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THE MARKET
The Australian banking market is
highly competitve. In 2006, the
Australian regional business of
National Australia Bank Limited
reignited its brand and recommitted to
helping customers fulfil their
aspirations.
NationalAustralia Bank Limited is
a international financial services
organisation that is building a portfolio
of brands and businesses positioned
for success. These include NAB with
MLC in Australia; Bank of New
Zealand; Clydesdale and Yorkshire
banks in the UK; and nabCapital, its
global institutional markets and
services business.
ACHIEVEMENTS
In2006,NationalAustraliaBankLimitedhadarecord
year, not only in returns but also with great service,
great products and great advice.
Full year results for 2006 were a standout. Net
profit increased by 10% to $4.39 billion and cash
earnings across theGroup (before significant items)
were $3.97 billion, an increase of 21.9%. Every part
of the business contributed to this growth.
NAB’s purpose is to deliver satisfactory returns
to shareholders, and it is delivering on that purpose.
NAB’s success is due to two key elements: the
continuing efforts and customer focus of the bank’s
people right around the Group, and the two and a
half years of detailedplanning, hardworkandcareful
implementation of the regional model.
NAB reignited the brand and recommitted to
helping customers fulfil their aspirations. Backing
its people and customers is the hallmark of theNAB
brand and since staff united around this belief,
performance has lifted inmanyways. NABenjoyed
the largest percentage improvement among the
major banks for customer satisfaction in the year to
September 2006.
NAB also received many prestigious industry
awards. These includedBank of theYear byMoney
Magazine/Cannex in the 2006 Consumer Finance
Awards; Business Bank of the Year in CFO
Magazine’s 2006 Awards; Best Life Insurance
Company 2006 byAustralianBanking and Finance
magazine; Best Life InsuranceCompany of theYear
2006 in the Australia and New Zealand Insurance
Industry Awards; and Best New
Product of the Year
2006 in Rainmaker
Marketing Symposium
(MLC Longer Term
Absolute
Return
Portfolio). NAB also
received Asian Banker
Magazine’s Retail Risk
Management Award;
Company of the Year for
National Leads CRM tool
in the International Direct MarketingAwards; and
very importantly the award for ‘Brand
Revitalisation 2006’ by theAustralian Marketing
Institute.
HISTORY
NationalAustralia Bank today is the product of the
1981merger of two ofAustralia’s oldest banks, the
National Bank ofAustralasia (established in 1858)
and the Commercial Banking Company of Sydney
(established in 1834).
The original National Bank of Australasia was
born during the great Victorian gold
rushes of the 1850s while the CBC of
Sydney grew to service the expanding
pastoral and farming industries of the
then Colony of New South Wales.
Helped by a series of acquisitions, the
operations of both banks eventually
spanned the continent. Well into the
20th century the growth of the two
banks paralleled and contributed to the
development of a young nation. The
1981 merger brought these two great
organisations together and combined
the heritage of the two brands to form
NationalAustralia Bank Limited. This
proud heritage is clearly evident in a
network of numerous historic branch
buildings, many of which date back to
the 19th century and are classified by
the National Trust. Such heritage is a
cornerstone of the National Australia Bank brand.
With the emergence of deregulation and
increased competition in the 1980s the newly-
formedNationalAustralia Bankwas well placed to
succeed in the domestic marketplace as well as
expand operations offshore. In1987 the National
acquired Clydesdale Bank followed by Yorkshire
Bank in 1990, Bank of New Zealand in 1992 and
MichiganNational Bank in 1995.
THE PRODUCT
NAB is an international
financial
services
organisation
which
provides a comprehensive
and integrated range of
financial products and
services.
National Australia
BankLimited is organised
around three regional
businesses: Australia, UK/Europe and New
Zealand. These regions include the retail bank
brands, wealth management services and the
transactional and custodial operations of the former
Institutional Markets & Services division. In
addition there is global business nabCapital, which
focuses on debt, risk management and investment
products for corporate and institutional customers.
Retail bank brands are the National Australia
Bank (Australia), Bank of New Zealand (New
Zealand), andYorkshireBank andClydesdaleBank
(UnitedKingdom).
Business and Private Banking is performing
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