Shareholders of KAZKOMMERTSBANK OJSC decided to enlarge the authorized capital from KZT2.9bn up to KZT5.0bn

/IRBIS, August 1, 01/ - Public relations department of bank informed IRBIS that shareholders of KAZKOMMERTSBANK OJSC decided to enlarge the authorized capital from KZT2.9bn up to KZT5bn by additional issue of common and preferred shares in order to spread the activity and develop bank operation. The decision of preferred shares issue total at KZT1.250bn or 25% of the authorized capital's size was admitted on special meeting of bank shareholders - July 30, 2001. Also bank will issue additionally common inscribed shares total at KZT850,0 mln. On July 12 shareholders discussed the question of additional issue of preferred shares. Then shareholders approved the offer to float preferred shares on free sale with fixed size of dollar dividend. Now they approved the volume of issue. Now the authorized capital of bank is KZT2.9bn. After additional issue of shares it will be of KZT5.0n including KZT3.75bn - common inscribed shares and KZT1.25bn - preferred shares. The board of KAZKOMMERTSBANK will define terms and conditions of new shares issue. Chief executive - Eldar Abdrazakov states - "Bank is being developed and wants to own adequate capital. During several years capital enlargement was owing to domestic resources and firstly owing to recapitalisation of income but not inflow of holders capital" According to bank information its assets in July were over $1bn. It forced bank of Kazakhstan and Central Asia to make size of authorized capital proper to scale of activity and raise additional investments by new shares issue. Assets of bank increased in 2.2 times on July 1, 2001 relative to similar period of 2000 and totaled KZT158.3bn or $1.081bn. Proper capital including shareholders capital, funds, reinvested income increased by 22.8% up to KZT17.1bn. Bank informs that during this meeting shareholders approved financial report of Kazkommertsbank for first half of this year and accepted the strategy of retails business development and amended bank charter due to decision of authorized capital enlargement and additional issue. KASE will publish additional information provided by its issuer Kazkommertsbank, included in official list of securities under A category. Now common shares of bank (KZ1C00400415, trade cod KKGB, $0.4500 of last deal dated February 22. 01, rates $0.2500/$0.5000, market capitalization - $128.4 mln), domestic first issue bonds (KZ72KA7B9A11, KKGBb, $100, $30 mln, September 06. 99 - September 06. 01, semiannual coupon 10,0%, current market profit under rates of market-maker - 9.87/4.69% APR) and subordered first issue euronotes (XS0122349615, KKGBe2; $1000; $20 mln; Dec 22. 00 - Dec 22. 07; semiannual coupon 11.0% APR, 11.20/9.20% APR) are traded in this category of KASE list.