Alpha Bank S.A.

Corporate

Alpha Bank, founded in 1879, is one of the largest banks in Greece. With 652 branches, Alpha Bank Group is also active in the international banking market, with a presence in Cyprus and South-East Europe as well as in New York, London and Jersey in the Channel Islands.

Strategy

Our strategy, is to focus on the two key sectors of activity offering the highest margins and the best growth prospects: retail banking in Greece and particularly loans to individuals and small business loans, and overall expansion in South-East Europe. Our strategy aims to create an even stronger and more efficient institution with significant benefits for our shareholders and customers. Our decisiveness and expertise, our strong growth prospects and the infrastructure that we have created, along with methodical work, will support the implementation of our ambitious plans for the next five years, as these were set out in our business plan Agenda 2010.

It is our intention to become the leading Bank in the wider region of South-East Europe -- a rapidly developing and profitable market of 60 million people. Our network in South-East Europe (Romania, Serbia, Bulgaria, Albania, FYROM and Cyprus) consisted of 176 branches at the end of 2005, while we are targeting, in order of priority, the expansion of our activities in Romania and Bulgaria with the aim of establishing a network of 436 branches abroad -- broadly matching the number of branches we will have in Greece.

With a targeted branch network of 1,200 units by 2010, we aim at developing into one of the largest regional banks, with a market share of over 10% in South-East Europe and 15% in the wider region, including Greece. It is our objective to obtain 25% of total earnings from South-East Europe by the end of the current decade.

Ιn Greece, we aim to increase our overall market share in loans to 16% by 2008. This implies sectoral gains of 3 percentage points in consumer credit, 1 percentage point in mortgages and about ½ a percentage point in business loans primarily from the small business area. Moreover, overall customer assets are expected to grow by 13% on average over 2006-2008, at about the same rate as the market. In South-East Europe, Alpha Bank's loan and deposit growth is expected to fluctuate between 30% and 40%, surpassing market growth.

Being a Bank with a diverse shareholder base in which foreign institutional investors hold 34% of our shares, we strive to obtain sound returns and maintain investor interest at a high level. In this context and following the rise in earnings per share of 22% in 2005, we set as our target the increase in earnings per share to an average of 20% over the period 2006-2008.

We have built up our capabilities with respect to organisation and systems in order to make feasible a faster expansion in the Greek retail business and the Balkan markets. We will continue to invest in human capital and infrastructure with a view to support income-generating activities, while reigning in cost growth through process reengineering.