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Top
executives of RBTT and Royal Bank of Canada (RBC) respond
to questions at a press conference at the Hilton Trinidad
and Conference Centre, St Ann’s yesterday. From left:
Peter Armenio, head—US and international banking of
RBC, Peter July RBTT group chairman, and RBTT group CEO
Suresh Sookoo n See pg 16 Photo: Jennifer Watson
BY
VERNE BURNETT
Top executives of RBTT and Royal Bank of Canada (RBC) yesterday
assured RBTT employees that there will be no loss of jobs
as a result of the takeover of the local bank by RBC.
“I
would like to reaffirm what we said back in October: No
one will lose his or her job as a result of this acquisition,”
said Peter Armenio, head—US and international banking
of RBC.
He made the statement at a joint press conference at the
Hilton Trinidad and Conference Centre, St Ann’s.
“Without
a doubt this transaction is about expansion and growth,”
Armenio added.
A statement distributed to journalists at the press conference
said the new banking group will have 130 branch offices,
1.6 million clients and nearly 7,000 employees.
RBTT group chairman Peter July said, “The combination
of RBTT and RBC operations in the Caribbean represents a
complementary and excellent fit, and will be mutually beneficial
to both companies. It will create an extensive Caribbean
banking network with assets of US$13.7 billion and a presence
in 18 countries, spanning the region from the Bahamas in
the North to Suriname in the South.”
Armenio said, “The relative size of RBTT and its local
market leadership, knowledge and insight are critical components
of this decision.”
Armenio said July will remain chairman of the bank after
the RBC takeover, while Suresh Sookoo currently RBTT group
CEO will become CEO of RBC’s Caribbean operations.
He said more than 70 per cent of the new board will comprise
nationals of T&T.
He said the entity will continue to be known as RBTT, although
over time there will be a gradual transition to RBC as the
“predominant brand.”
Despite widespread commentary about the deal in the press,
July said all the feedback from shareholders had been positive.
He said there had been no dissent.
July stressed that RBTT did not seek the takeover because
the bank was in trouble. July said the RBTT board and management
had for some time been looking at the global changes taking
place and after considering all the options had decided
that a partnership with RBC was the way forward. He said
that the partnership would bring value to RBTT shareholders.
He cited several advantages of the deal, noting among other
things, that the partnership will give the new entity greater
lending capacity.
July said that although RBTT was the biggest and most profitable
banking group in the Caribbean it was unable to provide
financing to the energy sector, because “we’re
too small.”
July asked, “How can T&T contemplate going forward
with a banking system which cannot support its Government
in its biggest and most important industry—oil and
gas?”
He added that many of RBTT’s employees came out of
RBC and were nurtured by RBC. He said all this made the
partnership “a recipe for success.”
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