ABUJA, July 20 (Reuters) - Oceanic Bank (OCBK.LG) reported a 42 billion naira ($287 million) charge for the 15-month period ending Dec. 31, 2008, the Nigerian bourse said on Monday.

The bank's net profit fell 45 percent during the 15 months to the end of 2008 compared with the 12-month period to Sept. 30, 2007. Oceanic reported a 151 percent rise in gross earnings during the 15-month period to the end of 2008 versus the previous 12 months.

The 15-month reporting period was a result of Oceanic's conforming to an industry-wide adoption of common-year end financial reporting by the end of this year.

The central bank, led by new Governor Lamido Sanusi, has ordered Nigerian banks to adopt a common financial year-end accounting standard to restore investor confidence and enable comparisons within the sector.

Weak disclosure requirements in Nigeria have fuelled concerns about the health of its banks, particularly their exposure to falling capital markets after explosive balance sheet growth in recent years saw them take on higher levels of unsecured risk. [ID:nLD725749]

Analysts welcomed the reporting of Oceanic's multi-billion naira charge, saying its transparency could help other Nigerian banks follow suit.

"This is significant. It sets the trail for others to follow without fear," said Bismarck Rewane, chief executive of Lagos-based consultancy Financial Derivatives.

Companies currently issue quarterly and annual reports based on varying financial calendars, making it difficult for analysts to compare one back with another. (Reporting by Randy Fabi; Editing by Dan Lalor) ($1 = 146.30 naira)

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http://www.reuters.com/article/rbssFinancialServicesAndRealEstateNews/idUSLK10526120090720

What nonsense transparency and significant cue for others to follow?

The bank has earmarked virtually all its PAT (Profit after Tax) to cover losses, they could have simply utilized part of the profits for this purpose and equally paid dividend regardless the amount paid. First bank did earmark part of its profits for same purpose as Oceanic yet they paid dividends + bonus to shareholders; that is "corporate responsibility". Other banks (Zenith, GTB, Access & co) have paid dividends in the same financial year.

Oceanic bank's action is tantamount to gross misconduct, negligence and callousness towards shareholders, yet it is believed (rumored) that their staff are the highest paid in the banking industry.

When I say shareholders I refer to the shareholders that plunged their hard earned money (salaries, sale of valuable belongings etc) into Oceanic shares, and having lost over 75% of initial investment, even a pittance in the name of dividend would have given these shareholders solace. Giving shareholders a bonus issue of 1 for 10 is inimical because the value of their (Oceanic) shares are almost worthless and cannot even be sold!

MAITEMA, I THINK YOU HAVE SAID IT ALL SOONER THAN LATTER THE NEW CBN AUDIT WILL EXPOSE ALL THE ''419 BANK ''FOR WHAT THE ARE.