
  
111.4
%
  
107.0
%
  
106.7
%
Amparos as a percentage of average equity
    
4.6
%
  
4.1
%
  
3.3
%
  
3.2
%
  
1.3
%
 
Page 18 of 18
 
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, thereto duly authorized.
 
Date: November 03, 2008    
  MACRO BANK INC.
 
 		  
 		  
 
  By:   /s/ 
 
Name:  Luis Cerolini
  Title:    Director