Three-year bonds of Alfa-Bank (Russia), which were issued in the volume of 175 m dollar, were assined B- rating by Standard & Poor's

/Standard & Poor's, Paris, November 6, 02/ - Standard & Poor's Ratings Services said today it has assigned its single-'B'-minus long-term senior unsecured debt rating to the $175 million three-year notes issued by the Netherlands-based Alfa-Russia Finance B.V. and guaranteed jointly and severally by ABH Financial Ltd., based in the British Virgin Islands, and by Alfa Bank (B-/Stable/C). "The ratings on Alfa Bank reflect the bank's good business franchise and improved financial profile and product diversification in the context of better prospects for macroeconomic stability in Russia," said Standard & Poor's credit analyst Ekaterina Trofimova. These positive factors are offset by the continued high risk inherent in the Russian economic and banking environment, as well as by the bank's large single-party concentrations and leveraged financial profile. Alfa-Bank is one of five largest banks of Russia according to the scale of transactions and announced assets (3.1 bn dollar as of June 30 of 2002). At the same time, just like other banks of private sector, it controls a rather small (less than 5 %) share in total assets of Russian banking sector, where state banks prevail, in particular, Savings bank. The bank's assets and deposits are notable with high concentration degree, within the framework of its relative financial-industrial group - Consortium "Alfa-Group" (CAG), and out of it as well. (Russian Alfa-Bank OJSC at present possesses 99.54% of shares of Kazakhstan DB Alfa-Bank OJSC, whose bonds are circulating under Kazakhstan stock exchange's official highest listing category - note of IRBIS). Information on all rating decisions is in RatingsDirect (credit-analytical system of Standard & Poor's by the address: www.ratingsdirect.com). Information on all ratings, which are concerned with this rating decision, is in the Internet-site of Standard & Poor's www.standardandpoors.com, in the section Fixed Income on left panel choose Credit Ratings Actions. Any questions should be sent to ane branch of rating information of Standard & Poor's: London, 44 (20) 78-47-74-00, Paris, 33 (1) 44-20-67-05, Frankfurt, 49 (69) 33-99-92-21, Stockholm, 46 (8) 440-59-16. For detailed information: Yekaterina Trofimova, Paris, (33) 1 4420-6786 Skott budgi, Paris, 33 (1) 44-20-66-80 Analysts' e-mails: ekaterina_trofimova@standardandpoors.com scott_bugie@standardandpoors.com FIG_Europe@standardandpoors.com To contact with press: Claud Shobe-Bride, Paris, (33) 1-4420-6657 [2002-06-11]