On Nov. 17, 2008, Standard&Poor's Ratings Services lowered its long- and short-term counterparty credit ratings on Hungary-based OTP Bank Rt. (OTP) and OTP Mortgage Bank to 'BBB/A-3' from 'BBB+/A-2' and removed them from CreditWatch, where they were placed with negative implications on Oct. 16, 2008. The outlook on both banks is negative. This rating action follows the lowering of the sovereign credit ratings on the Republic of Hungary to 'BBB/A-3' from 'BBB+/A-2'. For more information see "Republic of Hungary Ratings Cut To 'BBB/A-3' On Deteriorating Economic Environment;Outlook Neg", published on RatingDirect on Nov. 17, 2008. Our rating action also takes into account the increasing economic risks prevalent in Hungary and their effect on OTP and OTP Mortgage Bank's
