EANS-Adhoc: Österreichische Volksbanken-Aktiengesellschaft / ECB announce SREP draft decision on capital ratios / EGM approves run down of VBAG

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Strategic management decisions/Company Information 23.12.2014

Within the framework of the supervisory review and evaluation process (SREP), the European Central Bank today announced a draft decision requiring the Association of Volksbanks to maintain a CET1 ratio of 14,63 % from 26 July 2015. The Management Board of Oesterreichische Volksbanken-Aktiengesellschaft (VBAG) took the decision in principle to split VBAG and to establish a run down unit in October 2014. This represents one of the central measures included in the capital plan which has been sent to the ECB.

The establishment of a run down unit also was an item on the agenda of the General Meeting held by VBAG today. The EGM unanimously took the decision in principle that VBAG's business model is to be changed. The aim is for VBAG to become a "run down company" (Abwicklungsgesellschaft) in particular as per Section 162 of the draft Federal Law on Bank Recovery and Resolution (Banken Sanierungs- und Abwicklungsgesetz). When VBAG is put into run down status, it is also planned for central institution functions and related assets and liabilities to be taken over by Volksbank Wien-Baden.

The run down of VBAG is subject to approval from a number of bodies, notably the European Commission for Competition, the European Central Bank and the national authorities.

Stock exchange listed issues of participation capital issued by Österreichische Volksbanken-Aktiengesellschaft: ISIN: AT0000755665 Österreichische Volksbanken-AG Partizipationsscheine XS0359924643 EUR 500,000,000 Perpetual Non Cumulative Participation Capital Certificates (issued on a fiduciary basis by Banque de Luxembourg) The five biggest listed issues of Österreichische Volksbanken-Aktiengesellschaft in terms of issue volume:

ISIN: AT000B115704 AT000B121769 AT000B056544 AT000B053442 XS0275528627

The issues of Österreichische Volksbanken-Aktiengesellschaft are admitted on the following stock exchanges:

Regulated unofficial market of Wiener Börse AG Official trading of Wiener Börse AG Regulated market of the Luxembourg Stock Exchange Open Market of Berlin Stock Exchange Open Market of Stuttgart Stock Exchange Open Market of Frankfurt Stock Exchange

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(END) Dow Jones Newswires

   December 23, 2014 10:52 ET (15:52 GMT)- - 10 52 AM EST 12-23-14