«Coming together is a beginning; Keeping together is progress; Working together is success!» Henry Ford JSCB «Izhcombank» (JSC) was established on October 30, 1990 on the base of Udmurt Republic Zhilsocbank authority of USSR.   In the head of the bank is a team of professional managers some of them have got education in finance at Securities Institute (London, UK), University of Brighton (Brighton, UK) and Securities Institute (New-York, USA) and are experienced in financial market from 1994. The major number of staff is more than 5 years experienced in bank sphere. Staff average age is 37,5. Accurate and competent management ensures working concurrence at all levels of bank service. It builds up a reputation of leading credit institution in Udmurt Republic.

BANK MISSION To provide full complex of high quality service for customers with any form of ownership and field of action.   To remain the leading credit institution in Udmurt Republic and to enter the Russia wide bank market. Our bank has got the modern technologies which allow our customers use Bank as high precision financial instrument efficiently and with maximum profit.

NET WORK OF BRANCH BANKS AND OUTLETS There are 1 main office and 5 outlets in various districts of Izhevsk, Udmurt Republic 6 outlets in towns of Udmurt Republic 1 outlet in Perm region 1 branch bank in Moscow Outlet «Glazovskoye» Glazov, Udmurt Republic

DYNAMICS OF ACTIVE GROWTH The Bank constantly increases owner capital and aspires to get maximum profit.

The Bank holds conservative policy of management The Bank holds conservative policy of management. The revenue structure for the 9 months distributes as follows: * * others (restitution of funds from reserve account, commission, received under issued guarantee, factoring transaction incomes, trust management incomes).

TOTAL BALANCE In 2003 the owner and managing team of the Bank was changed as the result bank activities grew, capitalization and total balance increased: Systematic routing complex checks by Central Bank of Russian Federation shows that Federal law No.115- ФЗ «About combating money laundering and financing of terrorism» is fulfilled without any claims.

Constant growth of credit portfolio and wide range of loan products show banks activity and its dynamic development. The main source of loan funds is household deposits. In 2004 the first among banks of Udmurt Republic the Bank was included in register obligatory insurance scheme of deposits. Positive growth of natural person’s deposits reflects the level of peoples trust.

BANK SERVICES Bank is a universal credit institute; it provides wide range of services both to natural and legal persons: Settlement and cash service both in rubles and foreign currency; Full complex of credit activities both for natural and legal persons; Work with letters of credit; Factoring transactions; Issuing of proper region (Izhcard) and international credit cards (Master Card); Operations on securities market; Trust managing of monetary funds; Cash remittance via Western Union and Unistrim systems; Household deposits; Internet – Banking; Bank guarantees providing;

RATES Rating agency AK&M conferred JSC «Izhcombank»   the credit rate according to the national scale: «В++» with the stable outlook. (May 2007) According to the date of information portal «RBK Raiting» 35 position among the biggest banks of Russia in the volume of outstanding credits for small and medium business in the 1st half of 2007 year. 196 position in the TOP 500 of profitable banks (Russia) in the 1st half of 2007 year. 64 position among the banks of Russia in the volume of credit cards in circulation and 51st position in the volume of issued cards in the 1st half of 2007 year. 33 position in the list of «The most Mortgage banks of Russia in 2006» with the number of given credits 1 530 in 2006 and percentage changing 514,92 %. in comparison with 2005. 3 position in the competition «The best Mortgage program 2006» («Informipoteka» Agency, December 2006).

REWARDS Annual bonuses «Banking Industry» in the sphere of banking business in the «Best Regional Bank» category: according to the results of 2004 – diploma according to the results of 2005 – silver award according to the results of 2006 – golden award II position in the VI Interbank banking legislation Internet – Championship (2006) Winning of the competition of salary project (the transference process of out- of- pocket cost for salary and bonuses (and others social payments and pension benefits) by credit cards) on the involving of credit organizations for making the operations with the Izhevsk city budgeting funds. (The competition was organized by Financial Management of Izhevsk city organization in 2006).

MEMBERSHIP Non-profit organization «Region Banks of Russia Association (Association «Russia») Non-profit organization «Socioeconomic Association «Business Udmurtia» (Association «Business Udmurtia») CJSC «St. Petersburg Currency Bourse» (CJSC SPCB) Regional payment system «Izhcard» Regional payment system «Citycard» International payment system «MasterCard International» Partnership OJSC «Mortgage housing lending Agentcy» OJSC «ATTA Mortgage» Kit-Finance Investment Bank (OJSC) Managing company «Region-Development» Bank is the only credit organization on the territory of Udmurt Republic, which has got the status of service agent of the Mortgage lending federal program. Using the wide-spread outlet net, Izhcombank accepts the payments by credit liabilities in favour of correspondent banks. CJSC «Bank Russkiy Standart» Limited liability company «HKF Bank» Limited liability company «Rusfinans-Bank»

PLANS AND OUTLOOKS The most important Bank’s goals are: Bank’s owner capital increasing at least up to 450 000 000 rubles Getting the profit in 2008 more then 100 000 000 rubles Systematic risk management Corporate management perfection Plans for the 2008 year Selling System Development and Perfection One of the Bank’s priorities is the development and perfection of the selling system, which includes function departments organization, consultant institute introduction, points of sale expansion. Bank department opening in the 10 mostly important administrative centers of Udmurt Republic. This new departments will be responsible for pension and social relief payments, effective of payment, credit activities.

PLANS AND OUTLOOKS Entry in «VISA» JSCB «Izhcombank» (OJSC) is going to enter the International Payment System VISA. This fact will open new facilities to our clients - physical persons, production units and trade organizations. And the Bank itself will have the opportunity to develop multisystem acquiring of the international cards as the individual project. Investment Direction of the Bank Activity Asset Management, brokerage services, corporate finance Bank’s Asset Securitization The Bank is considering the possibility of business refinancing by the placement of secured debentures Effective Cooperation with the Consumer Effective cooperation with the customer is one of the key factors of the Bank activity success. That is why we are paying a lot of attention to the staff training, client subdivisions and sales subdivisions development.

AUDITOR‘S CONCLUSION Audit Company CJSC «Ekaterinbyrgskiy Audit – Centr» has been performing the audit of Izhcombank since 2003 year. This Audit Company has been one of the 10th first - rate companies in Russia for the last 5 years (According to the magazine «Expert» data). CJSC «Ekaterinbyrgskiy Audit – Centr» specialists have completed the training courses in the international training centers of the following companies: Price Waterhouse Coopers Deloitte & Touche   Ernst & Young Several specialists have the international diplomas of ACCA (The Association of Chartered Certified Accountants) and IFRS (International Financial Reporting Standards).   According to the audit company the Bank’s finance accounting is reliable represents, in all aspects, the financial position and the results of financial and economic activity in compliance with the Russia statutory requirement in the sphere of making the finance accounting.

BANK’S VISITING CARD Firm-name: JOINT STOCK BANK «IZHCOMBANK»  (open joint stock company)                            Abbreviation: JSCB_«IZHCOMBANK» (OJSC)                                                                                                                                                               Essential Elements: cor. account 30101810900000000871 in State Financial Settlements Center of Udmurt Republic National Bank TIN 1835047032, KPP 183501001 BRBIC 049401871 RNNBO 09269011, SIC 96120 PSRN 1021800000090 31.07.2002 Headquarters address (correspondence address): Lenina str. 30, Udmurt Republic, 426076, Russia Tel: (3412) 919-100 Fax: (3412) 51-09-66 Telex: 612923 - IJKOM.RU Central Bank of Russia License N 646 dd 05.10.2005 Website: www.izhcombank.ru