Auditor's report on financial statement of NEFTEBANK OJSC (Kazakhstan) for 2003

/IRBIS, Galina Tsalyuk, July 26, 04/ - NEFTEBANK OJSC (Aktau), whose common share are circulating in the official "B" listing category of Kazakhstan stock exchange Inc. (KASE), has presented to KASE auditor's report made by Deloitte & Touche (Almaty), which was made on the bank's financial statement for 2003 prepared in compliance with international accounting standards (IAS). Result of the bank's financial and economic activity in 2003 is as follows, in accordance with audited statement's data (th. KZT, unless otherwise specified): ------------------------------------------------------------ As of As of Indicator Jan 1, 03 Jan 1, 04 -------------------------------------- --------- --------- Authorized capital (paid) 632,670 632,670 Shareholders' equity 647,665 711,936 Book value of assets 2,906,478 3,361,088 Liquid assets 402,426 1,041,136 Funds in credit institutions 266,856 296,283 Loans to clients (net) 1,959,469 1,774,217 Liabilities, total 2,258,813 2,649,152 Clients' funds 1,779,181 2,215,387 Subordinate loan 389,821 361,386 Total revenues 365,245 454,951 Total expenses 517,108 390,680 Net income (loss) (151,863) 64,271 -------------------------------------- --------- --------- Calculated according to issuer's data: -------------------------------------- --------- --------- Return on equity (ROE), % -23.45 9.03 Return on assets (ROA), % -23.45 78.14 Earnings per share (EPS), KZT (240.0) 101.6 Book value of one share, KZT 1,023.70 1,125.29 ------------------------------------------------------------ Calculation of price earnings ratio (P/E) is not shown because only direct deals were made in company's shares within the mentioned years, and it's incorrect to consider these deals market ones. Audit was conducted by Deloitte & Touche in compliance with international auditing standards. The bank's financial statement, which is made in compliance with Kazakhstan accounting standards, was correspondingly corrected in order to bring it in conformity with IAS. In the auditor's opinion the financial statement in all essential aspects for sure reflects the bank's financial condition as of December 31 of 2003, and also results of its activity and cash flow for the year, which ended by the mentioned dates, in compliance with IAS. [2004-07-26]