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					                                                                                                                         CUSTOMER STORY

                                                       Piraeus Bank Group balances
                                                       credit risk, achieves cost and
                                                       time savings with SAS

Toula Efthymiou, Director of Credit Risk and Capital Management

■ Industry                                             In today’s turbulent economy, rigorous        Implementing automated credit scoring
  Banking                                              and accurate credit risk management is        resulted in cost and time savings, and
                                                       critical to mitigating exposure. That’s why   laid the foundation for more-informed
■ Business Issue                                       Piraeus Bank Group uses SAS® Credit           decision support.
                                                       Scoring for Banking. With SAS, the bank
  Maintain appropriate levels of
                                                       has streamlined and automated the way         “With SAS, we have achieved significant
  credit risk to grow in an ailing
                                                       it collects and manages risk data,            economies of scale in terms of resources,
  economy; automate and integrate
                                                       optimizes model development, and              personnel cost and time,” Efthymiou says.
  data management, reporting, and
                                                       produces reports with greater speed and       “As an example, we can now implement a
  model development and validation.
                                                       accuracy. The result? Cost and time           statistical analysis at least 30 percent
                                                       savings – and continued vitality even in      faster than before. Additionally, at an
■ Solution
                                                       hard times.                                   economic analysis level, the process is
  SAS® Credit Scoring for Banking                                                                    now far less time consuming.”
                                                       Piraeus Bank Group - one of Greece’s
■ Benefits                                             most dynamic and active financial             Growing business, despite the economy
  Save time and costs through                          institutions - comprises a network of         With the recession, Piraeus Bank Group
  efficiency gains, such as reducing                   companies that cover all financial and        knew that it was more important than
  data analysis and report generation                  banking activities in Greece. While it        ever to shield itself from too much credit
  time by more than 30 percent.                        has a growing presence in the global          exposure that could result in higher
                                                       financial centers of London and New           default rates and charge-off percentages.
                                                       York, Piraeus Bank Group’s activities
                                                       are focused in Southeastern Europe            The bank sought a technology solution
                                                       and the Eastern Mediterranean region.         that would quickly and accurately
                                                                                                     support decisions to maintain the right
                                                       Processing and integrating data from the      level of exposure to avoid losing
                                                       bank’s core systems with separate             business and revenue.
                                                       platforms posed challenges for Piraeus
                                                       Bank Group’s risk team, says Toula            With SAS, Piraeus Bank Group now has
                                                       Efthymiou, Director of Credit Risk and        an automated credit-scoring solution
                                                       Capital Management. Managing credit           that streamlines reporting processes
                                                       risk and providing optimum management         for faster distribution of more accurate
                                                       of the bank’s capital resources – the         decision-critical intelligence, says
                                                       primary duties of her division – became       Efthymiou. The solution provides a
                                                       even more challenging when Greece’s           single platform for statistical analysis
                                                       economy suffered a brutal hit at the          and data mining, data collection and
                                                       outset of the global recession.               management, reporting and model
                                                       Better analytics in 30 percent less time
                                                       Despite Greece’s economic woes,
                                                       Piraeus Bank Group has managed to
                                                       strengthen its position in the market.
  “We have achieved significant economies of scale in terms of resources,
   personnel cost and time.”

     Toula Efthymiou
     Director of Credit Risk and Capital Management Division, Piraeus Bank Group

As a result, Efthymiou adds, Piraeus                                           better understanding of the specific risk                                       Efthymiou says her employees have
Bank Group has strengthened its                                                characteristics and subsequent                                                  embraced their SAS solution, delighted
already pre-eminent position in Greece’s                                       attributes of our customers’ profiles that                                      with its user-friendliness and speed.
banking system.                                                                lead to delinquency, default, and                                               And they are eager to expand their
                                                                               ultimately, bad debt.”                                                          existing platform know-how. In fact,
Analytics with a view                                                                                                                                          by exploring the new analytics modules
“SAS has provided us an integrated                                             Efthymiou’s division is using SAS to                                            in the solution, some users have
environment to totally control credit                                          develop and implement methodologies                                             discovered new insights within the data
risk,” Efthymiou says. “Now we can                                             that connect credit performance with                                            that enable faster decision support for
perform data mining, sophisticated                                             economic cycle status and characteris-                                          senior managers.
statistical analysis and model develop-                                        tics. This capability allows the bank to
ment quickly and accurately in order to                                        manage credit cycles proactively,                                               “With the success we’ve had so far,”
assess and control risk within existing                                        according to current economic and                                               Efthymiou says, “I foresee using the
credit portfolios. Moreover, through                                           business conditions.                                                            solution in the bank’s other divisions.”
enterprise data access and collection,
as well as predictive analysis, we’ll get a

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have shared their successes with SAS as part of an agreed-upon contractual exchange or project success summarization following a successful implementation of SAS software.