Hellenic Bank Public Company LTD

Legal Proceedings Report • Apr 15, 2025

15 April 2025

Announcement

Subject: Pre-Settlement Agreement with the Cyprus Asset Management Company Limited

Hellenic Bank Public Company Limited (the "Bank") announces that it has signed a presettlement agreement with the Cyprus Asset Management Company Limited ("KEDIPES") for the buyback by KEDIPES of a portfolio of non-performing exposures ("NPEs"), the termination of the Asset Protection Scheme ("APS") which was granted in 2018 as part of the acquisition of a loan portfolio of the former Cyprus Cooperative Bank ("CCB"), ("APS") and the settlement of disputes arising from the agreement to acquire certain assets and liabilities of CCB (the "Transaction").

Through the Transaction:

• KEDIPES buys back NPEs of Net Book Value of €192 mln (with reference date 30 September 2024) at a consideration of €180 mln in cash,
• KEDIPES pays the Bank an amount of €17,5 mln for the termination of the APS, and
• KEDIPES pays the Bank an amount of €10 mln for the settlement of disputes arising from the agreement to acquire certain assets and liabilities of CCB.

The APS provides credit protection to the Bank for a specific part of the acquired loan portfolio ("APS Assets") against future losses for a period up to 12 years from the Completion Date (2018) with the option of extending this for a specific period of 2 years. The Gross Book Value of the APS Assets is €1 bln (with reference date 30 September 2024). Out of these, NPEs of €262 mln are included in the buyback agreement.

Following the completion of the Transaction, the NPE ratio pro-forma for the Transaction, will be reduced from 6,5%¹ as at 31 December 2024 to 2,4%. At the same time, the Bank's NPE coverage ratio is adjusted to 63% from 43%¹ as at 31 December 2024.

The Transaction, which is expected to be completed by the end of 2025, is subject to all relevant approvals from regulatory authorities as well as competition authorities, and it is not expected to have a significant impact on the Bank's capital position.

HELLENIC BANK PUBLIC COMPANY LIMITED

¹ Including NPEs covered by the APS.