Reissue of Araratbank’s Bonds to Contribute to Armenia’s Financial
Market Development: USAID

YEREVAN, June 6. /ARKA/. Reissuing its bonds, the Araratbank is
contributing to the development of Armenia’s financial market and
securities market, USAID Financial Sector Program Development Chief
Robert Singletary said today at a press conference at the Novosti
International Press-Centre, Yerevan.

The Araratbank was the first Armenian commercial bank to issue coupon
bonds in May 2007 and simple bonds in December 2007.

Singletary said USAID approves of the Araratbank’s activities, as the
bank was the first to prove that companies issuing short-term bonds can
prolong them if there is a market demand. He called on other Armenian
commercial banks to follow the Araratbank’s example and reissue bonds.
He said USAID is ready to cooperate with any Armenian company in this
field.

The Araratbank intends to issue nominal coupon bonds worth 400mln drams
($1.3mln). A total of 40,000 18-month bonds worth 10,000 drams with 9%
annual yield will be issued on June 9-24.

The Araratbank OJSC (legal representative of the Armsvyaz Bank) was
established on September 2, 1991. The bank was given N4 banking license
and was later reorganized into an open joint stock company.

The Araratbank’s assets and capital had totaled 26.2bln drams and
5.1bln drams by March 31, 2008. The bank’s first quarterly profit was
216.9mln drams. ($1 -306.64 drams)-0-