Hrvatska Poštanska Banka d.d.

Board/Management Information • Nov 22, 2016

HRVATSKA POŠTANSKA BANKA d.d.

Management Board Jurišićeva 4, HR-10000 Zagreb Phone: +385 1 4804 400, 4804 409 Fax: +385 1 4810 773

HPB-R-A ISIN: HRHPB0RA0002 Zagreb Stock Exchange – Official market

Zagreb, November 22 2016 File no.: E01-117/16-LAT

Zagreb Stock Exchange

Croatian Financial Services Supervisory Agency (CFSSA) OTS HINA

Subject: HRVATSKA POŠTANSKA BANKA, plc - notification on the change of supervisory capital requirement

In accordance with the article 459 of the Capital Markets Act (Official Gazzette No. 88/08, 146/08, 74/09, 54/13, 159/13, 18/15 i 110/15) Hrvatska poštanska banka, plc ("the Bank" hereafter) informs the investment community that Croatian National Bank ("CNB" hereafter), upon regular supervision that had been performed, determined the ratio at which Bank's own funds must be maintained, which is a common measures applied to credit institutions.

As per requirements prescribed in article 92 of Regulation (EU) 575/2013, credit institutions must maintain following capital requirements at all times: (a) core-tier-1 ratio of 4,5%; (b) tier-1 ratio of 6%; (c) total capital ratio of 8%.

Furthermore, credit institutions should, in compliance with Part VII of Credit Institutions Act, mantain an appropriate level of capital buffers. In line with article 117 of the Credit Institutions Act, capital conservation buffer should amount to 2,5% of total risk exposure. Meanwhile, in line with Decision on application of structural systemic risk buffer, credit instutions must mantain additional capital buffer for structural and systemic risk in amount of 1,5%.

In addition to abovementioned regulatory requirements, CNB has within its regular supervisory assessment of the Bank, determined that Bank should, on consolidated level and on the level of parent credit institution maintain a higher capital ratio by at least 3,35 percent points above the ratio outlined in article 92 of the Regulation (EU) 575/2013 and in Part VII of the Credit Instutions Act.

This level of supervisory capital requirement supplants former rate equalling 2,0 percentage points. Measure is applicable until new resolution is made by the CNB. Bank will mantain all capital requirements in line with this measure and all applicable regulations.

Bank will inform investment community about any change in capital requirements in the future, in a timely manner.

Hrvatska poštanska banka, plc

Hrvatska poštanska banka, d.d. ⋅ Jurišićeva 4, 10000 Zagreb, Croatia ⋅ tel.: 072 472 472 ⋅ hpb@hpb.hr ⋅ www.hpb.hr Bank Management Board: Tomislav Vuić, Chairman ⋅ Mladen Mrvelj, Member ⋅ Domagoj Karadjole, Member ⋅ Supervisory Board Chairman: Dražen Kobas IBAN: HR46 2390 0011 0700 0002 9 ⋅ SWIFT: HPBZHR2X ⋅ OIB: 87939104217 ⋅ Registered with Zagreb Commercial Court under number MBS: 080010698 ⋅ Base Capital 1.214.775.000,00 kn, divided into 2.024.625 ordinary shares in nominal amount of 600,00 kn (paid in full)