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Increased Share Capital by Issuing 146,000 Preferred Shares

By the decision of the regular assembly of Hypo-Alpe-Adria-Bank d.d. on July 27, 2007, the share capital was increased from 2,357,174,000 kuna by 1,095,000,000 kuna to a total amount of 3,452,174,000 kuna.

The capital increase was executed by issuing 146,000 preferred shares without voting rights with a nominal value of 4,000 kuna, which shares provide the right to a fixed dividend of 6% and 127,750 ordinary shares with a nominal value of 4,000 kuna. All shares were paid in cash and were taken over by the sole shareholder Hypo Alpe-Adria-Bank International AG from Klagenfurt.