HSBC Bank Malta p.l.c. First Half 2010 Results/9 Statements of Cash Flows for the period 1 January 2010 to 30 June 2010 Group Bank 6 mths to 6 mths to 6 mths to 6 mths to 30/06/10 30/06/09 30/06/10 30/06/09 000 000 000 000 Cash flows (used in)/from operating activities Interest, commission and premium receipts 124,544 137,090 92,153 108,441 Interest, commission and claims payments (31,330) (52,702) (22,767) (44,130) Payments to employees and suppliers (40,869) (42,641) (35,561) (40,487) Operating profit before changes in operating assets/liabilities 52,345 41,747 33,825 23,824 (Increase)/decrease in operating assets: Trading instruments (16,297) 19,572 - 150 Reserve deposit with Central Bank of Malta (8,390) 4,066 (8,390) 4,066 Loans and advances to customers and banks (1,202) 176,032 (1,266) 176,031 Treasury Bills (362,745) (58,958) (362,745) (76,342) Other receivables (19,074) (5,040) (2,887) (5,744) Increase/(decrease) in operating liabilities: Customer accounts and amounts owed to banks 55,146 (25,575) 60,501 9,940 Other payables 28,086 26,401 14,620 17,149 Net cash (used in)/from operating activities before tax (272,131) 178,245 (266,342) 149,074 Tax paid (5,421) (7,372) (5,171) (6,840) Net cash (used in)/from operating activities (277,552) 170,873 (271,513) 142,234 Cash flows (used in)/from investing activities Dividends received 21 29 349 8,028 Interest received from financial investments 7,487 8,930 5,590 8,801 Proceeds from sale and maturity of financial investments 35,693 119,970 35,693 117,479 Proceeds on sale of property and equipment and intangible assets 390 - 349 - Purchase of financial investments (243,473) (118,721) (243,569) (90,459) Purchase of property and equipment, investment property and intangible assets (2,804) (1,084) (2,773) (1,077) Net cash (used in)/from investing activities (202,686) 9,124 (204,361) 42,772 Cash flows used in financing activities Dividends paid (15,176) (18,211) (15,176) (18,211) Cash used in financing activities (15,176) (18,211) (15,176) (1 8,211) (Decrease)/increase in cash and cash equivalents (495,414) 161,786 (491,050) 166,795 Effect of exchange rate changes on cash and cash equivalents 65,816 17,467 65,816 17,467 Net (decrease)/increase in cash and cash equivalents (561,230) 144,319 (556,866) 149,328 (495,414) 161,786 (491,050) 166,795 Cash and cash equivalents at beginning of period 548,815 304,595 544,447 299,572 Cash and cash equivalents at end of period 53,401 466,381 53,397 466,367 HSBC Bank Malta p.l.c. First Half 2010 Results/10 Segmental Information The groups segments are organised into three business lines: Personal Financial Services, Commercial Banking and Global Banking and Markets. The business lines reflect the way the CEO, as chief operating decision-maker, reviews financial information in order to make decisions about allocating resources and assessing performance. Personal Commercial Global Banking and Intersegment Group Total Financial Services Banking Markets 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 6 mths 6 mths to 6 mths to 6 mths to to 30/06/10 30/06/09 30/06/10 30/06/09 30/06/10 30/06/09 30/06/10 30/06/09 30/06/10 30/06/09 000 000 000 000 000 000 000 000 000 000 Group Net interest income - external 25,915 8,532 28,486 30,852 6,368 8,778 - - 60,769 48,162 - inter-segment 7,307 15,830 (5,323) (7,769) (1,984) (8,061) - - - - 33,222 24,362 23,163 23,083 4,384 717 - - 60,769 48,162 Net non-interest income - external 11,921 13,917 7,806 7,710 3,915 5,077 - - 23,642 26,704 - inter-segment 57 88 - - 68 (88) (125) - - - 11,978 14,005 7,806 7,710 3,983 4,989 (125) - 23, 642 26,704 External employee compensation and benefits (17,230) (15,907) (5,649) (6,683) (1,163) (1,231) - - (24,042) (23,821) General and administrative expenses - external (9,373) (9,604) (2,861) (2,834) (1,023) (954) - - (13,257) (13,392) - inter-segment (125) - - - - - 125 - - - (9,498) (9,604) (2,861) (2,834) (1,023) (954) 125 - (13,257) (13,392) External depreciation (2,210) (2,256) (791) (907) (8) (9) - - (3,009) (3,172) External amortisation (370) (392) (126) (165) (31) (31) - - (527) (588) External net impairment (1,124) (967) (284) 1,850 - - - - (1,408) 883 External net provisions for liabilities and other charges 8 - - (10) 21 (1) - - 29 (11) Profit before tax 14,776 9,241 21,258 22,044 6,163 3,480 - - 42,197 34,765 (MORE TO FOLLOW) Dow Jones Newswires August 01, 2010 20:35 ET (00:35 GMT)