Kazkommertsbank (Kazakhstan) Board of Directors takes decision to set up two subsidiaries for management of distressed assets

/KASE, November 12, 12/ - JSC "Kazkommertsbank" (Almaty), whose securities are officially listed at Kazakhstan Stock Exchange (KASE), has provided KASE with the following press-release of November 12, 2012: quote On 8th November 2012 the Board of Directors of JSC Kazkommertsbank has made a decision to set up two subsidiaries "KUSA KKB-1" Ltd. and "KUSA KKB- 2" Ltd. to manage the Bank's distressed assets. These companies will be created by the Bank in accordance with the Law of the Republic of Kazakhstan "On changes and additions to certain legislative documents of the Republic of Kazakhstan on regulation of banks and financial institutions to mitigate risks". According to the Law the purpose of the Distressed Assets Managing Company (SPV) is to manage on a temporary basis (up until 1 January, 2018) and further sell the distressed assets of the parent bank representing claims against doubtful and loss category loans as well as assets foreclosed as a result of work-out. It is anticipated that "KUSA KKB-1" will be managing industrial assets, while "KUSA KKB-2" will be focusing on commercial and residential real estate where construction is in progress or completed. Factual transfer of assets to KUSA will take place as soon as all required in this respect regulatory permissions are obtained and legal work is completed. For contacts: Aliya Nursipatova, Investor Relations Alma Buirakulova, Investor Relations tel. +7 (727) 258-51-25, E-mail: investor_relations@kkb.kz Larissa Kokovinets, Director, Public Relations tel. +7 (727) 258-54-56, E-mail: pr@kkb.kz unquote [2012-11-12]