Actuality January 18, 2008

The issue of depositary receipts

of the bank is postponed for the second half of 2008.

Savings Bank (Sberbank) intends to postpone the program of global depositary receipts (GDR) issue on the London stock exchange (LSE) for the second half of 2008. Reason of postponement became the unfavorable environment on western markets: in Sberbank fear the sharp fluctuations of stocks' quotations. However, analysts consider, that terms postponement of entrance to the foreign trading floors can become a negative signal to

the investors.

For the first time the representatives of the largest bank of Russia declared about the possibility of stocks offering on foreign markets in June, 2007.

In August, and then in November Alla Aleshkina, former first deputy chairman of Sberbank, confirmed

the bank plans on entrance to the London stock exchange on meetings with analysts.

Intention to offer GDR confirmed Herman Gref, new Sberbank head. At the end of December he reported about plans to approve the program of actions, related to stocks' listing on LSE in the 1Q.

"At the end of January the program of actions should be ratified, decision on banks partners is accepted", reported Herman Gref then.

But referring to the unfavorable environment of the world stock market, Sberbank head declared that GDR will be offered no sooner than the 2Q of 2008".

Dmitry Tarasov confessed that not all employees support the idea of bank stocks' offering on the western stock floors.

"Negative experience of VTB Bank gives grounds to suppose that volatility of stocks will increase with the entrance to the foreign stock exchanges", passed the words of Dmitry Tarasov one

of the present. Nevertheless, according to analysts, Tarasov confirmed that Sberbank does not intend to offer new stocks as additional emission: it will be program of sponsored depositary receipts.

In December the largest investment banks – Deutsche Bank and Renaissance Capital – promoted the predicted cost of Sberbank common stocks by 2% – from $5 till $5,1. Market participants consider now, that information about the postponement of GDR program will not please investors and analysts. "In most predictions for 2008 market participants put to growth of stocks quotations of Sberbank, related to the increase of demand on them from the side of foreign participants who can not buy local stocks now", explains Mark Rubinshteyn, senior analyst of IFC Metropol. "And just psychologically this information will be perceived as negative". The entrance to the foreign floors is one of the factors of Sberbank stocks growth, and information about GDR postponement "will play negative", adds Maria Kalvarskaya, the chief of analysis department of stocks market of KIT Finance investment bank.

According to Maksim Osadchy, the analyst of Atl

anta Pioglobal Investment Company, an idea of entrance to LSE was one of the main investment ideas for Sberbank. "Program postponement will confuse investors and cause mistrust to new Sberbank management", an expert considers. "Because of lack of strong results on his activity and anticipation of next personnel reshuffle in the bank one should not already expect the special growth of its stocks quotations". Mark Rubinshteyn, on the opposite, recommends buying Sberbank securities: "Today international investors are mostly worried about the situation with the American economy and world liquidity".