Promsvyazbank Equity Investment

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The EBRD is considering equity investment into newly issued ordinary voting shares of Promsvyazbank, one of the largest private banks in the Russian Federation, by subscribing for up to 12 percent of capital and voting rights. The operation will come as part of EBRD response to the financial crisis and will contribute to the capitalisation of the Russian banking system by supporting one of the key market players in the difficult environment. The operation will provide new capital to Promsvyazbank and thus will render support to one of the major Russian banks at the time when capital is scarce in the banking system. EBRD will assist Promsvyazbank in integrating small regional banks acquired so far and in further developing banking business in Russia’s regions. The participation of the EBRD is also expected to result in further enhancements in corporate governance and institution building. The operation intends to send an important positive message to the market and have a strong demonstration effect. Promsvyazbank is the 11th largest bank in Russia and the second largest locally owned private universal bank with network covering over 90 Russian cities. The bank is owned by local shareholders Messrs. Alexey and Dmitry Ananiev owning PromsvyazCapital B.V. (84.68% in total) and Commerzbank AG, Germany (15.32%). In view of sensitivity of the project, information will be disclosed after Board consideration. In view of sensitivity of the project, information will be disclosed after Board consideration. Categorised FI in accordance with EBRD's 2008 Environmental and Social Policy. Due diligence has reviewed the capacity of the client to effectively adopt and implement Bank’s Performance Requirements and found that it is satisfactory. Promsvyazbank, an existing client, will be required to comply with the Bank's Performance Requirements 2 (Labour and Working Conditions) and 9 (Financial Intermediaries) which include implementation of the Bank's Environmental and Social Procedures for Corporate Lending across the full range of its business activities and adherence to EBRD's Environmental and Social Exclusion and Referral Lists. Promsvyazbank will be required to submit to the Bank annual reports on environmental and social matters and the implementation of Performance Requirements 2 and 9. None. Andrey Naumenko Investor Relations Tel; +7 (495) 411 51 19 E-mail: ir@psbank.ru