Aareal Bank AG / Letter of Intent/Corporate Action 28.06.2010 07:03 Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- Aareal Bank starts repayment of the SoFFin silent participation ahead of plan, enhances funding flexibility through a precautionary measure - First repayment tranche will amount to EUR 150 million - Flexibility to be enhanced by using the remaining framework guarantee for a precautionary shelf issue - no specific plans for placement on the capital markets at present Wiesbaden, 28 June 2010 - Aareal Bank is starting repayment of the silent participation by the German Financial Markets Stabilisation Fund ('SoFFin') earlier than was announced originally. The international property specialist will transfer a first tranche in the amount of EUR 150 million to SoFFin. The German Federal Financial Supervisory Authority (BaFin) has approved the repayment. SoFFin provided Aareal Bank with a silent participation totalling EUR 525 million at the start of 2009. The repayment of the remaining amount will be agreed upon in due course. In addition, the Management Board decided to utilise the remaining EUR 2 billion framework guarantee. At present there are no specific plans for placing the shelf issue on the market: as a purely precautionary measure, this will retain the financial flexibility provided by the framework guarantee for the next three years. For Aareal Bank's shareholders, the two measures are virtually neutral in terms of their impact on income. This is because the relief from the early repayment of the SoFFin silent participation will be virtually neutralised by the additional charges for the remaining guarantees. Aareal Bank's Tier 1 ratio (in accordance with the Credit Risk Standard Approach - CRSA) was 11.2 per cent as at 31 March 2010. Taking into account the partial repayment to SoFFin, on a pro-forma basis, the ratio would have been 10.5 per cent - a comfortable level, also by international standards. 28.06.2010 07:03 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Medienarchiv at |[![CDATA[|[a href="http://www.dgap-medientreff.de"|]www.dgap-medientreff.de|[/a|]]]|] and |[![CDATA[|[a href="http://www.dgap.de"|]www.dgap.de|[/a|]]]|] --------------------------------------------------------------------------- Language: English Company: Aareal Bank AG Paulinenstr.15 65189 Wiesbaden Deutschland Phone: +49 (0)611 348 - 0 Fax: +49 (0)611 348 - 2548 E-mail: aareal@aareal-bank.com Internet: www.aareal-bank.com ISIN: DE0005408116 WKN: 540811 Indices: MDAX Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, München, Düsseldorf, Stuttgart, Hamburg; Foreign Exchange(s) Stockholm End of News DGAP News-Service ---------------------------------------------------------------------------
DGAP-Adhoc: Aareal Bank AG: Aareal Bank starts repayment of the SoFFin silent participation ahead of plan, enhances funding flexibility through a precautionary measure
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