PIRAEUS FINANCIAL HOLDINGS S.A.
PRESS RELEASE
A set of measures by Piraeus Bank for the facilitation and support of its customers
The Piraeus Bank Executive Board held a meeting on Friday November 7, and decided to adopt following measures regarding the Bank's customers:
1. For mortgage loans concerning primary residence, the Bank offers for all its customers the possibility to demand the reduction of their monthly payments in half, for the whole duration of 2009.
2. Reduction of the Basic Loan Rate for professionals and small enterprises by 0.5%.
3. Reduction of credit card interest rates by up to 1%. As a result the interest rates will vary from 14.75% to 15.75%, according to the type of credit card.
4. The Bank freezes until the end of year 2009 all mortgage and consumer loan payments, for both the capital and the interest, for all the unemployed registered at the Greek Manpower Employment Organization (O.A.E.D).
5. Piraeus Bank will abstain for one year from any auction or seizure of real estate, regarding mortgage loans for principal residence, up to the sum of euro 300.000.
6. In cooperation with the European Investments Bank, Piraeus Bank will immediately grant 50 million euros for financing investments by Greek small and medium enterprises in the sectors of tourism, industry, commerce and small-scale infrastructure projects. The total amount that will gradually be granted to small and medium enterprises, in cooperation with the European Investments Bank, will reach the amount 150 million euros.
7. Piraeus Bank also announces its participation in the action plan by the Ministry for Development, regarding the support of cash-flow for Small and Very Small Companies, by promoting the plan's guaranteed and subsidized loans.
Finally, the Bank wishes to remind the existence of the special offices operating at its main regional branches all over Greece, which are responsible for assisting corporate customers that might face cash-flow problems in the near future, due to the current crisis.
The reductions of interest rates announced today will be valid as of November 17, 2008.
The Piraeus Bank Executive Board held a meeting on Friday November 7, and decided to adopt following measures regarding the Bank's customers:
1. For mortgage loans concerning primary residence, the Bank offers for all its customers the possibility to demand the reduction of their monthly payments in half, for the whole duration of 2009.
2. Reduction of the Basic Loan Rate for professionals and small enterprises by 0.5%.
3. Reduction of credit card interest rates by up to 1%. As a result the interest rates will vary from 14.75% to 15.75%, according to the type of credit card.
4. The Bank freezes until the end of year 2009 all mortgage and consumer loan payments, for both the capital and the interest, for all the unemployed registered at the Greek Manpower Employment Organization (O.A.E.D).
5. Piraeus Bank will abstain for one year from any auction or seizure of real estate, regarding mortgage loans for principal residence, up to the sum of euro 300.000.
6. In cooperation with the European Investments Bank, Piraeus Bank will immediately grant 50 million euros for financing investments by Greek small and medium enterprises in the sectors of tourism, industry, commerce and small-scale infrastructure projects. The total amount that will gradually be granted to small and medium enterprises, in cooperation with the European Investments Bank, will reach the amount 150 million euros.
7. Piraeus Bank also announces its participation in the action plan by the Ministry for Development, regarding the support of cash-flow for Small and Very Small Companies, by promoting the plan's guaranteed and subsidized loans.
Finally, the Bank wishes to remind the existence of the special offices operating at its main regional branches all over Greece, which are responsible for assisting corporate customers that might face cash-flow problems in the near future, due to the current crisis.
The reductions of interest rates announced today will be valid as of November 17, 2008.