EANS-Adhoc: Österreichische Volksbanken-Aktiengesellschaft / ECB announce SREP draft decision on capital ratios / EGM approves run down of VBAG

--------------------------------------------------------------------------------
ad-hoc disclosure transmitted by euro adhoc with the aim of a Europe-wide
distribution. The issuer is solely responsible for the content of this
announcement.
--------------------------------------------------------------------------------

Strategic management decisions/Company Information
23.12.2014

Within the framework of the supervisory review and evaluation process
(SREP), the European Central Bank today announced a draft decision
requiring the Association of Volksbanks to maintain a CET1 ratio of
14,63 % from 26 July 2015. The Management Board of Oesterreichische
Volksbanken-Aktiengesellschaft (VBAG) took the decision in principle
to split VBAG and to establish a run down unit in October 2014. This
represents one of the central measures included in the capital plan
which has been sent to the ECB.

The establishment of a run down unit also was an item on the agenda
of the General Meeting held by VBAG today. The EGM unanimously took
the decision in principle that VBAG's business model is to be
changed. The aim is for VBAG to become a "run down company"
(Abwicklungsgesellschaft) in particular as per Section 162 of the
draft Federal Law on Bank Recovery and Resolution (Banken Sanierungs-
und Abwicklungsgesetz). When VBAG is put into run down status, it is
also planned for central institution functions and related assets and
liabilities to be taken over by Volksbank Wien-Baden.

The run down of VBAG is subject to approval from a number of bodies,
notably the European Commission for Competition, the European Central
Bank and the national authorities.

Stock exchange listed issues of participation capital issued by
Österreichische Volksbanken-Aktiengesellschaft: ISIN: AT0000755665
Österreichische Volksbanken-AG Partizipationsscheine XS0359924643 EUR
500,000,000 Perpetual Non Cumulative Participation Capital
Certificates (issued on a fiduciary basis by Banque de Luxembourg)
The five biggest listed issues of Österreichische
Volksbanken-Aktiengesellschaft in terms of issue volume:

ISIN:
AT000B115704
AT000B121769
AT000B056544
AT000B053442
XS0275528627

The issues of Österreichische Volksbanken-Aktiengesellschaft are
admitted on the following stock exchanges:

Regulated unofficial market of Wiener Börse AG
Official trading of Wiener Börse AG
Regulated market of the Luxembourg Stock Exchange
Open Market of Berlin Stock Exchange
Open Market of Stuttgart Stock Exchange
Open Market of Frankfurt Stock Exchange

Further inquiry note:
Contact for media:
Petra Roth
Österreichische Volksbanken-AG
Mobil: 0664 6129223
Mail to: petra.roth@volksbank.com

contact Institutional Investor Relations:
Karl Kinsky: 0043 504004-3338
Manuela Elsensohn-Pauser: 0043 504004-3187
Mail to: investorrelations@volksbank.com

end of announcement euro adhoc
--------------------------------------------------------------------------------

issuer: Österreichische Volksbanken-Aktiengesellschaft
Kolingasse 14-16
A-1090 Wien
phone: +43 0 50 4004-0
WWW: www.volksbank.com
sector: Banking
ISIN: AT0000755665
indexes: Standard Market Auction
stockmarkets: Regulated free trade: Wien
language: English