Merrill Lynch International and WestLB AG informed about 3rd issue of securities of Kazkommertsbank JSC according to securitization program of future diversified payment rights (DPR)

/KASE, April 13, 07/ - Merrill Lynch International and WestLB AG spread a press release, which says: Quotation start Merrill Lynch International and WestLB AG are happy to inform about the third issue of securities by Kazakhstani Kazkommertsbank JSC (KKB) according to securitization program of future diversified payment rights (DPR). Sale of rights on current and future payments of the bank to company Kazkommerts DPR Company (SPC) lies in the heart of the program. Such rights include all payments of the SWIFT system in the МТ100 format, which appeared as a result of activity of KKB as the financial intermediary between foreign payers, who transfer funds to clients of KKB in Kazakhstan. DPR include payments from deals, concluded in offshore jurisdictions, such as payments associated with export, foreign direct investments and individual money transfers, which are conducted through the network of KKB and Banks-correspondents and are transferred by KKB to clients' accounts in Kazakhstan. Primary Banks-correspondents of KKB entered into agreements, according to which they agreed to transfer all funds obtained as payments by DPR on the account of SPC according to instructions of the managing Bank (The Bank of New York), which has a right to hold a part of transferred funds as compensation in interests of investors. The third issue according to the securitization program currently is the largest fully insured deal on securitization in CIS with 10-year maturity in all three tranches. The deal on the third issue was closed on April 12, 2007, securities were distributed between investors from Europe and USA. Merrill Lynch and WestLB AG acted as joint organizers and book runners. ------------------------------------------------------------------------------ S&P/ Insu- Term Maturity of the Interest Series Amount Moody's rer principal debt rate ------ --------- --------- ----- --------- --------------- ------------- 2007A US$150 m. AAA / Aaa FGIC till 2017 6.6 years 3М LIBOR + 20 2007B US$250 m. AAA / Aaa MBIA till 2017 6.6 years 3М LIBOR + 20 2007C US$100 m. AAA / Aaa ADB till 2017 6.6 years 3М LIBOR + 16 ------------------------------------------------------------------------------ Series 2007А was insured by the company Financial Guarantee Insurance Company ("FGIC"), which has a rating AAA. Eric Rozenswayg, a Managing director in Developing Markets and group of American countries in, noted, "We were very glad o work with Kazkommertsbank on our second deal in Kazakhstan, growing partnership, which we set last year. It is remarkably to render help to the client in such a successful offering of securities in the capital market". Series 2007B was insured by the company MBIA Insurance Corporation ("MBIA"), which has a rating AAA. Ron Dadina, a Director of MBIA, responsible for the Commercial Securitization, commented, "MBIA were happy to work on the first deal in Kazakhstan with such a leading bank as Kazkommertsbank. Our guarantee has become the effective financial solution for KKB, and we hope that the established partnership is only the start of a continuous and successful cooperation in the developing markets of structure financing in Kazakhstan". William Wilms, a Specialist on capital investment, noted "ADB was pleased to work with Kazkommertsbank on its third issue according to the securitization program of future payments. Structure financing gives opportunity to increase financing in other countries with low and medium income of the population; moreover, it is currently considered urgent at low liquidity and high attention to sovereign risks. Such guarantee decreases sovereign risks and, thus, allows decreasing funding costs, which was achieved by KKB in this issue". Alex von Sponek, curator of a subdivision Merrill Lynch, responsible for borrowing loans in markets of Eastern Europe, said, "We are glad that we could carry out all our promises and justify hopes of Kazkommertsbank, and also continued the tradition of the Bank in achievement record indicators by amount and price of concluded deals within the Securitization program of future payments". Commenting on the successful deal, Tatyana Lazareva, an Executive Director of the subdivision of Assets Securitization in WestLB, said, "We have the honor to work again with Kazkommertsbank on their new issue and are extremely proud of the achievement of the lower level of stated price range while attracting financing for a more long period. We congratulate Kazkommertsbank on next successful deal". Natalya Kim, a Director of Financial institutions department and a person I charge for borrowing funds in international markets, has summed up the following results: "Existing assets securitization program fully corresponds to the current strategy of the Bank in attracting international financing, which allows us to expand the base of investors more, which this time also was widened by investors from USA due to issue of debt securities according to Rule 144А. In addition to it, the successful cooperation with previous and new insurance agencies allowed attracting financing for a longer period and at a lower price. We express our thanks to insurance agencies and organizers of the deal for their support". The established in 1990 Kazkommertsbank JSC is the largest bank in Kazakhstan with the size of assets exceeding $19.2 bn. as of December 31, 2006. Kazkommertsbank is the leader in the local market, providing a wide range of services to corporate and retail clients. As of December 31, 2006 credits, given to Bank's clients, totaled more than $13.2 bn. KKB is the largest bank in the country and takes the leading position in the corporate sector and a rapidly growing market share in the sector of small and medium-size business crediting. In November of last year the Bank conducted a successful offering of its Global Depository Receipts on the London stock exchange and has become the first bank, which publicly traded its securities in Kazakhstan. Current market capitalization of the bank exceeds $5.7 bn. Long-term credit ratings BB+ from rating agencies Standard&Poors and Fitch with positive outlook from Fitch and Baa1 from Moody's. Merrill Lynch is one of leading banks I the world on rendering services for assets managements and consultation of companies and has offices in 36 countries with the total portfolio of clients' assets of about $1.5 tn. As an investment bank it is the leader in trade and offering of securities and derivative financial instruments among a wide class of assets and performs functions of a strategic advisor for corporations, governments, financial institutions and individuals around the world. Merrill Lynch owns more than a half of the group of investment companies BlackRock, one of largest institutions in the world, which publicly trades its securities and manages assets of about $1 tn. For more information you can visit the website of Merrill Lynch: www.ml.com WestLB is the leader in organizing deals on Assets securitization in the developing markets, which close deals on securitization in the developing markets for a total of more than $6.5 bn. Also it is the organizer of the first deal on securitization in Kazakhstan for Halyk Bank and in Egypt for Banque Misr. WestLB AG is the European corporate and commercial bank with the headquarters in North Rhein-Westphalia, the most densely populated federative state of Germany. The group of bank has assets of about И294 bn. as of March 31, 2006 and is one of leaders on rendering financial services in Germany. The Bank renders services to about 125 savings banks in North Rhein-Westphalia and Bradenburg, serving the client base consisting of more than 10 m. holders of accounts, and also as the commercial bank acting in international markets, offers access to world financial markets to its clients. Working in close cooperation with the savings banks WestLB offers a wide range of products and services as the universal bank with a focus on crediting, structure financing, capital markets and private services on their offering, assets managements, rendering services on organization of deals and financing of real estate. WestLB has ratings A1 from Moody's, A- from Standard&Poors and A- from Fitch. Corporation FGIC is the insurance holding company completely controlled by Financial Guaranty Insurance Company (FGIC) and offering insurance of credit risks of government and commercial securities in world markets and market of USA. Established in 1983 company FGIC is one of four leaders in the sphere of offering joint insurance. The primary activity of FGIC is insurance on fized payments of the primary debt and interest on issuer's liability. FGIC has ratings AAA from Standard&Poors and Fitch and Aaa from Moody's. Company MBIA is the leader in offering financial guarantees and specialized financial services. Innovation and profitable products and services of the Company correspond to clients' needs in credit insurance, financial and investment purposes in private and commercial sectors both in local and international markets. MBIA has ratings AAA from Standard&Poors and Fitch and Aaa from Moody's. Bank ADB, which is situated in Manila (Philippines), was founded to reduce poverty in Asian and Pacific regions, contributing to economic growth, social development and qualitative management in these regions. Established in 1966 the Bank has 67 founders, 48 of which live in the region of the Bank's activity. In 2006 the Bank approved giving out of credits and grants for projects for a total of $8.5 bn. and rendered technical assistance for a total of about $242 m. MBIA has ratings AAA from Standard&Poors and Fitch and Aaa from Moody's. For further information address to the following contact persons: Alex von Sponek Director Debt Capital Markets Merrill Lynch International London Phone: +44 (0) 20 7996 3804 Email: alex_vonsponeck@ml.com Tatyana Lazareva executive director Assets Securitization WestLB AG Moscow Phone: +7 495 258 6136 Email: tatyana_lazareva@westlb.com.ru Actual publication was issued only for providing information and is not and should not be considered as an offer, advice or motive of any person to purchase or investment in any securities Quotation end [2007-04-13]