Rosbank has signed a$150 million Syndicated Term Loan arranged jointly bythe European Bank for Reconstruction and Development (EBRD), Commerzbank Aktiengesellschaft and ING BankN.V. under the EBRD A/B Loan Structure.

The EBRD isthe lender ofrecord for the full amount ofthe loan and isproviding $50 million ofits own funds (A-Loan). The remaining part (B-Loan) has been syndicated tocommercial banks. Atotal of28banks from 19countries joined the transaction. The deal was oversubscribed and, asa result, its initial terms were modified inthe course ofthe syndication. The EBRD’s commitment was increased from $35 million and the term extended from three tofour years, whilst the B-Loan was increased to$100 million from the original level of$ 65million.

The A-Loan margin was fixed at200basis points above LIBOR, whilst the B-Loan margin is150basis points above LIBOR with abullet repayment after two years. Rosbank intends touse the loan facility for general corporate purposes.

Rosbank has now completed three syndicated loans, following the arrangement ofa $40 million loan in2003and a$50 million loan in2004.

Alexander Popov, Chairman ofRosbanksManagement Board, said: This transaction represents anew level ofour successful cooperation with the EBRD, and the oversubscription from awide range ofinternational banks demonstrates the high level ofinterest inour business.