This coming Friday will be the last day of the Co-op bank in its current form and also the start of a process to transfer certain assets and liabilities to the Hellenic Bank.
The Co-op bank, as a brand name, will disappear in the next 15 months, in line with Cyprus’ obligations towards European banking authorities.
“The keys, if you like, will be handed over on Friday,” said Hellenic’s Irena Georgiadou, chair of the integration committee that will oversee the absorption of the Co-op bank.
In an interview with CyBC radio in the morning, Georgiadou said customers will be informed of any changes arising from the transfer but there will not be any amendments to loan agreements, insurance policies and so on.
One other matter Hellenic would be dealing with are the Co-op’s 172 branches, which are scattered across the island, including some in remote communities.
The plan, even before the sale, was to close around 100 branches, leaving Hellenic with around 125 branches island-wide, the biggest branch network in Cyprus.
Daily Politis reported on Sunday that 40 branches will go initially. Most concern outlets in urban areas where Hellenic also has a presence, and those in the countryside that used to open once a week. The Co-op management had planned to shutter them but political pressure prevented them.
Certain ATMs in the countryside will also be removed since it had been determined that essentially, they had no purpose.
Georgiadou said adjustments and changes to the plans were taking place on a daily basis, taking into consideration various parameters like government plans for rural development, which include concentrating public services at one village that will serve a bigger area.
Certain branches will also be affected by the Co-op’s voluntary retirement scheme, according to Georgiadou. Some of them could remain closed on Monday because their staff – less than a handful – had opted out.
Georgiadou assured that every effort would be made to avoid inconvenience. Mobile units will also be put into operation to serve remote areas.
“Everything will be ready on Monday and everyone will be informed,” Georgiadou said.
Source: Cyprus Mail
