<Div id="j">
<h3>Portrait of the Bank</h3>
 
<p>Offering an&nbsp;individual service for corporate clients and individuals, Bank Vozrozhdenie provides financial services across the whole of&nbsp;Russia. With a&nbsp;history dating back to&nbsp;1991, the Bank is&nbsp;one of&nbsp;the largest financial institutions in&nbsp;Russia today and has been among the country&rsquo;s top 30&nbsp;banks for 18&nbsp;years in&nbsp;a&nbsp;row.</p>
 
<p>Bank Vozrozhdenie’s network consists of&nbsp;173 branches and 730&nbsp;ATMs in&nbsp;21&nbsp;Russian regions, primarily those in&nbsp;the European part of&nbsp;the country: Moscow Region and the Southern and North-West areas of&nbsp;the country.</p>
 
<p>The Bank serves around 60,000 corporate clients and 1.5 million retail clients, offering a&nbsp;varied range of&nbsp;services that include deposits, cash management, business financing, mortgage and consumer lending, and bank cards. One particularly noteworthy feature is&nbsp;the loyalty of&nbsp;clients, many of&nbsp;whom have been with the Bank for 20&nbsp;years.</p>
 
<div class="gray_block"> Bank Vozrozhdenie’s strategy is&nbsp;based on&nbsp;developing its competitive advantages, a&nbsp;business that generates stable fees and commission income and its small and medium-sized enterprise (SME) programs, using a&nbsp;solid funding base, customer funds. The Bank adheres to&nbsp;a&nbsp;conservative risk-management policy, which has enabled it&nbsp;to&nbsp;emerge from all of&nbsp;the financial crises in&nbsp;modern Russian history without losses.</div>
 
<p>In&nbsp;December 2010, authoritative&nbsp;UK magazine The Banker (a&nbsp;Financial Times publication) named Bank Vozrozhdenie as&nbsp;Bank of&nbsp;the Year in&nbsp;Russia.</p>
 
<p>Bank Vozrozhdenie is&nbsp;one of&nbsp;the few financial institutions in&nbsp;Russia whose shares are traded on&nbsp;local and international stock exchanges. Over&nbsp;9,000 individuals and legal entities are among its shareholders, and many have been investors for over 15&nbsp;years. The Bank shows an&nbsp;unwavering commitment to&nbsp;observing the rights and interests of&nbsp;its shareholders, and year after year it&nbsp;is&nbsp;acknowledged as&nbsp;one of&nbsp;the leaders on&nbsp;Russia’s financial market in&nbsp;terms of&nbsp;corporate governance.</p>
 
<p> Bank Vozrozhdenie has published financial s<wbr></wbr><wbr></wbr>tatements according to&nbsp;Russian Accounting Standards and International Financial Reporting Standards since 1991. Its external auditor is&nbsp;PricewaterhouseCoopers Audit. The Bank has long-term credit ratings of &lsquo;Ba3’ from Moody’s and ‘B+’ from Standard &amp;&nbsp;Poor’s.</p>
 
<h2>Market positions <sup><a href="#" class="term" title="Based on information from RBC Rating " ><font class="Apple-style-span" size="1">1</font></a></sup></h2>
 
<ul> 	 
  <li>3rd by&nbsp;loans to&nbsp;the SME sector </li>
 
  <li>6th by&nbsp;volume of&nbsp;mortgages originated </li>
 
  <li>11th by&nbsp;bank cards issued </li>
 
  <li>13th by&nbsp;individual deposits </li>
 
  <li>18th by&nbsp;number of&nbsp;ATMs </li>
 
  <li>20th by&nbsp;loans to&nbsp;legal entities </li>
 
  <li>20th by&nbsp;volume of&nbsp;loan portfolio </li>
 
  <li>497th worldwide by&nbsp;brand value <sup><a href="#" class="term" title="Rating of the world’s 500 largest bank brands by value, carried out by independent international consulting company Brand Finance" >2</a> </sup></li>
 </ul>
 
<p> 
  <table class="tab" style="border-collapse: collapse; "> 	 
    <tbody> 		 
      <tr> 			<th> 				 Key business results 			</th> 			<th> 				 
          <p>2010</p>
         			</th> 			<th> 				 
          <p>2009</p>
         			</th> 			<th> 				 
          <p>Change </p>
         			</th> 		</tr>
     		 
      <tr> 			<td> 				 Assets, RUB billion 			</td> 			<td> 				 
          <p>166,2</p>
         			</td> 			<td> 				 
          <p>145,6</p>
         			</td> 			<td> 				 
          <p>14,1%</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Loan portfolio (excluding provisions), RUB billion 			</td> 			<td> 				 
          <p>104,0</p>
         			</td> 			<td> 				 
          <p>85,2</p>
         			</td> 			<td> 				 
          <p>22,1%</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Retail client funds, RUB billion</td> 			<td> 				 
          <p>85,2</p>
         			</td> 			<td> 				 
          <p>68,6</p>
         			</td> 			<td> 				 
          <p>24,2%</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Income, RUB billion		</td> 			<td> 				 
          <p>0,6</p>
         			</td> 			<td> 				 
          <p>1,2</p>
         			</td> 			<td> 				 
          <p>-50,0%</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Capital adequacy 			</td> 			<td> 				 
          <p>15,2%</p>
         			</td> 			<td> 				 
          <p>19,0%</p>
         			</td> 			<td> 				 
          <p>-3,8 ď.ď.</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 ROE 			</td> 			<td> 				 
          <p>3,5%</p>
         			</td> 			<td> 				 
          <p>7,8%</p>
         			</td> 			<td> 				 
          <p>-4,3 ď.ď.</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Number of retail clients, ‘000 			</td> 			<td> 				 
          <p>1&nbsp;546</p>
         			</td> 			<td> 				 
          <p>1&nbsp;503</p>
         			</td> 			<td> 				 
          <p>2,9%</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 Number of corporate clients, ‘000	</td> 			<td> 				 
          <p>60</p>
         			</td> 			<td> 				 
          <p>56</p>
         			</td> 			<td> 				 
          <p>7,1%</p>
         			</td> 		</tr>
     	</tbody>
   </table>
 </p>
 
<h4>Credit ratings</h4>
 
<p> 
  <table class="tab" style="border-collapse: collapse; "> 	 
    <tbody> 		 
      <tr> 			<th> 				 Agency</th> 			<th> 				 
          <p>Type</p>
         			</th> 			<th> 				 
          <p>Rating</p>
         			</th> 			<th> 				 
          <p>Outlook</p>
         			</th> 		</tr>
     		 
      <tr> 			<td> 				 <strong>Moody’s Investors Service</strong> 			</td> 			<td> 				 
          <p>Foreign-currency deposit rating</p>
         			</td> 			<td> 				 
          <p>Ba3/NP</p>
         			</td> 			<td> 				 
          <p>Stable</p>
         			</td> 		</tr>
     		 
      <tr> 			<td></td> 			<td> 				 
          <p>Local-currency deposit rating</p>
         			</td> 			<td> 				 
          <p>Ba3/NP</p>
         			</td> 			<td> 				 
          <p>Stable</p>
         			</td> 		</tr>
     		 
      <tr> 			<td></td> 			<td> 				 
          <p>Financial stability</p>
         			</td> 			<td> 				 
          <p>D-</p>
         			</td> 			<td> 				 
          <p>Stable</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 <strong>Standard &amp;&nbsp;Poor’s</strong> 			</td> 			<td> 				 
          <p>Financial stability</p>
         			</td> 			<td> 				 
          <p>B+</p>
         			</td> 			<td> 				 
          <p>Positive</p>
         			</td> 		</tr>
     		 
      <tr> 			<td></td> 			<td> 				 
          <p>Short-term counterparty credit rating</p>
         			</td> 			<td> 				 
          <p>B</p>
         			</td> 			<td> 				 
          <p>Positive</p>
         			</td> 		</tr>
     		 
      <tr> 			<td></td> 			<td> 				 
          <p>National-scale rating</p>
         			</td> 			<td> 				 
          <p>ruA+</p>
         			</td> 			<td> 				 
          <p>Positive</p>
         			</td> 		</tr>
     		 
      <tr> 			<td> 				 <strong>Moody’s Interfax</strong> 			</td> 			<td> 				 
          <p>Long-term national-scale credit rating</p>
         </td> 			<td> 				 
          <p>Aa3.ru</p>
         			</td> 			<td> 				 
          <p>Stable</p>
         			</td> 		</tr>
     	</tbody>
   </table>
 </p>
 
<p> The financial results in the table &ldquo;Key business results&rdquo; are according to IFRS, as are all other figures in this report. </p>
 
<table class="tbimg" style="margin-top: 10px; margin-right: 0px; margin-bottom: 10px; margin-left: 0px; width: 100%; border-collapse: collapse; "> 
  <tbody> 
    <tr><td> 
        <h4>Dynamics and structure of assets, RUB million</h4>
       </td><td style="width: 50px; "> 
        <br />
       </td><td> 
        <h4>Dynamics and structure of liabilities, RUB million</h4>
       </td></tr>
   
    <tr><td style="vertical-align: top; "> 
        <p><img src="/img/grafiki_en/01.png" border="0"  /> 
          <br />
         </p>
       
        <p></p>
       
        <p><img src="/img/xls.png" border="0"  /> <a href="/xls/PORTRAIT_OF_THE_BANK.xls" target="_blank" >Download XLS</a></p>
       </td><td></td><td style="vertical-align: top; "> 
        <p><img src="/img/grafiki_en/02.png" border="0"  /></p>
       
        <p><img src="/img/xls.png" border="0"  /> <a href="/xls/PORTRAIT_OF_THE_BANK.xls" target="_blank" >Download XLS</a></p>
       </td></tr>
   
    <tr><td colspan="1"></td><td colspan="1"></td><td colspan="1"></td></tr>
   
    <tr><td colspan="1"> 
        <h4>Structure of assets</h4>
       </td><td></td><td colspan="1"> 
        <h4>Structure of liabilities</h4>
       </td></tr>
   
    <tr><td colspan="1" style="vertical-align: top; "> 
        <p> <img src="/img/grafiki_en/03.png" style="margin-top: 14px;" border="0"  /></p>
       
        <p><img src="/img/xls.png" border="0"  /> <a href="/xls/PORTRAIT_OF_THE_BANK.xls" target="_blank" >Download XLS</a></p>
       </td><td></td><td colspan="1" style="vertical-align: top; "> 
        <p><img src="/img/grafiki_en/04.png" border="0"  /></p>
       
        <p> * Operating income excluding provisions for loan write-offs. </p>
       
        <p><img src="/img/xls.png" border="0"  /> <a href="/xls/PORTRAIT_OF_THE_BANK.xls" target="_blank" >Download XLS</a></p>
       </td></tr>
   </tbody>
 </table>
 
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