News and events

In view of the recent announcement of the 9m2008 results in accordance with national accounting standards, and willing to provide updated information to the Bank’s investors and counterparties and to confirm the status of the most transparent bank in Ukraine, Joint Stock Company The State Export-Import Bank of Ukraine (JSC Ukreximbank) would like to comment its current performance and market position.

Liquidity & Redemptions
At present, the Bank's liquidity is sufficient for the full and timely redemptions scheduled.

With regard to the funding base growth, Ukreximbank is currently focused on local deposits, both in national and foreign currencies.

One of the most transparent and reliable banks in Ukraine, Ukreximbank has witnessed no deposits withdrawal from its corporate and individual customers.

As a result, in 9m2008 accounts of corporate customers grew 25.6% and individual accounts increased 25.5% compared to 01.01.2008, meanwhile the loan book for the same period grew at a moderate 20.0%, all figures according to national accounting standards.

As one of the largest Ukrainian banks, Ukreximbank has an access to, but is not dependent upon, the refinancing mechanisms provided by the National Bank of Ukraine, which, in case of necessity, represent an additional liquidity support.

From the very beginning of this year, as an early response to the anticipated global markets’ volatility, Ukreximbank has taken confident measures to maintain extra liquidity and ensure sound balance sheet.

Credit quality
Ukreximbank has always been highly focused on credit quality of the loan book, including its corporate, retail and SME-segments. Sound diversification of loans by industries is based on their economic significance, historic and expected performance.

As a result, as at June 30, 2008, Ukrexim NPL ratio calculated in compliance with the IFRS was 0.98% of gross loan book, down from 1.36% as at 01.01.2008.

Core franchise
As at the end of 1H2008, Ukreximbank retained its positions as fifth largest bank of Ukraine in terms of assets.

In addition to full range of banking services, the Bank continues to perform its functions in developing corporate banking under the special programmes in partnership with international financial organizations, including the World Bank, the EBRD, the KfW, the IFC and others.

Shareholder’s support
As a sign of support and control by the Government of the Bank’s sound performance and strategic developments as well as of compliance with international obligations, the Cabinet of Ministers of Ukraine has recently contributed to the further capitalization of Ukreximbank, which was the second capital injection in 2008.

Profitability
In 1H2008 Ukreximbank reported IFRS core income growth of 60.4% compared to 1H2007, with net interest income before provision up 57.6%, and net fees and commissions up 72.2%. Net profit after taxation for the six-month period rose 53.5% to UAH 361.2mn versus UAH 235.4mn net profit for six month 2007.

9m2008 net profit after taxation in accordance with national accounting standards grew 61.83% compared to 9m2007 to UAH 508.8mn, and not only exceeded record-high FY2007 financial result, but also was 18% higher than the financial result planned for the 9m2008 period.

Strategy
Ukreximbank continues to adhere to all its strategic objectives, keeps sound liquidity position and good performance, and serves the real anchor of stability of Ukrainian banking system and a firm supporter of the real economy.

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Interim Condensed Consolidated Financial Statements of the JSC Ukreximbank for the six-month period ended 30 June 2008 together with the Review Report of Independent Auditors are available for review and downloads from http://www.eximb.com/eng/financials/financial/6m2008ifs/

IH2008 IFRS results announcement of the JSC Ukreximbank is available for review at http://www.eximb.com/eng/news/2008/08/21/449/

9m2008 results of the JSC Ukreximbank prepared in accordance with national accounting standards (in Ukrainian) are available for review and downloads from http://www.eximb.com/ukr/about/report/

For any additional information you are welcome to contact Macro Analysis and Investor Relations Department:
Ms. Vera Posadska
E-mail: vposadska@hq.eximb.com
Tel: +38 044 247 80 69
Fax: +38 044 247 80 82