Banco Comercial Portugues

Legal Proceedings Report • Jan 26, 2022

26 January 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.

January 26, 2022

Current Report no. 2/2022

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 4 th quarter 2021 accounts, PLN661.8 million of provisions for legal risk connected with FX mortgage loans originated by the Bank. Additional PLN70.2 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 in the 4 th quarter of 2021.

More information about the legal risk and 4 th quarter 2021 financial results will be disclosed in a current report scheduled for February 1, 2022.

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