Manx Financial Regulatory News (MFX)

25 Apr 2008 07:00

Conister Financial Group plc25 April 2008 FOR IMMEDIATE RELEASE 25 April 2008 Conister Financial Group plc ("CFG" or the "Company") Appointment of CEO and strengthening of the executive team Conister Financial Group plc ("CFG") announces today moves to strengthen theexecutive team following the Scheme of Arrangement implemented in January ofthis year. Arron Banks has been appointed CEO of CFG with immediate effect. Arron (aged 42) is currently a non-executive director of CFG and a significantshareholder with a beneficial interest of nearly 15% of the issued sharecapital. He has had a successful career in financial services buildingsignificant shareholder value in the insurance industry. He founded GroupDirect, a top 30 UK insurance broker and also founded and has a controllinginterest in Southern Rock Insurance Company, one of the fastest growing directinternet insurers in the UK. Arron commented, "I am looking forward to the CFG role enormously, Conister Trust has a 70 yearhistory on the Isle of Man and we intend to build the business into one of themost successful institutions on the Island. The expansion of CFG into thepre-paid card market marks a change of direction and shows our desire to expandCFG into new areas. The pre-paid card industry has massive potential and we arealready making solid progress." Chris Johnstone (a 49 year old Chartered Accountant) has been appointed asInterim Finance Director (non-board appointment) to support Arron in thedevelopment of CFG. Chris had a long and successful track record at Provident Financial plc. AsManaging Director of its Insurance Division he expanded the motor insurancebusiness from 100,000 customers to over 850,000 customers in a little over 5years. The business was generating £40m profits when it was sold in 2007 for£170m to GMAC Insurance Holdings Inc. Chris also led the turnaround of ColonnadeInsurance Brokers from a loss making business to one generating £1.4m profitsbefore its successful sale to the Swinton Group for £27m in 2002. In 2001 Chris was appointed to the Provident Financial plc Board withresponsibility for its UK credit operations; he established Vanquis Bank tooffer credit cards, and Chaired Yes Car Credit after its acquisition in 2002. In September last year Chris teamed up with Arron and successfully handled thesale of Brightside Group plc's insolvency business to Debts.co.uk for £1.1m. Jerry Linehan, the current CEO of CFG takes on the new role of CEO of ConisterTrust Limited, the Banking Division of the Group and remains a Director of CFG. In this new role Jerry will be able to focus exclusively on the Banking Divisionat a time when there are a significant number of global opportunities as aresult of the sub-prime/credit crisis, which continues to impact the BankingSector. Conister Trust has no debt on its balance sheet, has raised £13m ofcapital over the last 18 months, is very well capitalised and has no exposure tothe sub-prime market. Jim Mellon, Chairman, commenting on these changes said, "Arron has been a significant shareholder and non-executive Director of CFG for3 years and I am delighted he has accepted the role of CEO. He has a first classrecord of creating shareholder value and this is a great opportunity for him tobring his strong business and entrepreneurial skills to the newly formed Group.Chris brings a wealth of knowledge and experience to the finance team as westart to develop CFG. These moves leave Jerry free to expand the BankingDivision, which is well placed to exploit the current opportunities in thatsector. All in all these moves are a very positive first step to strengtheningthe executive management of the Group." For further information please contact: Conister Financial Group plc Arron Banks/Chris Johnstone 07918 608480 Beaumont Cornish Limited Roland Cornish +44 (0) 20 7628 3396 This information is provided by RNS The company news service from the London Stock Exchange