Auditor's report on financial statement of Valut-Tranzit-Bank JSC (Kazakhstan) for year 2004

/IRBIS, Galina Tsalyuk, July 5, 05/ - Valut-Tranzit-Bank JSC (Karaganda), whose securities are circulating in the official "A" listing category of Kazakhstan stock exchange Inc. (KASE), has presented to KASE auditor's report made by Ernst & Young (Almaty) on the bank's financial statement for year 2004 prepared in compliance with international accounting standards (IAS). Result of the bank's financial and economic activity as of December 31 of 2004 is as follows, according to the audited data (th. KZT, unless otherwise specified): --------------------------------------------------------------- as of as of Indicator Dec 31, 03 Dec 31, 04 --------------------------------------- ---------- ---------- Authorized capital (paid) 3,109,730 7,580,221 Shareholders' equity 5,348,347 9,762,233 Total assets 31,319,853 49,111,475 Total liquid assets 9,910,557 14,747,772 Loan portfolio (including leasing), net 18,129,054 27,371,475 Funds in credit institutions 1,128,072 3,652,188 Liabilities, total 25,971,506 39,349,242 Indebtedness to clients 22,418,615 32,752,541 Indebtedness to credit institutions 1,744,428 4,199,016 Issued bonds 1,477,461 1,866,957 Net interest income before reserves 2,235,247 2,834,806 Commissions and dues, net 449,939 536,522 Net non-interest income 739,882 1,240,711 Operational expenses 2,304,644 3,523,624 Deductions to reserves 482,889 383,422 Net income for the year 522,499 594,975 Basic earning per 1 share, KZT 57.00 33.00 --------------------------------------- ---------- ---------- Calculated by audited statement: --------------------------------------- ---------- ---------- Return on equity (ROE), % 9.77 6.09 Return on assets (ROA), % 1.67 1.21 Book value of one share, KZT 301.32 314.34 Price earnings ratio (P/E) 9.36 36.27 --------------------------------------------------------------- Audit of the bank's financial statement for year 2004 was made by Ernst & Young in compliance with international auditing standards. 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 2004, results of its activity and cash flow for the year, which ended by the mentioned dates, in compliance with IAS. [2005-07-05]