6/26/2007

The year 2006 brings about the further expansion of J&T

Bratislava – Assets of J&T amounted to 88.88 billion Crowns as of 31 December 2006. Compared to the previous year, there is a 16% increase. The Group earned a profit of SKK 2.95 billion in the previous year. This can be seen from the consolidated financial statements prepared in accordance with International Financial Reporting Standards, audited by KPMG without any objections.

"The past year witnessed stabilisation and preparations for a robust development of the Group in the coming years. We appreciate the results we achieved even more as we managed to accomplish them in spite of the higher demands and complexity of our transactions and higher competitiveness on markets in the Central and Eastern Europe," says Jozef Tkáč, President of J&T FINANCE GROUP, a.s., about results of the Group.

The volume of assets administered increased by 12% in the last year to 11.52 billion Crowns. The Group's equity amounted to 16.2 billion Crowns, giving a year-to-year growth of 17.4%. The number of companies included in consolidation increased by 62.5% to 169. The Group's profit was generated mostly by successful deals on financial markets. The key profit-bringing titles were shares of ČEZ companies (SKK 2.38 billion ), Unified Energy System of Russia (SKK 0.89 billion ), Telefónica O2, Zentiva. The Energy and Industry segment contributed to the profit with SKK 2.62, of which United Energy, a.s. together with other activities in the energy sector generated a net profit of SKK 1.37 billion, and the industry sector earned SKK 1.24 billion. Under the Real Estate Development segment, just the sales of apartments and rental of office premises amounted to a profit of SKK 1 billion, whereas the whole segment administered a profit of SKK 588 million. Successful investments on financial markets and an increase in value of the aforementioned titles contributed the most to asset creation. Positive development in activities of J&T Banka, a. s., a successful launch of the J&T Banka branch in Bratislava and development of the Swiss IBI Bank can be attributed to a growth of almost 25% in the volume of loans. Another significant component of asset creation were Investments in commonly controlled and associated companies, amounting to SKK 10.31 billion. These were primarily minority interests in Pražská energetika, a. s. and investments in companies focusing on real estate development and energy. In 2006, SES Tlmače, a.s. and healthcare companies became included in the consolidation. Group assets (not excluding relations between segments) comprise the following shares of different segments: Private banking and financial markets 40%, Corporate investments 37%, Development 13.7% and 4.3% represents the share of Services. The Group employed 12 229 people in 2006. The Group paid them SKK 3 billion in personal costs. More than a 150% growth in the number of employees can be attributed primarily to acquisitions made by J&T in the past year. Figures for the next year will reflect the expansion of J&T to new markets prepared by the Group in 2006. This includes the acquisition of a bank licence in the Russian Federation in particular and new projects in real estate development in this country. J&T will also continue making its organisational and capital structure more transparent with a final objective to place long-term instruments on global financial markets and to diversify its funding resources. J&T FINANCE GROUP, a.s. in Figures

Financial Results (in thousand SKK)	2006	2005	2004	2003	2002
Assets
Total assets	88 877 517	76 676 599	41 585 549	24 259 480	11 994 627
Long-term tangible assets	14 456 945	16 056 390	5 383 718	2 243 099	738 755
Investments in real estate	6 157 697	3 161 985	3 809 434	3 111 738	885 211
Cash and cash equivalents	9 118 003	7 432 641	7 082 661	6 766 949	2 456 875
Loans and advancements to clients	17 488 872	14 011 253	8 243 385	5 287 786	5 034 470
Equity and liabilities
Equity	16 189 650	13 784 351	8 009 472	6 163 169	2 190 8782
Deposits and credits from banks	19 103 567	20 242 586	8 842 946	2 869 130	1 735 334
Deposits and credits from clients	30 945 238	26 544 297	17 637 277	11 554 751	6 145 185
Profit and Loss Report
Net interest gains (costs)	-888 443	-434 914	-144 466	220 318	95 920
Net gain (cost) of fees and commissions	-3 738 004	-1 114 471	-616 062	353 180	60 071
Operating revenues	36 658 952	17 772 163	10 770 710	3 769 077	521 729
Operating expenses	-28 939 440	-14 498 550	-8 820 407	-980 934	-495 554
Profit (loss) from operations	3 013 886	1 572 755	1 133 808	3 357 774	169 157
Net profit	2 954 094	4 375 781	802 752	3 336 145	154 022
Average number of Group employees	12 229	4 873	3 724	528	267

J&T FINANCE GROUP is one of the most active investors in the Slovak and Czech Republics. Besides private banking and real estate development, it focuses primarily on long-term investments in Czech and Slovak industrial companies. The key industries include energy (e.g. United Energy, Pražská energetika, Plzeňská energetika ...) and engineering (e.g. ČKD Blansko holding, SOR Libchavy, Východoslovenské strojárne). J&T operates also in the field of healthcare (Európska zdravotná poisťovňa, Železničná nemocnica in Bratislava and Košice...) and in the food industry. For more information see http://www.jtfg.com/