Banco Comercial Portugues

Legal Proceedings Report • Apr 13, 2022

13 April 2022

Banco Comercial Português, S.A. informs about provisions for FX-denominated mortgage loans booked by Bank Millennium, S.A.

Banco Comercial Português, S.A. informs that Bank Millennium S.A., in which it holds a 50.1% stake, has published the attached current report today.

End of announcement Banco Comercial Português, S.A.

April 13, 2022

Current report no. 13/2022

SUBJECT: Creation of additional provisions against legal risk related to FX mortgage loans portfolio.

The Management Board of Bank Millennium S.A. ('the Bank') informs that it took a decision to create in its 1 st quarter 2022 accounts, PLN 451.2 million of provisions for legal risk connected with FX mortgage loans originated by the Bank. Additional PLN 48.0 million provisions will also be created against legal risk related to the loan book originated by former Euro Bank S.A. but without a bottom line impact. The provisions reflect the continuing negative trends in court decisions, inflow of new court cases and resultant changes in the Bank's legal risk assessment methodology.

As a result of this level of provisions, despite solid operating performance, the Bank will post a negative net result for the 1 st quarter of 2022.

More information about the legal risk and 1 st quarter 2022 financial results will be disclosed in a periodical report scheduled for April 26, 2022.

Legal basis: art. 17 section 1 MAR – confidential information