DGAP-Adhoc: UBS AG: UBS Completes the Sale of USD $15

UBS AG / Miscellaneous

21.05.2008 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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UBS Completes the Sale of USD $15 Billion of U.S. Real Estate Related
Assets to BlackRock

New York, May 21st, 2008  UBS announced today that it has closed on the
sale of approximately USD $15 billion of primarily Subprime and Alt-A US
residential mortgage-backed securities to a newly created distressed asset
fund that will be managed by BlackRock, the global investment management
firm.

Marcel Rohner, Group Chief Executive Officer of UBS said, 'Risk reduction
remains a critical part of our ongoing financial restructuring and this
sale is a big step towards further reducing our positions in this asset
class.  We continue to manage our legacy risks in a flexible and creative
way in the best interests of our shareholders.'

Jerker Johansson, Chairman and CEO of UBS Investment Bank said, 'BlackRock
proved to be an ideal partner for this venture.  Through BlackRock
Solutions they were able to provide leading analytic, structuring and
advisory services.'

UBS sold positions with a nominal value of approximately USD $22 billion to
the new fund for an aggregate sale price of approximately USD $15 billion. 
Based on UBS categorizations, the vast majority of the positions are
Subprime and Alt-A in roughly equal parts and the remainder is Prime.  The
fund purchased the securities using approximately USD $3.75 billion in
equity raised by BlackRock from investors and a multi-year collateralized
term loan of approximately USD $11.25 billion provided by UBS.

The transaction has closed, and further terms were not disclosed.


UBS 


UBS Media Relations +41 44 234 85 00
DGAP 21.05.2008 
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Language:     English
Issuer:       UBS AG
              Bahnhofstrasse 45
              CH-8098 Zürich
              Schweiz
Phone:        +41 44 234 4100
Fax:          +41 44 234 3415
E-mail:       info@ubs.com
Internet:     www.ubs.com
ISIN:         CH0024899483
WKN:          UB0BL6
Listed:       Freiverkehr in Berlin, München, Hamburg, Düsseldorf,
              Stuttgart; Open Market in Frankfurt; Foreign Exchange(s) SWX
End of News                                     DGAP News-Service
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DGAP-Adhoc: UBS AG: UBS Completes the Sale of USD $15 Billion of U.S. Real Estate Related Assets to BlackRock
