EANS-Adhoc: Kommunalkredit Austria AG / Private Sector Involvement - Greece

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Kommunalkredit Austria AG / Private Sector Involvement - Greece

09.03.2012

Kommunalkredit Austria AG / Private Sector Involvement - Greece

The Republic of Greece has published the result of the debt
restructuring votes under the Private Sector Involvement (PSI)
programme agreed with the Institute of International Finance (IIF)
and published on 24 February 2012 today. Kommunalkredit Austria AG
(KA) has participated in the PSI programme with Greek government
bonds of a nominal value of EUR 150 million. KA has no other Greek
sovereign exposure and has not underwritten any credit default swaps
(CDS).

For KA this measure, as well as the portfolio reduction since the
2011 Interim Report, results in an additional provisioning
requirement in the amount of EUR 142.2 million, which will be taken
into consideration in the result for the year 2011. The bank will
publish its result for the year 2011 after the Supervisory Board
meeting convened for the purpose of approving the annual accounts in
April 2012. Due to the one-off charge resulting from participation in
the PSI programme, KA expects to close 2011 with a negative result
for the year of around EUR 120 million according to Austrian GAAP and
approx. EUR 140 million according to IFRS. The preliminary operating
result, amounting to about EUR 25 million, is above budget.

KA continues to have a sound capital position and will not require
government support. The bank has sufficient strength to assume the
burden of the Greek debt writedown on its own. After the above
measures and based on its preliminary figures, the bank expects to
report a tier-1 ratio of well above 11% and a total capital ratio of
14% as of 31 December 2011.

Further information: German and English version
http://www.kommunalkredit.at

Language: German, English

Issuer: Kommunalkredit Austria AG
Tuerkenstrasse 9
1092 Vienna
Austria
Phone: +43/1/31 6 31-678
E-mail: investorrelations@kommunalkredit.at

Internet:www.kommunalkredit.at

ISIN:
XS0285503248, XS0252707624, XS0437341307, AT0000329859, DE0002490505,
XS0373257590, XS0340901908, XS0336932065, XS0302365134, XS0299062389,
XS0289015777, XS0286031777, XS0271821513, XS0270872640, XS0267998481,
XS0266826659, XS0261832942, XS0260020366, XS0255439803, CH0025662831,
XS0253410236, XS0252786669, XS0252593198, DE000A0GPU96, XS0244843511,
XS0241451581, CH0024015452, XS0236776877, XS0235597068, CH0022654518,
CH0022280058, XS0219327524, XS0218834843, XS0218474533, XS0215839019,
XS0215865287, XS0215246546, XS0214981812, XS0214564972, XS0213696916,
XS0213230047, CH0020669583, XS0212122534, XS0211496590, XS0210167218,
XS0205974701, XS0197387953, XS0187975262, XS0186736228, CH0017447787,
XS0180539420, XS0176120268, XS0172076365, XS0166801174, XS0163624504,
XS0160668181, XS0104786263, XS0100920353, AT0000A0H9X0, XS0495988072,
XS0591640155, XS0592235187, XS0632936950, XS0641895577, XS0641895148,
XS0641894927, XS0687890441

Stock exchanges: Vienna, Luxembourg, Frankfurt, Zurich

Issuer: Kommunalkredit Austria AG

Further inquiry note:
Kommunalkredit Austria AG
Treasury - Investor Relations
Dinah Reiss
1092 Vienna, Tuerkenstrasse 9
Phone: +43/1/31 6 31-678
Fax: +43/1/31 6 31-505 or 99678
E-mail: d.reiss@kommunalkredit.at

end of announcement euro adhoc
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issuer: Kommunalkredit Austria AG
Türkenstraße 9
A-1092 Wien
phone: +43 1 31 6 31
FAX: +43 1 31 6 31 105
mail: kommunal@kommunalkredit.at
WWW: www.kommunalkredit.at
sector: Banking
ISIN: -
indexes:
stockmarkets: stock market: Luxembourg Stock Exchange
language: English