30.04.2008 /Bank's Ratings
 Fitch Upgrades Russia’s Ak Bars to ‘BB’; Outlook Stable
Fitch Ratings has today upgraded AK BARS Bank’s (Ak Bars) Long-term Issuer Default rating (LT IDR) to ‘BB’ from ‘BB-’ (BB minus) and National Long-term rating to ‘AA-(AA minus)(rus)’ from ‘A+(rus)’. The Outlooks on the LT IDR and National Long-term rating remain Stable. At the same time Fitch has affirmed the bank’s other ratings at Short-term IDR 'B', Support '3' and Individual 'D'. The upgrades follow the Republic of Tatarstan’s (RT) upgrade today to Long-term ratings ‘BBB- (BBB minus)’/Stable Outlook from ‘BB+’, and therefore the higher ability of RT to provide support to Ak Bars, in case of need. In Fitch’s opinion, RT would have a strong propensity to support Ak Bars in the light of the government’s control of the bank, the long-standing close relationship between the government and Ak Bars, the servicing by Ak Bars of RT accounts, the bank’s extensive retail franchise in the republic (1.4 million individual depositors) and its overall importance to RT’s banking system. Ak Bars was founded by the Tatarstan government in 1993. It is the largest bank in the republic by assets and was among the 20 largest banks in Russia at end-2007. The RT indirectly controls a large majority of the bank’s shares. Ak Bars is diversifying its franchise into the retail market and rapidly expanding its loan portfolio outside the republic.
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