Home Credit and Finance Bank refutes FAS allegations

Moscow, 07/11/2008

Following an announcement on 8th July 2008 from the Federal Antimonopoly Service (FAS Russia) when it confirmed that it had initiated a case against Home Credit & Finance Bank ("HCFB") for allegedly breaching Article 14 of the Federal Law "On Protection of Competition", the Directors of HCFB today issued the following statement:

Whilst HCFB fully supports the State authorities in all their efforts to develop a well-informed and highly transparent consumer finance market in Russia, we strongly contest the allegation by the FAS that HCFB has breached any unfair competition rules.

HCFB has always sought to maintain the highest standards in consumer service and transparency by adopting all the regulatory requirements laid down by the controlling bodies responsible for such matters. The alleged breaches relate to a small segment of the Bank's POS product line. We are not in a position to comment further until such time as the outcome of the case hearing on 13th August.

"HCFB looks forward to presenting its appeal when it will vigorously contest the allegation and reiterate its objections to the claim set out by the FAS. The Bank is confident of a satisfactory outcome to this case."

For detailed information, please visit:

www.homecredit.net
www.homecredit.ru

You may also contact us:

Alena Zheltova
Deputy Head of Corporate Finance/IR, HCFB
E-mail: alena.zheltova@homecredit.ru
tel: +7 495 514 1017

Press Inquiries:

Milan Tománek
Group Communication Manager
E-mail: milan.tomanek@homecredit.eu
tel: +420 224 559 573

Natalya Dokuchaeva
Head of PR Department, HCFB
E-mail: press@homecredit.ru
tel: +7 495 514 1019

Notes to Editors:

Home Credit & Finance Bank (Moody's Ba3/NP/D-, S&P B+/B) is one of the leading banks specializing in consumer banking in Russia with a 29% market share in the point-of-sale market and an 11% market share of the credit card market as at 31 December 2007.

HCFB offers its clients a wide range of credit products with variable credit terms. HCFB's products are distributed through more than 29,000 POS outlets across over 1,200 cities throughout Russia. The bank's regional network comprises 184 offices across the Russian Federation as at 31 December 2007.

Companies of the Home Credit Group operate in the Central and Eastern European, Central Asian and the Far East consumer finance markets and as at year-end 2007, had granted loans in the combined principal of EUR 3.3 billion. Home Credit Group maintains leading positions in the consumer finance markets of the Czech Republic (Home Credit, since 1997), the Slovak Republic (Home Credit Slovakia, since 1999), the Russian Federation (Home Credit & Finance Bank, since 2002) and the Republic of Kazakhstan (Home Credit Kazakhstan, since December 2005). Home Credit Group also entered the Ukrainian and Belarusian markets in 2006 (CJSC Home Credit Bank, Home Credit Finance and OAO Home Credit Bank respectively) and China (Home Credit Asia, December 2007).

The Home Credit Group is part of the PPF Group, which was established in 1991 and has interests in insurance and consumer finance, and provides sophisticated asset management services. During its 17 years in business, PPF Group has become an important international financial investor, managing assets of EUR 10,1 billion as of 31 December 2007.

Important notice:

This release does not constitute an invitation to sell or a solicitation of an offer to buy any securities in any jurisdiction in which, or to or from any person to or from whom, it is unlawful to make such invitation under applicable securities laws.

This press release does not constitute or form part of any public offer or advertisement of securities in any jurisdiction, and does not constitute any offer, or any invitation to make offers, to purchase any securities in any jurisdiction.

The information contained herein is not for publication or distribution to persons in the Unites States of America. This information may not be sent in or into the United States of America. The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933 (the "Securities Act"), as amended, and may not be offered or sold without registration thereunder or pursuant to an available exemption therefrom.

These materials are not for distribution, directly or indirectly, in or into the United States (including its territories and dependencies, any State of the United States and the District of Columbia). These materials do not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The Shares mentioned herein have not been, and will not be, registered under the Securities Act.

This press release is not an invitation nor is it intended to be an inducement to engage in investment activity for the purpose of Section 21 of the Financial Services and Markets Act 2000 of the United Kingdom (the "FSMA"). To the extent that this press release does constitute an inducement to engage in any investment activity included within this press release, it is directed only at (i) persons that which are outside the United Kingdom, (ii) persons who are investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) of the United Kingdom (the "Financial Promotion Order"); or (iii) persons who fall within Articles 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc.") of the Financial Promotion Order; and (iv) any other persons to whom this press release for the purposes of Section 21 of FSMA can otherwise lawfully be made (all such persons together being referred to as "relevant persons"), and must not be acted on or relied upon by persons other than relevant persons. Any invitation or inducement to engage in any investment activity included within the press release is available only to relevant persons and will be engaged in only with relevant persons." Anyone other than a relevant person must not rely on this press release.

This document is not a prospectus and, to the extent that it may constitute an advertisement, does not constitute an offer to sell or the solicitation of an offer to purchase notes or other securities. Investors should not subscribe for any securities referred to in this document except on the basis of the information contained in the prospectus relating to the securities.

---

07/11/2008