After the approval of the extraordinary General Meeting held on 23 October 2006, Geniki Bank has issued on 18 December 2006 a new fixed interest rate Subordinated Loan amounting to Euro 125m with 10 years tenor, fixed interest rate 4.46% for the first five years and floating rate for the remaining five years, through a private placement to Genki''s parent, Societe Generale. The net proceeds of the issue will be utilized by the Bank for various business uses.
Furthermore, on 19 December 2006 Geniki Bank called up euro 100m Subordinated Floating Rate Notes issued on 19 December 2001 by GBG Finance Plc, a 100% subsidiary of Geniki Bank. The Notes were unconditionally and irrevocably guaranteed by Geniki Bank. The interest rate of the Notes was based on the three month EURIBOR plus 1.90% spread for the first five years; the spread was increasing to 3.40% (step up) for the remaining five years.