KAZKOMMERTS INTERNATIONAL B.V. HAS SENT APPLICATION ON KASE WITH REQUEST FOR EXCEPTION ITS BONDS FROM THE EXCHANGE'S TRADE LISTS

/IRBIS, Sep.01, 99/ - Company "KAZKOMMERTS INTERNATIONAL B.V" (Rotterdam, Kingdom of the Netherlands) created by KAZKOMMERTSBANK with the purpose of the international capital attraction has addressed today on the Kazakhstan stock exchange (KASE) with the application concerning exception of its Eurobonds (official list of valuable securities KASE, category "A", XS0081674359, trade code KKGBe1) from the exchange's trade list. Reasons induced company to this step are not specified in the application. The application will be considered by KASE Council in the near future. According to the KASE and IRBIS experts' opinion, this step was connected with the beginning of placement of less profitable (coupon rate - 10% p.a.) KAZKOMMERTSBANK internal bonds of the first issue. Placement is scheduled on September 06. Unlike these bonds the KAZKOMMERTS INTERNATIONAL B.V. Euronotes are served in US dollars. The KAZKOMMERTS INTERNATIONAL B.V. Euronotes today are the high- yield (30.3-30.6% APR) and best-selling tool in the Kazakhstan market of non-state securities (the biggest volume in 1999). According to the data, which IRBIS has on record, in the current year in the OTC and exchange markets of Kazakhstan only with the pension assets participation deals for these tool totalling USD10.1 million (in the nominal debt) were made. It is necessary to note, that at August 01, 1999 about 5% of assets of non- state accumulation pension funds (NAPF) and pension assets management companies (PAMC) were invested in the KAZKOMMERTS INTERNATIONAL B.V. Euronotes. Exclusion of Euronotes from the KASE's official list of securities, according to the current legislation, can cause necessity of urgent re-structuring of NAPF and PAMC portfolios. Sale of the eurobonds by the pension funds can, in turn, cause reduction of their prices and growth of yield.