The importance and size of the international deal reveals the extent to which UniCredit has transformed itself in recent years. Previously known as Credito Italiano, the bank had such a dull reputation that, for many years, it was best known for using a former Miss World, dressed in pinstripes, in its advertising.
UniCredit is now among Europe’s financial leaders for profitability and efficiency. At the start of this year it was the only Italian bank with an AA- rating, although that is now under observation following news of the HypoVereinsbank deal.
UniCredit has become the most European of Italy’s banks, having seized opportunities arising from the fall of the Iron Curtain and the entry of former Communist Bloc members into the European Union.
Since 1999, it has developed a large network in central and eastern Europe. About 40% of the bank’s 69,000 staff are employed in the 1300 branches (from a total of 4500) in what it calls its New Europe division.
With banks in Bulgaria, Croatia, the Czech Republic, Poland, Romania, the Slovak Republic and Turkey, UniCredit is now the main western banking group in central and eastern Europe.
Alessandro Profumo, 48, the managing director of UniCredit, has been responsible for turning around the organisation’s fortunes and has been credited with fostering teamwork at the bank since he came on board in 1994.
Before he joined UniCredit,Mr Profumo spent 10 years with Banco Lariano and worked for management consultancies McKinsey and Bain Cuneo for four years. Last year he was honoured with an award by President Ciampi, whose knowledge of banking is extensive. Mr Ciampi joined the Bank of Italy in 1946 and was its governor from 1979 until 1993.
