ECONOMY

Eurobank’s voluntary exit program is successful

The response by Eurobank employees to the state-owned lender’s voluntary exit program has exceeded management expectations as some 1,100 staff have applied to participate.

The reduction in the number of employees will lead to a drop in salary costs of an estimated 55 million euros on an annual basis.

Group sources spoke yesterday of a balanced spread of employees participating across the network and its administrative agencies. This allows for the restructuring of the bank and will aid in the achievement of synergies the bank is aiming at with its merger with the new Hellenic Postbank (TT) and with Proton Bank, as Eurobank costs will be slashed and the administrative staff of TT and Proton will be incorporated smoothly.

Total synergies from the merger with the new TT and Proton will exceed 200 million euros per year via the unification of the central agencies and the databases of the three lenders, besides their more efficient operation.

Eurobank’s shares climbed 0.86 percent on the Athens Stock Exchange on Monday.

The bank has started the process for its 2-billion-euro share capital increase.