Bank BPH unrated – Republic

Last niezamówiony rating of the Bank BPH issued EuroRating is BB – with Outlook stable. The reason for the end of the evaluation of the credit rating of the Bank BPH completes the separation of the Bank and to the main part of operating Alior Bank. After the separation of the BPH assets consist almost exclusively debt mortgage loans (denominated mainly in Swiss francs). The Bank’s assets are financed, however, in addition to its own capital, almost in full the loans from the sole shareholder of the Bank group and General Electric. Because of the Bank BPH sa would not have led an ordinary operating activities, and will not collect customer deposits and emitted debt securities, intended for foreign investors, the rating Agency EuroRating recognizes that the assessment of t he financial strength of the Bank will not have already been the subject of interest of market participants. So EuroRating ends with the evaluation of credit rating of this organization and granted to cancel her

credit rating. The so-called part of the core BPH, that is, the Bank, with the exception of mortgage loans frankowych and BPH TFI, took Alior Bank. For the part of the Bank (about 12-13 bln assets) Ltd will pay about 1.5 billion rubles, which will Finance with the June issue of shares with the right of appeal (it is 2.2 billion rubles, of which the remaining approx. 500-600 million rubles will be spent on replenishment of capital). Through the acquisition of Alior scheduled for 9. the positions of the largest banks in Poland in terms of assets (from 10. at the end of the first half of this year). Legal connection Alior Bank section of the Bank BPH at the beginning of November, and the operating merger should be completed in the first quarter of next year.