Fitch Assigns Alliance Bank's Upcoming KZT Eurobond Expected 'BB-' Rating

/IRBIS, Fitch Ratings-London/Moscow, October 3, 06/ - Fitch Ratings has today assigned ALB Finance B.V.'s ("ALB") upcoming KZT issue, payable in USD, an expected Long-term 'BB-' (BB minus) rating. Proceeds from the notes will be deposited with Alliance Bank ("Alliance"), rated Issuer Default BB-'(BB minus)/Stable, Short-term 'B', Individual 'D', and Support '3'. The final rating is contingent upon receipt of final documentation conforming materially to information already received. At the same time, Fitch has assigned ALB's USD350 million issue of 9.25% notes, due September 2013 a final Long-term 'BB-' (BB minus) rating. Both issues of notes are under the bank's USD1.5 billion global medium-term note programme (rated Long-term 'BB-' (BB minus)/Short-term 'B' (refer to Fitch's statement dated 30 March 2006 for the programme's main terms and conditions). Alliance will unconditionally and irrevocably guarantee the timely and full repayment of both issues of notes. ALB is a Netherlands-domiciled subsidiary of Alliance. Alliance's guarantees of the notes will rank at least equally with all present or future unsecured senior obligations of the bank, save those preferred by relevant provisions of law and of general application. Under Kazakhstani law, the claims of retail depositors rank above those of other senior unsecured creditors. At end-H106, retail deposits accounted for 11% of Alliance's total liabilities, according to the bank's International Financial Reporting Standards accounts. Alliance was founded in 1993 and was the fourth largest bank in Kazakhstan by assets at end-H106. Contact James Watson, Moscow, Tel: +7 495 956 9901. Media Relations Alla Izmailova, Moscow, Tel: +7 495 956 9903; Jon Laycock, London, Tel: +44 20 7417 4327. [2006-10-03]