Promsvyazbank reaches preliminary agreement on integrating JSC “Yarsotsbank” into the Banking Group Promsvyazbank

The controlling shareholder of OJSC “Promsvyazbank” (PSB) - Promsvyaz Capital B.V. (Netherlands) – has reached a preliminary agreement on integrating JSC Yaroslavl Commercial Bank for Social Development (“Yarsotsbank”) into the Banking Group Promsvyazbank. Information on the terms of the planned transaction is considered confidential and cannot be disclosed.

In order to support the capacity of Yarsotsbank to meet its obligations, PSB has extended funding to Yarsotsbank. The funds provided will allow Yarsotsbank to meet its obligations to clients and partners.

Actions of PSB have received approval and support from the Central Bank of the Russian Federation. In the currently distressed financial markets PSB has become the first private Russian bank to have acted as a consolidator of the banking sector.

PSB is one of the 15 largest Russian banks. Commerzbank Auslandsbanken Holding AG (a subsidiary of Commerzbank AG) owns 15.32% of PSB. Yarsotsbank (founded in 1990) is one of the largest banks in Yaroslavl region, with total assets of RUB 6.7 billion as at 1 October 2008 (under RAS). Yarsotsbank’s network includes 1 branch in Rybinsk, 8 sub-branches and 2 points of sale.