Issue of capital securities
The Capital Securities bear floating interest rate, which is set every three months. The interest rate is equal to the Base Rate of the Bank at the beginning of each three-month period plus 1,00%. The interest is payable quarterly. At the date of this announcement, the Base Rate of the Bank is 5,00% and thus the interest rate of the Capital Securities is 6,00%. The annualised return of the Capital Securities is in excess of 6,00% as a result of the quarterly payment of interest.
The Capital Securities will be offered to a limited number of investors, in accordance with Law 149(I) of 2002. Applications for subscription will be accepted until 11.00 a.m. on 20 February 2002.
The proceeds of the issue of the Capital Securities will contribute towards the strengthening of the Bank's capital base and will support the Group's overseas expansion plans, particularly in Greece.