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OTP announced the issue of €500 million perpetual NC10 subordinated notes

OTP Bank Plc. gave the following announcement in line with its obligations set by the Capital Market Act: on October 31, 2006 OTP issued perpetual subordinated (UT2) bonds to finance the current acquisitions of the Bank.

The €500 million nominal value bonds were issued at 99.375% of the face value with November 7 as payment date. The re-offer spread is 200 basis points over 10 year mid-swap. The bonds are perpetual, callable by the Issuer after the 10th year. The bonds bear a coupon of fix 5.875%, with annual interest payments in the first 10 years, and a floater coupon of 3 months EURIBOR +300 basis points per annum, quarterly thereafter. The Lead Managers of the successful bond issue (which attracted more than 200% oversubscription of the accepted amount) were UBS and BNP Paribas. The bonds will be introduced to the Luxembourg Stock Exchange. (