1. Home Credit & Finance Bank SECURITISATION OF CONSUMER LOANS IN RUSSIA : FIRST EVER SECURITISATION OF RUBLE ASSETS Home Credit & Finance Bank SECURITISATION OF CONSUMER LOANS IN RUSSIA : FIRST EVER SECURITISATION OF RUBLE ASSETS Dmitri Mosolov – Deputy Chairman of the Board London, 13 October 2006

2. 2 Home Credit & Finance Bank Important Notice

3. 3 Home Credit & Finance Bank HCFB INTRODUCTION

4. 4 Home Credit & Finance Bank HCFB: fast growing consumer finance company  Second largest provider of consumer point- of-sale (‘POS’) finance and credit cards in Russia  Part of the Home Credit Group (‘HCG’) which operates in consumer finance markets in the Czech Republic, Slovakia, the Russian Federation and Kazakhstan  HCG is part of PPF Group, the largest non- banking financial services group in the Czech Republic  Launched in 2002  Major products: point-of-sale (POS) loans and revolving credit cards  Consumer loan portfolio of estimated RUR 29bn (1)  Large network of 57 representative offices and over 21,000 POS across the country  International Ratings: Moody’s Ba3/NP/D-, S&P B-/C Note: (1) As of 1H 2006. Rapid growth in consumer loan portfolio

5. 5 Home Credit & Finance Bank STABLE & DIVERSIFIED FUNDING BASE Note: * the issue redeemed on Oct 18, 2005 ** first drawing, total Facility amount can be increased up to US$ 50m  US$ 50m Syndicated Loan Facility due 2006 (Jan ’06)  RUR 1.5bn due ‘07 (Oct ’04) *  RUR 3bn due ‘10 (May ’05)  RUR 3bn due ’10 (Sept ’05)  US$150m due 2008 (Jan ’05)  US$275m due 2008 (Jun ’05)  US$ 25m** Loan Facility with BNP Paribas due 2006 (Nov ‘05) DOMESTIC RUR BOND MARKET EUROBOND MARKET BILATERAL LOANS INTERNATIONAL SYNDICATIONS ASSET-BACKED SECURUTISATION Consumer loan securitisation EUR 126.5m due 2012 (Dec ’05)

6. 6 Home Credit & Finance Bank WHY USE SECURITISATION AS A FINANCING TOOL…? GENERAL APPROACH TO THE DEAL: ASSET-BACKED SECURUTISATION IS AN ESSENTIAL PART OF HCFB FUNDING STRATEGY The securitisation deal was a well-thought-out step  Planned well in advance  Early in 2004 two international law firms were appointed for conducting legal analysis of the securitisation matters in Russia  Czech experience of Home Credit a.s. securitisation was thoroughly analyzed and taken into consideration The deal was intended to achieve:  HCFB’s funding diversification  Broadening HCFB’s investor base  Raising long-term funding at a competitive cost  Certainty of getting funds in a timely manner

7. 7 Home Credit & Finance Bank HCFB DEBUT CONSUMER LOAN SECURITISATION: CASE STUDY

8. 8 Home Credit & Finance Bank  HCFB provides unsecured loans mainly to finance the purchase of household goods and consumer electronics  POS loan characteristics: HCFB POS LOANS ASSET CLASS PROFILE Note: (1) as of 30 June 2006. Translated at RUR 27.0789 = 1 US$. by loan size by tenor by product type consumer loan portfolio breakdown (1)  0-30% down payment  Tenor of 4 – 24 months  RUR denominated  Fixed rate of interest  RUR 3,000 – 200,000 (US$100 – 7,000 equivalent)  Repayable in equal monthly installments  High interest rate (average effective interest rate 38.7% p.a.)  POS loans target audience: mass market  As of 30 June 2006 HCFB POS loan portfolio included approximately 4 million outstanding loans Original average maturity – 11 months Original average size – US$340

9. 9 Home Credit & Finance Bank TRANSACTION SUMMARY Listing  Irish Stock Exchange Issuer  Eurasia Structured Finance No 1, SA Structure type  True Sale Denomination  EUR 125 000 Maturity / Call date  May 2012 / May 2009 Lead Manager  BAYERISCHE HYPO- UND VEREINSBANK Seller, Originator, Servicer Seller, Originator, Servicer  Home Credit & Finance Bank Yield  A-1 Notes – 1mEuribor + 2.5%; A-2 Notes – 1mEuribor + 5.25%; B Notes – 1mEuribor + 5% Issue Size (Original Notes) Issue Size (Original Notes)  Class A-1 Notes – EUR 100 000 000; Class A-2 Notes – EUR 13 500 000; Class B Notes – EUR 13 000 000 Transaction Rating  Moody’s: A-1 Notes – Baa2; A-2 Notes – Ba2; B Notes – Ba3

10. 10 Home Credit & Finance Bank TRANSACTION STRUCTURE DIAGRAM ORIGINATOR/ SELLER/ SERVICER (HCFB) ISSUER (ESF No1, Luxembourg) CASH MANAGER / HEDGE COUNTERPARTY (HVB) LEAD MANAGER, MANAGER (HVB, PPF Banka) HCFB Customers I N V E S T O R S Standby Servicer (IMB) Trustee & Paying Agent (Deutsche Bank) Corporate servicer (SFM) Sale of Receivables Subordinated loan Purchase Price Preference Share IR & FX Hedging Class A1 Notes Class A2 Notes Class B Notes

11. 11 Home Credit & Finance Bank TRANSACTION KEY STAGES & TIMETABLE March 2005 Launch of Feasibility study September 2005 Structure Note finalized, other third parties engaged: Trustee, Corporate servicer, Rating agency, etc. May 2005 Key advisors appointed December 2005 Signing & Closing October 2005 Data analysis, system testing & administrative processes review completed Documentation drafting & transaction preparation Feasibility study & StructuringExecution Feasibility study was crucial for understanding Russian tax & legal environment, proper planning and coordination Structuring was the most time consuming stage and took much longer period compared to other funding transactions Execution stage involved not only extensive paperwork, but also systems adjustment and changes in operational processes

12. 12 Home Credit & Finance Bank LEAD MANAGER & KEY ADVISERS ENGAGEMENT Experience in ABS deals internationally and in CEE countries, especially in structuring & executing “first in the marketplace” deals Key points HCFB considered: Past experience of HC Group/ PPF Group Particular people involved in the deal Having only one investments bank during the Feasibility Study & Structuring stages proves to be much more efficient in the newly developing Russian securitisation market … Key advisors to the deal were appointed in two phases: feasibility study and structuring & execution Strong knowledge of local specifics This approach allowed HCFB to manage transaction in time & cost effective way!

13. 13 Home Credit & Finance Bank FEASIBILITY STUDY & STRUCTURING INTERNATIONAL EXPERIENCE LOCAL SPECIFICS KNOWLEDGE ISSUES FOR STRUCTURING SOLUTION Transaction Rating On-shore vs off-shore SPV Clean True Sale legal opinion Hot Standby servicer solution Tax neutrality Hedging technology Commingling risk of Originator – A2 tranch Subordinated loan mechanics STRUCTURE

14. 14 Home Credit & Finance Bank LANDMARK HEDGING STRUCTURE RUR denominated short-term Receivables with fixed interest rate EUR denominated long-term Notes with floating interest rate  rolling programme of EUR – RUR FX Swaps  split into 10 Swaps within a month  market rates for a variable size and duration to maturity  rolling programme of EUR – RUR FX Swaps  split into 10 Swaps within a month  market rates for a variable size and duration to maturity  rolling programme of RUR Interest Rate Swaps  duration to maturity of up to nine months with monthly payment dates  RUR notional amount declining by reference to a fixed amortization schedule  rolling programme of RUR Interest Rate Swaps  duration to maturity of up to nine months with monthly payment dates  RUR notional amount declining by reference to a fixed amortization schedule FX Hedging Interest Rate Hedging Benefits: Key objective to match asset & liabilities profiles is achieved Rolling structure avoids back-to-back element and gives zero credit cost Long-dated outright cross-currency swap is avoided

15. 15 Home Credit & Finance Bank EXECUTION  Russian Antimonopoly Service approval  Sovereign level rating for A1 Notes obtaining  Russian currency control issues  Standby Servicer solution MAJOR CHALLENGES - TO HANDLE “LAST MINUTE” ISSUES Extensive transaction documentation preparation (over 20 contracts were signed) Offering Circular completion & Notes Listing Company’s systems adjustment & certain changes in operational processes Transaction discussions with authorities (Russian Antimonopoly Service approval, Luxembourg tax issues, etc.) Rating obtaining process Closing of the deal was achieved on time and within the planned budget !

16. 16 Home Credit & Finance Bank DISTRIBUTION HCFB PLACEMENT STRATEGY: certainty of getting funds during the booming New Year buying season rather than road-show approach generally used in the Eurobond market PRE-PLACEMENT CONCEPT Lead Manager and Manager provided FULL UNDERWRITING COMMITMENT for Class A1, Class A2 and Class B Notes

17. 17 Home Credit & Finance Bank SUMMARY

18. 18 Home Credit & Finance Bank LESSONS LEARNED  Securitisation involves a variety of different aspects: legal & tax environment, accounting, operational procedures, IT, HR …  A diverse rage of external and company’s specialists from different levels worked on the transaction  Securitisation changes the entire work of the company: business processes, systems, reporting, etc.  Securitisation was a completely new and important experience for HCFB, which will be leveraged upon in future transactions…

19. 19 Home Credit & Finance Bank TRANSACTION CREDENTIALS & PUBLICITY FIRST EVER SECURITISATION OF RUBLE ASSETS FIRST PUBLIC SECURITIZATION OF CONSUMER LOANS IN RUSSIA “HCF returns with rouble ABS breakthrough, via HVB Home Credit & Finance Bank notched up a second first in the European ABS market last Friday, when it closed the first securitisation of rouble-denominated assets…” EuroWeek, December 16 2005 “CAPITAL MARKETS & COMMODITIES: Russia achieves loan deal milestone Russian securitisation deals are set to take a leap forward following the conclusion of a groundbreaking near- €300m deal, according to bankers and lawyers. Home Credit & Finance Bank, a Czech-owned, Russian consumer finance company, has completed the first securitisation of domestic Rouble assets from a portfolio of unsecured, small-ticket consumer loans….” Financial Times, Dec 14 2005 Best Securitisation of Emerging Market Assets

20. 20 Home Credit & Finance Bank TO BE CONTINUED…

21. 21 Home Credit & Finance Bank QUESTIONS & ANSWERS SESSION THANK YOU!