Profile: National Bank of Greece SA (NBG)

National Bank of Greece S.A. (the Bank), incorporated March 30, 1841, is a financial institution. The Company’s core focus outside Greece is in Turkey and South Eastern Europe (SEE), where it operates in Bulgaria, Serbia, Romania, Albania, Cyprus and the Former Yugoslav Republic of Macedonia (FYROM). It has presence in 11 countries outside Greece. The Bank offers its customers a range of integrated financial services, including corporate and investment banking; retail banking (including mortgage lending); leasing; stock brokerage, asset management and venture capital; insurance, and real estate and consulting services. In addition, the Bank is involved in various other businesses, including the hotel and property management, real estate and information technology (IT) consulting. The Bank is supported by eight non-Greek banking subsidiaries: Finansbank A.S. (Finansbank), United Bulgarian Bank AD–Sofia (UBB), Vojvodjanska, Banca Romaneasca S.A. (Banca Romaneasca), Stopanska Banka A.D.–Skopje (Stopanska Banka), the National Bank of Greece (Cyprus) Ltd. (NBG Cyprus), South African Bank of Athens Ltd. (SABA) and Finansbank (Malta) Ltd. On July 16, 2008 the Bank disposed of its 30% associate, Siemens Enterprise Communications S.A. On April 21, 2008, it acquired 6.05% shareholding in Hellenic Postal Savings Bank.

As at December 31, 2008, 70.1% of the Group’s total assets were Greek Retail Banking and Greek Corporate & Investment Banking (Greek Banking) related assets. The Greek banking operations account for 72.4% of its total lending activities as at December 31, 2008. As at December 31, 2008, the Bank operated in Greece through 579 branches, one private banking unit, one unit for financial institutions and 10 specialized banking units that deal with troubled and non-performing loans. As at December 31, 2008, it had 1,466 automated teller machines (ATMs), of which at least 597 were situated in key locations outside of its branches, such as supermarkets, metro stations, shopping centers, hospitals and airports (530 of its ATMs are equipped with cash deposit devices).

Retail Banking

All of the Bank’s retail banking activities in Greece is conducted by the Bank. The Bank offers retail customers a number of different types of deposit and investment products, as well as a range of traditional services and products. Savings and investment products of the Bank are offered both in euro and in other currencies. It offers customers a variety of consumer finance solutions, including credit cards, revolving loans, amortized personal loans and consumer loans for vehicles and durable goods. As at December 31, 2008, consumer loan balances accounted for 12.9% of the Bank’s total lending portfolio. It offers a range of mortgage products, with floating, fixed, or a combination of fixed and floating interest rates. The Small Business Lending Unit (SBL Unit), a part of the Bank’s Retail Banking Division consisting of three credit centers situated in Athens, Thessaloniki and Patras, manages the provision of credit to businesses. The Bank offers payment services to its clients participating in all local interbank payment channels. It has been offering factoring services, including domestic factoring services, such as debt collection, management and account monitoring and advancing of funds for companies’ outstanding claims.

Commercial Banking

The Bank’s commercial loan portfolio in Greece comprises approximately 50,000 corporate clients, including small and medium-sized enterprises (SMEs), and corporate groups in Greece. The Bank offers its corporate clients a range of products and services, including financial and investment advisory services, deposit accounts, loans (denominated in both euro and other currencies), foreign exchange, insurance products, custody arrangements and trade finance services. The Bank lends to all sectors of the economy. As of December 31, 2008, domestic commercial lending (including to the public sector) accounted for 52.7% of the Bank's total domestic loan portfolio. The Bank offers corporate accounts with overdraft facilities; foreign currency loans; variable rate loans, and currency swaps and options (mostly Euro-related) for corporate customers.

Banking Activities outside of Greece

The Bank operates in 11 countries outside Greece. As at December 31, 2008, its international network comprised 1,221 branches outside Greece (including Bank branches in the United Kingdom, Albania, Egypt, Cyprus and Guernsey and subsidiaries), which offer traditional banking services and financial products and services. As a result of the merger of NBG Serbia with Vojvodjanska, the Bank has seven commercial banking subsidiaries in Turkey, Bulgaria, Romania, FYROM, Serbia, Cyprus and South Africa. Furthermore Finansbank's subsidiary in Malta, (transferred to NBG I BV in February 2009), is active in commercial banking. The Bank also operates through its branches in Albania and Egypt.

Turkish Operations

At December 31, 2008, the Bank offers a range of retail, commercial, corporate, private banking and international trade finance services. In addition, financial leasing, capital market, corporate finance, portfolio management and brokerage services are provided by Finansbank's subsidiaries. As at December 31, 2008, Finansbank operated through a network of 458 branches in 55 cities, of which 47 were opened during the year ended December 31, 2008. Finansbank Corporate Banking serves corporations through its eight branches in the four cities in Turkey. Finansbank Commercial Banking serves medium-sized companies located in 22 cities in Turkey through its head office, four regional offices (three in Istanbul and one in Ankara) and distribution network that include 53 branches.

International

The Bank’s international operations include the Bank’s branches in Albania, Egypt and Cyprus, as well as banking subsidiaries in six countries: NBG Cyprus; Stopanska Banka A.D.–Skopje, based in Skopje, FYROM; United Bulgarian Bank AD–Sofia, with its headquarters in Sofia, Bulgaria; Banca Romaneasca S.A., based in Bucharest, Romania; Vojvodjanska in Serbia, and the South African Bank of Athens, as well as other subsidiaries, primarily in the leasing sector.

Global Markets & Asset Management

The Bank offers services domestically and internationally from the Bank's international private banking units in London. Advisory and discretionary asset management services are provided by NBG Asset Management S.A. The Bank and each of its banking subsidiaries carry out activities, including Greek and other sovereign securities trading; foreign exchange trading; interbank lending and borrowing in euro and other currency deposits; foreign exchange forwards trading; repurchase agreements; corporate bonds, and derivative products, such as options and interest rate and currency swaps.

Insurance

The Bank provides insurance services primarily through its wholly owned subsidiary, Ethniki Hellenic General Insurance S.A. (EH). EH offers a range of products, such as life, accident and health insurance for individuals and groups, fire, calamity, credit, motor, marine hull and cargo insurance, and general third party liability. EH operates two Cypriot subsidiaries in collaboration with NBG Cyprus which are active in life and non-life insurance.

Other

The Bank’s other services include real estate management, consulting and professional training and hotel management. The Bank engages in real estate management activities, including warehousing and third-party property management. As at December 31, 2008, the Bank owned 1,586 real estate units. Ethnodata S.A. (Ethnodata) and its subsidiary, Ethnoplan S.A. (Ethnoplan), provide consulting and development in the area of information systems and software to other companies and to third parties. The Bank’s presence in the tourism sector is through the Bank's subsidiary, Astir Palace, owner of the Astir Palace Hotel Complex, which is under the management of Starwood Hotels & Resorts Worldwide Inc. as of December 31, 2008.