1. Christian Unger Director Corporate & Project Finance CEE
Project Finance in Central & Eastern Europe: a Commercial Lender's View
Christian Unger
Director
Corporate & Project Finance CEE
November 22nd 2006
Bank Austria Creditanstalt AG

2. 1 BA-CA – Member of UniCredit Group
Contents
1 BA-CA – Member of UniCredit Group
2 The Project Finance Market in CEE/ General Overview
3 Sector Snapshots and Case Studies
Transport/Infrastructure
Energy
Processing Industries
Telecommunications
4 International Market Perception
5 Co-ordinates
November 22nd 2006
Bank Austria Creditanstalt AG

3. BA-CA – Member of UniCredit Group
Section 1
BA-CA – Member of UniCredit Group
November 22nd 2006
Bank Austria Creditanstalt AG

4. The new truly European bank is present … UniCredit Group
in 20 countries
where 140,000
employees
serve more than 28 million customers
via 7,000 offices
November 22nd 2006
Bank Austria Creditanstalt AG

5. The new banking group in CEE in detail (all banks at 100%, as at December 2005)
Bank
Pekao
KFS /
Kocbank
Yapi
Kredi
Zagrebacka
Banka
Bulbank
Zivnostenska
Unibanka
Unicredit
Romania
Koc
Netherland
Moskow
Azerbaijan
Ukraine
Banks
Total assets*
(€ m)
14,528
6,887
14,037
8,358
1,860
1,527
1,266
672
324
591
534 74 27 9
48,919
Total
IMB
HVB
Bank Latvia
Bank Ukraine
Bank Lithuania
HVB Bank Tallin Branch
Greece
Branch
Banks
2,654
303
147
435
n/a
Total
3,539
Total assets*
(€ m)
Bank BPH
HVB
Bank Hungary
Bank Czech
Republic
HVB Splitska
banka
Banca Tiriac
Bank Biochim
Bank Slovakia
HVB Bank Romania
BA-CA Slovenia
Hebros
Bank
Eksimbanka
Central Profit Banka
HVB Bank Serbia+Montenegro
Macedonia (
Rep.
Office)
Banks
13,200
3,839
4,689
2,807
625
1,000
1,683
1,057
1,251
314
156
379
194
n/a
31,194
Total
Total assets*
(€ m)
UniCredit
HVB /BA-CA
UniCredit + HVB/BA-CA
* Sum of countries may differ from Total because of netting off of consolidated item (e.g. Pekao Ukraine is consolidated within Pekao Group; Unicredit Zagrebacka consolidated within Zagrebacka Banka) and minor companies. All figures at 100%
November 22nd 2006
Bank Austria Creditanstalt AG

6. The new UniCredit Group is the undisputed number 1 in CEE (data as at December 2005(1))
Net Profit
(€ mln)(2)
Assets
(€ bln)
No of branches
Revenues
(€ mln)
Citigroup
14.8
176
237
n.a.
OTP(4)
18.0(3)
16.9
576(3)
557
875(3)
786
1,715
Erste
33.3
418
1,245
1,420
SocGen
19.7
408
722
1,126
KBC
34.8
319
1,017
1,660
RZB
24.7
264
814
1,110
Intesa
16.4
242
498
826(5)
UniCredit+ HVB+BA-CA (100% of all banks, including Yapi)
83.7
1,163
2,864
4,982
Source: UCI-FBD Economic Research; numbers calculated using average exchange rate except for Unicredit
100% of total assets and profit after tax for controlled companies (stake > 50%) and share owned for non controlled companies; 100% of branches and employees 2. After tax, before minority interest 3. Including proforma recently acquired Novabanka 4. Including OTP’s subsidiaries 5. Data on total revenues refer to contribution to Intesa’s consolidated results
November 22nd 2006
Bank Austria Creditanstalt AG

7. The Project Finance Market in CEE
Section 2
The Project Finance Market in CEE
November 22nd 2006
Bank Austria Creditanstalt AG

8. Regional Project Finance Activity 2000 - 2005
Global Project Finance volume reached USD 175bn in 2005
The Middle East continued to gain importance for Project Finance with a volume of USD 40.8bn and outpaced Eastern Europe & FSU
Source: Project Finance Magazine (Euromoney)
November 22nd 2006
Bank Austria Creditanstalt AG

9. Project Finance Transactions in CEE, Russia & CIS in 2005
Project Finance volume in CEE&NE amounted to USD 6.8bn in 2005
This represents only a minor fraction of the project finance loan volume in EMEA and globally (7.3% and 4.9% respectively)
November 22nd 2006
Bank Austria Creditanstalt AG

10. Project Finance Transactions in CEE, Russia & CIS in 2005 (ctd.)
Infrastructure and Energy were the most important sectors in 2005
Hungary, Bulgaria, Turkey and Russia accounted for almost ¾ of the volume
Source: PFI, BA-CA
November 22nd 2006
Bank Austria Creditanstalt AG

11. Rules of the Game for Project Finance in CEE
Minimum size for international transactions is an overall project volume of approx. EUR 50m
Financially strong and experienced sponsors required
Local currency loans no longer restricted by legislation, however liquidity for longer tenors still limited in some countries
Legal documentation mostly based on English law, security documents based on local law
Well prepared projects run better chance of attracting commercial financing (feasibility study, business plan)
Key issues for financing are risk / reward ratios, Basel II etc.
Proper enforcement of requirements under “Equator Principles“ (environmental & social impact analysis)
November 22nd 2006
Bank Austria Creditanstalt AG

12. Sector Snapshots and Case Studies - Transport/ Infrastructure
Section 3
Sector Snapshots and Case Studies - Transport/ Infrastructure
November 22nd 2006
Bank Austria Creditanstalt AG

13. Huge investment needs
Quality of a nation’s infrastructure is a key determinant of its ability to grow and to attract FDI
Due to historical underinvestment the quality of CEE infrastructure, especially transportation infrastructure is often poor
Huge investment needs, however limitations on increasing public sector debt due to relatively low GDP per capita, IMF, OECD and EU Stability Pact
Should provide for a solid basis for increased use of private sector finance and PPPs for infrastructure projects in the region
November 22nd 2006
Bank Austria Creditanstalt AG

14. Closed project financed road transactions in CSEE
Project name
Country
PF Volume/Year
A2 Motorway Project
Poland
EUR 235 m / 2001
A 4 Motorway Project
Poland
EUR 100 m / 2005
Istrian Motorway – Bina Istra
Croatia
EUR 272 m / 2003
Zagreb to Macelj Toll Motorway
Croatia
EUR 312 m / 2004
M6 Toll Motorway
Hungary
EUR 425 m / 2005
M5 Motorway Refinancing and Extension
Hungary
EUR 900 m / 2005
November 22nd 2006
Bank Austria Creditanstalt AG

15. The inglorious past
Launch of concession programs in the absence of suitable legislation
Uncertainties as to complex and time-consuming expropriation, permit and consent procedures
Lack of sufficiently empowered decision-making bodies/political instability
Full demand (traffic) risk transfer to the private sector (M1/M15)
High level of development costs due to lack of standardized procedures
Easy access to pre-accession funds and EIB/EBRD funding - no need to explore private financing options
November 22nd 2006
Bank Austria Creditanstalt AG

16. Lessons learned
Establishment of PPP task forces to ensure standardization of planning and implementation procedures on the national level
Importance of external advisors to government authorities
Focus on smaller pilot projects
Introduction of a more favorable legal environment (“PPP-laws”)
Shift away from the full transfer of demand/traffic risks to the private sector
Focus on availability based revenue/payments mechanisms focusing on availability-, performance- and security-linked criteria
November 22nd 2006
Bank Austria Creditanstalt AG

17. Infrastructure sector focus
Transport infrastructure
Most attractive sector due to large volume deals and promising pipeline
Utilities / Water / Waste
Focus on water and waste treatment projects on municipal level
Smaller project volumes
Local financing components
Strong IFI involvement, especially from EBRD
Social infrastructure (schools, hospitals, prisons)
Minor activities due to lack of political will and/or suitable legal environment
Preparatory activities in Hungary and Czech Republic
School / Accommodation PPP- projects on muni-level, e.g. in Croatia, Estonia
November 22nd 2006
Bank Austria Creditanstalt AG

18. Transport infrastructure sub-sectors
Seaports
Growth in containerised traffic stimulates investments in container terminal facilities
Medium - sized projects
In the context of privatisation
Regional focus: Poland, Russia, Baltics, Turkey, Bulgaria, Romania, Ukraine
Airports
Capital airports terminal extension financing - mainly corporate, large volume deals, investment grade borrowers, strong EIB involvement ( e.g. Prague Airport, Warsaw Airport)
Most prominent project finance type, concession-based transactions have been closed in Turkey (Istanbul, Ankara, Dalaman)
Upcoming privatisations offer potential for BOT-type, concession based project finance transactions (e.g. Bourgas-Varna, Zagreb, Belgrade)
November 22nd 2006
Bank Austria Creditanstalt AG

19. Transport infrastructure sub-sectors (ctd.)
Railway infrastructure
National railway companies: financing based on direct or implicit state guarantee
“Local flavour” (legal environment, politics) limits potential for international syndications
Privatisation of cargo business, impacts of liberalisation
No PPP-type railway infrastructure projects (e.g. high-speed railways, metro expansion) realised yet, although often discussed over years (e.g. Prague Airport railway link)
Road / Motorway projects
Trend towards traffic risk assumption by the public sector (PFI-type availability based revenue schemes –
M 5 and M 6 Hungary)
Availability fees provide for predictable stable revenue and cash flow streams
Perception of greater political risks in SEE -countries should allow for negotiating a lender friendly risk allocation as compared to mature Western European markets (e.g. permitting, change in law and especially compensation on concession termination regime)
Concession periods of 20 to 30 years result in need for long debt maturities of 15 to 20 years +
Deal Pipeline: D1 Motorway - SK, A2 2nd phase – Poland, D3 Motorway - CZ, Horgos-Pozega Motorway – Serbia; preparatory activities: Russia, Bulgaria, B&H
November 22nd 2006
Bank Austria Creditanstalt AG

20. Project Finance / PPP-Facility for the Zagreb – Macelj Motorway in Croatia
28 year concession for design, construction, operation, maintenance and financing of a 60 km toll motorway from Zagreb to the Slovenian border at Macelj
Project economics benefit from strong commitment of the Republic of Croatia
Financed as PPP on a limited-recourse project finance basis with EUR 60 m equity and EUR 312 m bank debt
Debt financing was structured to benefit to the maximum from risk coverage available from the Federal Republic of Germany and involves 4 separate facilities
Borrower: Autocesta Zagreb Macelj d.o.o., Croatia
Sponsor: Strabag (Walter Bau), Republic of Croatia (non-recourse)
Loan Amount: EUR 312 m
Type + Term: EUR 100 m Hermes Facility (tenor 15 years)
EUR 100 m GKA Facility ( tenor 17 years)
EUR 100 m Long-term Commercial facility (tenor 16 years)
EUR 12 m Dual-Currency Working Capital Facility (tenor 16 years)
Security: Project finance type security package , Hermes + GKA risk cover
Mandated
Lead Arrangers: BA-CA , HVB, KfW, HSH
Participants: Banca Opi, Calyon, Depfa, Dexia, Erste Bank, Fortis, KBC, Natexis, NordLB, OeVAG, Zagrebacka Banka
November 22nd 2006
Bank Austria Creditanstalt AG

21. Contractual Overview Republic of Croatia (RoC) Fed. Rep. of Germany
Concession
Agreement
Traffic Shortfall
Agreement
Hermes
Cover
GKA
Cover
49 %
51 %
STRABAG
Bank Consortium
Bank Debt
Construction
Contract
Operation & Maintenance
Agreement
Pyhrn Motorway
GmbH
Trans-Ceste doo
Egis
November 22nd 2006
Bank Austria Creditanstalt AG

22. Sector Snapshots and Case Studies - Energy
Section 3
Sector Snapshots and Case Studies - Energy
November 22nd 2006
Bank Austria Creditanstalt AG

23. Obstacles & Opportunities
Many existing operations unprofitable and inefficient
Tariff governance and legislation not always transparent
Long payback periods
Cross subsidies with other energy sources
Insufficient project preparation
Opportunities
Power sector still attractive for many financial institutions
Significant rehabilitation and new generation needs
Environmental policies - Renewable Energy
Innovative financing structures involving multisourcing (ECAs, CO2 certificates, hedging instruments etc.)
November 22nd 2006
Bank Austria Creditanstalt AG

24. Project Finance for the construction and operation of a Windpark Farm in Sibenik, Croatia
BA-CA as Sole Mandated Arranger and Agent for the first Project financed Wind-Farm in Croatia
Construction of new 11.2 MW wind power capacity using Enercon E48
Location on Dalmatian Coast and developed by German Sponsors
Power purchase agreement with national power company
Borrower: Vjetoelektrana Trtar-Krtlin d.o.o.,
Loan Amount: Tranche 1: EUR 10m
Tranche 2: EUR 3m
Term: Tranche 1: 14 years
Tranche 2: 9 months
Security: Share and account pledges, Assigment of all project contracts, LOC by sponsors
Sole Mandated
Arranger: Bank Austria Creditanstalt AG
Co-Arranger and
Security Agent: Zagrebacka banka, Zagreb (BACA-group)
Advisors (to banks): Josip Madirazza (attorney at law), Energetski Institut Hrvoje Pozar (technical advisor)
November 22nd 2006
Bank Austria Creditanstalt AG

25. Sector Snapshots and Case Studies – Processing Industries
Section 3
Sector Snapshots and Case Studies – Processing Industries
November 22nd 2006
Bank Austria Creditanstalt AG

26. Opportunities for Project Finance
Wood based industries (Pulp, Paper, Wood Processing):
Sponsors trying to benefit from cost advantages (labour, energy) in a highly competitive market with pressure on margins
International players looking for (more) favourable and secured supply of wood as major raw material
Proximity to growing emerging markets
Large volume expansion & green-field projects to be expected
Metals & Mining:
Growing demand for metals
Shortage of certain raw materials for the metals industry (e.g. alumina, coking coal, etc.)
CIS countries as major resource base for various raw materials
(further) large volume expansion and green-field projects in the metals & mining industry (e.g. bauxite/alumina, coking coal, gold, etc.) will come up in the near future;
November 22nd 2006
Bank Austria Creditanstalt AG

27. Project Finance Facility for the construction and commissioning of a paper mill and connected pulp mill in the Czech Republic
Largest project financing in the paper industry in CEE in 2005
BA-CA as Mandated Lead Arranger and Security Agent of the subject project financing
The paper mill will produce uncoated publication paper, for both Czech and international printing and publishing houses
Total investment will be EUR 450m
Borrower: Labe Papir s.r.o., Czech Republic
Sponsor: Myllykoski Corporation, Finland
Loan Amount: EUR 275 m
Term: 13 years, repayment cash-flow based (incl. cash sweep mechanism)
Security: Pledge on all project assets, credit and cost overrun guarantee provided by the Sponsor until project completion
Joint Mandated
Lead Arrangers: Bank Austria Creditanstalt AG (’BA-CA’), Nordea Bank Finland Plc
Security Agent: BA-CA
Participants: HSH Nordbank AG, Den Danske, NordLB-Group, IKB, LBBW, WGZ, Handelsbank
Advisors (to banks): Hengeler Mueller (legal), Jaakko Pöyry (feasibility study)
November 22nd 2006
Bank Austria Creditanstalt AG

28. Sector Snapshots and Case Studies - Telecommunications
Section 3
Sector Snapshots and Case Studies - Telecommunications
November 22nd 2006
Bank Austria Creditanstalt AG

29. Sector Focus / Business Opportunities
Liberalisation of markets, increasing competition, decreasing prices
Mobile penetration rate in CEE/CIS increased substantially in 2005 and reached 65% on average
Highest growth rates in Russia, Ukraine and CIS
Further growth mainly through broadband services (both in fixed line and wireless sectors)
Business Opportunities
Mainly non recourse financing for rollout of broadband networks based on new technologies (WiMax etc.)
November 22nd 2006
Bank Austria Creditanstalt AG

30. Project Finance Facility for Telemobil S.A.
As first project financing to a CDMA operator in Europe the transaction can be considered as a mile-stone transaction in the Telecom sector
Telemobil, operating under the brand name „Zapp“ is Romania‘s youngest mobile operator and the first telecom company in the world using a digital wireless network based on CDMA2000 technology in the 450 MHz band
In April 2004 BA-CA and RZB have been mandated to arrange a 5½ year USD 40m Senior Project Finance Facility which has been structured as a club deal
Borrower: Telemobil S.A. (Romania), operating under the brand name „Zapp“
Sponsor: Qualcomm and Omnia Holdings LTD
Loan Amount: USD 40m Senior Project Finance Facility, thereof:
- USD 35m Term Loan Facility and
- USD 5m Revolving Working Capital Facility
Term: 5 ½ years
Security: PF-type incl. assignment of selected receivables, account pledges etc.
Role of BACA: Bank Austria Creditanstalt AG „Mandated Lead Arranger“ and „Co-ordinator“
Other Banks: „Mandated Lead Arrangers“ Bank Austria Creditanstalt AG
Raiffeisen Bank S.A.
„Facility Agent“ Bank Austria Creditanstalt AG
„Security Agent“ HVB Bank Romania S.A.
Advisors (to banks): Clifford Chance and Badea Associati (legal), Arthur DLittle (market/business plan)
November 22nd 2006
Bank Austria Creditanstalt AG

31. Summary / Outlook
Project Finance stays a central product in order to provide an integrated solution to the needs of clients
Project Finance volume in CEE, Russia & CIS is a small percentage of Project Finance/Structured Finance volume in EMEA and worldwide
Project Finance in the region will continue to play an important role in selected sectors
While many companies have evolved beyond the Project Finance-stage, Project Finance tools, sector knowledge and structuring expertise remain important for structured financings of all kinds in the region
Project/Structured Financings are here to stay for years before the industries in the region mature and stabilise to see the financing mix shift more towards straight corporate lending in the long run
November 22nd 2006
Bank Austria Creditanstalt AG

32. BA-CA International Market Perception
Section 4
BA-CA International Market Perception
November 22nd 2006
Bank Austria Creditanstalt AG

33. Recognised by the market
Best Project Finance House in CEE
July 2005
Best Loan House in CEE
July 2005
Best Project Finance Bank in CEE
November 2005
Best Project Finance House
December 2005
November 22nd 2006
Bank Austria Creditanstalt AG

34. International Market Perception
CEE – Project Finance League Table 2005 Number 1 in terms of volume
Rank
Group 1
BA-CA (member of UniCredit Group)
Central Eastern Europe & Baltic States, excl. Russia
Data Source: Project Finance International - Thomson Financial
November 22nd 2006
Bank Austria Creditanstalt AG

35. International Market Perception (ctd.)
Top Mandated Arrangers of Syndicated Facilities
01/01/2005 to 31/12/2005 Eastern Europe (# of deals)
Market
Rank
Group
# of deals
Share
2001
2002
2003
2004 1
BA-CA / HVB Group* 55
4.75%
BA-CA/HVB Group
JP Morgan
Citigroup
Citigroup 2
RZB 49
2.69%
Deutsche Bank
DrKW
BA-CA/HVB Group
BA-CA/HVB Group 3
ING Group 47
4.89%
ING Group
BA-CA/HVB Group
BNP Paribas
KBC Group 4
Citigroup 46
9.91%
WestLB SG
WestLB
BayernLB 5
Commerzbank 32
1.91%
Citigroup
ABN AMRO
ABN Amro
Sumitomo Mitsui 6
ABN AMRO 30
9.11%
Bayer. LB
Citigroup SG
RZB 7
Calyon 30
3.50%
KBC
Deutsche Bank
ING
HSBC Banking Group 8
Standard Bank 29
1.62%
RZB
BNP Paribas
KBC
BNP Paribas 9
BayernLB 27
3.29%
EBRD
WestLB
Deutsche Bank
ING Group 10
Mitsubishi UFJ 27
2.17%
Mizuho FG
ING Group
RZB
Mizuho Financial Group
Source: LPC, January 2006
* thereof 40 Mandates granted to BA-CA
BA-CA is an excellent brand name in loan syndication in CEE and through strong relationship with domestic CEE and international banks ensuring a solid basis for successful placement of transactions.
November 22nd 2006
Bank Austria Creditanstalt AG

36. Section 5 Co-ordinates November 22nd 2006
Bank Austria Creditanstalt AG

37. Contacts for further information
Martin Handrich Managing Director
Head of Corporate & Project Finance CEE
P.O. Box 35, A-1011 Vienna
Member of
A Vienna Schottengasse 6 Phone +43 (0) Mobile +43(0) 664/ Fax +43 (0)
Wilfried Senft Deputy Managing Director Head of Debt Structuring
Corporate & Project Finance CEE
P.O. Box 35, A-1011 Vienna
Member of
A Vienna Schottengasse 6 Phone +43 (0) Mobile +43(0) 664/ Fax +43 (0)
Christian Unger Director Corporate & Project Finance CEE
P.O. Box 35, A-1011 Vienna
A Vienna Schottengasse 6 Phone +43 (0) Mobile +43(0) 664/ Fax +43 (0)
Member of
November 22nd 2006
Bank Austria Creditanstalt AG

39. Disclaimer November 22nd 2006 Bank Austria Creditanstalt AG
The information in this publication is based on carefully selected sources believed to be reliable but we do not make any representation as to its accuracy or completeness. Any opinions herein reflect our judgement at this date and are subject to change without notice. Any investments discussed or recommended in this report may be unsuitable for investors depending on their specific investment objectives and financial position. Any reports provided herein are provided for general information purposes only and cannot substitute the obtaining of independent financial advice. Private investors should obtain the advice of their banker/broker about any investments concerned prior to making them. Nothing in this publication is intended to create contractual obligations on the UniCredit Markets & Investment Banking Division ("UMIB Division") composed of (the respective divisions of) Bayerische Hypo- und Vereinsbank AG, Munich, Bank Austria Creditanstalt AG, Vienna and UniCredit Banca Mobiliare S.p.A., Milan and certain of their subsidiaries.
Note to UK Residents: In the United Kingdom, this publication is being communicated on a confidential basis only to clients of the UMIB Division (acting through Bayerische Hypo- und Vereinsbank, London Branch) who (i) have professional experience in matters relating to investments being investment professionals as defined in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005; and/or (ii) are falling within Article 49 (2) (a) – (d) ("high net worth companies, unincorporated associations, etc.") of the FPO (or, to the extent that this publication relates to an unregulated collective scheme, to professional investors as defined in Article 14(5) of the Financial Services and Markets Act 2000 (Promotion of Collective Investment Schemes) (Exemptions) Order 2001) and/or (iii) to whom it may be lawful to communicate it (all such persons being referred to as "Relevant Persons"). This publication is only directed at Relevant Persons and any investment or investment activity to which this publication relates is only available to Relevant Persons or will be engaged in only with Relevant Persons. Solicitations resulting from this publication will only be responded to if the person concerned is a Relevant Person. Other persons should not rely or act upon this publicationpresentation or any of its contents.
The information provided herein (including any report set out herein) does not constitute a solicitation to buy or an offer to sell any securities. The information in this publication is based on carefully selected sources believed to be reliable but we do not make any representation as to its accuracy or completeness. Any opinions herein reflect our judgement at this date and are subject to change without notice. We and/or any other member of the UMIB Division may take a long or short position and buy or sell securities mentioned in this publication. We and/or members of the UMIB Division may act as investment bankers and/or commercial bankers for issuers of securities mentioned, be represented on the board of such issuers and/or engage in "market making" of such securities. We and/or members of the UMIB Division may also, from time to time, have a consulting relationship with a company being reported upon. Any investments discussed or recommended in any report provided herein may be unsuitable for investors depending on their specific investment objectives and financial position. Any information provided herein is provided for general information purposes only and cannot substitute the obtaining of independent financial advice. Nothing in this publication is intended to create contractual obligations on any of the entitites composing the Unicredit Markets & Investment Banking Division. Bayerische Hypo- und Vereinsbank AG, London branch is regulated by FSA for the conduct of investment business in the UK.
Notwithstanding the above, if this presentation/publication relates to transferable securities (as defined in the Investment Services Directive) it is sent to you on the basis that you are a Qualified Investor for the purposes of the Prospectus Directive or any relevant implementing legislation of a European Economic Area ("EEA") Member State which has implemented the Prospectus Directive and it must not be given to any person who is not a Qualified Investor. By being in receipt of this publication you undertake that you will only offer or sell the securities described in this publication in circumstances which do not require the production of a prospectus under Article 3 of the Prospectus Directive or any relevant implementing legislation of an EEA Member State which has implemented the Prospectus Directive.
Note to US Residents: The information provided herein or contained in any report provided herein is intended solely for institutional clients of the UMIB Division acting through Bayerische Hypo- und Vereinsbank AG, New York Branch and HVB Capital Markets, Inc. (together "HVB") in the United States, and may not be used or relied upon by any other person for any purpose. It does not constitute a solicitation to buy or an offer to sell any securities under the Securities Act of 1933, as amended, or under any other US federal or state securities laws, rules or regulations. Investments in securities discussed herein may be unsuitable for investors, depending on their specific investment objectives, risk tolerance and financial position.
In jurisdictions where HVB is not registered or licensed to trade in securities, commodities or other financial products, any transaction may be effected only in accordance with applicable laws and legislation, which may vary from jurisdiction to jurisdiction and may require that a transaction be made in accordance with applicable exemptions from registration or licensing requirements.
All information contained herein is based on carefully selected sources believed to be reliable, but HVB makes no representations as to its accuracy or completeness. Any opinions contained herein reflect HVB's judgement as of the original date of publication, without regard to the date on which you may receive such information, and are subject to change without notice.
HVB may have issued other reports that are inconsistent with, and reach different conclusions from, the information presented in any report provided herein. Those reports reflect the different assumptions, views and analytical methods of the analysts who prepared them. Past performance should not be taken as an indication or guarantee of further performance, and no representation or warranty, express or implied, is made regarding future performance.
HVB and any other entity of the UMIB Division may, with respect to any securities discussed herein: a) take a long or short position and buy or sell such securities; b) act as investment and/or commercial bankers for issuers of such securities; c) engage in market-making for such securities; d) serve on the board of any issuer of such securities; and e) act as a paid consultant or adviser to any issuer.
The information contained in any report provided herein may include forward-looking statements within the meaning of US federal securities laws that are subject to risks and uncertainties. Factors that could cause a company's actual results and financial condition to differ from its expectations include, without limitation: political uncertainty, changes in economic conditions that adversely affect the level of demand for the company‘s products or services, changes in foreign exchange markets, changes in international and domestic financial markets, competitive environments and other factors relating to the foregoing. All forward-looking statements contained in this report are qualified in their entirety by this cautionary statement.
UniCredit Markets & Investment Banking Division Bayerische Hypo- und Vereinsbank AG, Munich; UniCredit Banca Mobiliare S.p.A., Milan; Bank Austria Creditanstalt AG, Vienna; CA IB Corporate Finance GmbH; CA IB International Markets AG
November 22nd 2006
Bank Austria Creditanstalt AG