1. Mortgage Market Overview
Russian Mortgage Market
Mortgage Market Overview 1 2
Russia. Real estate price (av.)
Russia. Total origination
The origination of mortgage loans increased*:
In the 3d and 4th q. by 277%
In the 1st and 2nd q. by 174%
The market value of real estate increased*:
In 3d and 4th q by 73%
In 1st and 2nd q by 134%
Despite crisis the origination volume increased 4
Total Mortgage Indebtedness 3
Mortgage Share
TOP 10:
Absolut Bank
Alfa Bank
Bank of Moscow
City Mortgage Bank
DeltaCredit
Gazprombank
KIT Finance Bank
Raiffeisenbank
UniCreditBank
Uralsib
85% of mortgage loans in Russia issued in rubles
* - in comparison with the same period of previous year
1 – Source: Rosstat
3 – Source: Central Bank of Russia
2 – Source: Central Bank of Russia
4 – Source: RusIpoteka (AIZHK)

2. Organiser, Lead Manager
Russian Mortgage Market
RMBS & Mortgage Bonds Deals in Russia,
2006: Total amount – USD MM
Deals in
Advantages:
High loan qualification
Conservative LTV
High service level
International financial warrantors
Disadvantages:
Immature real estate appraisal market
High geographic concentrated portfolio
Incompleteness of legislation
Dollar-denominated loans providing borrowers’ income in rubles
Instable ratings
Issue Date
Originator
Organiser, Lead Manager
Portfolio size ($, MM)
Rating
Jul-06
VTB Group / $
Barclays Capital, HSBC Bank PLC
88.30
Moody's: A1, Fitch: A-
City Mortgage Bank / $
MosNarBank (London), Greenwich Financial Services (USA)
72.60
Moody's: Baa2
Nov-06
Sovfintrade / RUB
Gazprombank
125.00
Moody's: Baa3
Dec-06
Sovfintrade / EUR, RUB
Gazprombank, Balclays Capital, HSBC Bank PLC
393.76
Moody's: A3
2007: Total amount – USD MM
Issue Date
Originatior
Servicer
Portfolio size ($, MM)
Rating
Apr-07
DeltaCredit / $
Societe General
206.30
Moody's: A2
May-07
AIZHK / RUB
Citibank
137.28
Moody's: A3
Jun-07
Sovfintrade / EUR, RUB, $
Gazprombank, Barclays Capital
465.27
Jul-07
Moskommerz / $, RUB
HSBC Bank PLC, Raiffeisen Centralbank
187.19
Moody's: Baa2 Fitch: BBB
Oct-07
CB MIA / RUB
83.33 -
Dec-07
URSA Bank / RUB
UniCreditGroup
377.38
S&P: BBB+
2008: Total amount – USD MM
Which characteristics are in 2008?
Issue Date
Originatior
Servicer
Portfolio size ($, MM)
Rating
July-08
Eurotrust / RUB
VTB Group
113.96 -
June-08
KIT Finance / RUB
Morgan Stanley
197.92
S&P: BBB+/ruAAA
May-08
Russian Mortgage Bank / $
Credit Swiss
140.00
April-08
252.08
S&P: BBB+
February-08
AIZHK / RUB
Citibank
446.98
Moody's: A3

3. Legislation Issues in Russian Mortgage Market
Short-term issues:
Solution of these issues provides opportunity for active mortgage market development (primary and secondary)
To change requirements to Mortgage Securities for insurers, pension funds investments
Mortgage Securities Investment procedure for General Bank Management Fund
To revise the obligatory reserves of the CBR on mortgage loans
Intermediate issues:
Correction of the LTV limit (now maximum is 70%)
Depository registration of mortgage
Definition of the Mortgage agent/broker status
Long-term issues:
Implementation of special accounts – Escrow accounts
Regulation of rating agency, credit rating status
Changes in pledge legislation