BANK MEDICI

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PRIVAT BANKIERS Tradition at its Best

P R O D U C T S A N D S E R V I C E S

BANK MEDICI

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TABLE OF CONTENTS

PREFACE ..................................................................................3

AUSTRIA AS THE IDEAL BANKING LOCATION................4

GENERAL BANKING...............................................................6

SAFETY & STABILITY.............................................................7

ACCOUNT SERVICES..............................................................8

ONLINE SERVICES..................................................................9

AGGREGATED ACCOUNT REPORTING........................... 13

CASH...................................................................................... 14

SECURITIES.......................................................................... 15

STRUCTURED INVESTMENT PRODUCTS....................... 16

MUTUAL FUNDS ..................................................................18

ABSOLUTE RETURN PRODUCTS.......................................20

INSURANCE PRODUCTS.....................................................21

REAL ESTATE........................................................................22

GENERAL FINANCIAL RESEARCH / INFORMATION.....23

TRUSTS AND OTHER VEHICLES - WEALTH STRUCTURING.....................................................................24

MEDICI HERITAGE FOUNDATION...................................25

BANK MEDICI

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PREFACE Sometimes you might want to talk to a financial institution …

where the quality of its banking services is undisputable where good and stable personal service is taken for granted

where its shareholders provide for the guarantee of safety for your money but on top of these almost ordinary trademarks of high-level finance……

can deliver something of the hard to describe “Extra” or “Special” which can bring you forward...

solve you a problem that might have financial relevance in the future provide for reliable and a trustworthy business network in other regions of the world to support your local ventures

or simply has time reserved for discussing and commenting on your plans – and probably assist you later in implementing them.

What makes us tick in your favour… is the quality of our reputation as good bankers and service providers and the power of our network as a platform for your ventures.

What you can expect are good listeners that take the liberty to frankly tell you if something is beyond our means.

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AUSTRIA AS THE IDEAL BANKING LOCATION The Financial Times has noted, “Ideally, (private-banking) locations should add favourable tax regimes and high quality financial services to inherent stability. Even better are those that are appealing destinations in their own right, turning an annual visit to the bank into as much a pleasure as a task.” (Financial Times Report, Private Banking 2005) Vienna certainly fits the bill on all these counts.

Key High Net-Worth Individual markets are closely tied to Austria thanks to its EU membership, proximity to Eastern Europe and long-time position of neutrality

Momentous changes to Austria’s advantage in the web of global regulations affecting bank secrecy

A favourable tax code for investors Austria’s economic and political stability

The emergence of the Euro as a major alternative currency of reference to the USD

The nation’s quality of life, affordability and other benefits for foreign residents; and

The Austrian capital’s superb infrastructure and accessibility

Austria’ Location, Neutrality and Historic Ties Vienna’s location and economic ties leave Austria’s capital well-positioned to serve many of the largest and fastest-growing regions for HNWIs.

Austria’s economy is one of the most internationally integrated in the world, ranking ninth in the Globalization Index 2005.

Net direct foreign investment in Austria rose from around EUR 1.4 billion in 1995 to more than EUR 7.2 billion in 2005

Austria is a member both of the European Union and the European Monetary Union (Euro Zone), allowing it to capitalize on the emergence of the euro as a currency of reference.

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Austria’s Competitive Advantage in Banking Secrecy Austria is among the leading nations of the world in its protection of confidential information of banking customers. Banking secrecy is regulated not only through the Austrian Banking Act (§38 BWG) but is anchored in the constitution .

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GENERAL BANKING

BANK MEDICI is dedicated to providing the full spectrum of financial services to its client base. All standard banking services, such as saving accounts and deposits, are provided through the synergy with Bank Austria Creditanstalt, Austria’s largest Bank and Member of the UniCredit Group. As the depository institution, it further endows BANK MEDICI customers with an outstanding degree of safety and security.

Your personal contact will be Mr. Stephan Tiefenwieser, who is Director of BANK MEDICI’s Private Banking Division. Together with his team, he covers not only all Parts of Private Banking, but also Investment Banking deals. Medici Bankiers are available for their clients 24 hours a day, 7 days a week.

While products and services as well as product development activities are offered by BANK MEDICI, all transactions, operations and back office processes are carried out through the proven and reliable systems of Bank Austria Creditanstalt.

BANK MEDICI will cover the complete

VALUE C H AIN

BANK MEDICI harnesses Bank Austria Creditanstalt AG’s proprietary execution and information systems, which meet the special demands of private banking as well as regulatory requirements.

Customer Relations

Products & Services

Customer Account

Operations Depository

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SAFETY & STABILITY BANK MEDICI's location and partnership with Bank Austria Creditanstalt have been carefully selected to supply customers with general banking services providing a maximum of safety and security .

Bank Austria Creditanstalt, BANK MEDICI's institutional shareholder, is Austria's largest bank and part of the UniCredit Group. As BANK MEDICI's depository bank, it provides the financial security for client assets.

Ratings of Bank Austria Creditanstalt AG

UniCredit Group In 2005, Bank Austria Creditanstalt became member of the Italian UniCredit Group, which is a leading banking group in key markets such as Germany, Austria and Italy.

More than 35 million clients served through over 7,000 branches in 20 countries

More than Euro 822 billion in total assets (as of September 30, 2006)

UniCredit is also outright leader in Central & Eastern Europe, an area featuring faster rates of economic growth than established Western European counties.

UniCredit Market Share in CEE Countries

1) Grandfathered debt remains rated Aa2, subordinated debt rating remains Aa3! 2) Grandfathered debt remains rated AA+, subordinated debt rating remains AA+!

as of 12 January 2007

Moody’s

Standard & Poor’s

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ACCOUNT SERVICES

1. Account Holder

Account holders may be individuals as well as companies.

2. Account

Possibility to use one account number for several purposes: Current account Save-custody account Multiple currency

3. Traditional Accounts

VISA Card Maestro Card (worldwide cash withdrawal service ) Payment transactions Standing orders Online transactions: information and electronic

payment orders

Account Statement

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ONLINE SERVICES

1. Online Banking

Banking business on-line with 24-hours access Information and electronic payment orders

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2. Online Trading

Security orders are accepted every Austrian working day from 8. a.m. – 8.p.m.

The OnlineTrader offers inter alia the following services:

Access your securities account via OnlineB@nking, TelefonB@nking, WAP-B@nking, SMS-B@nking and MobileB@nking.

View the aggregate market value of your securities portfolio.

Buy and sell stocks listed on the Stock Exchanges of Vienna and Germany, USA, Netherlands, France, Switzerland, U.K. among others.

Austrian mutual funds as well as more than 4000 selected foreign mutual funds approved for sale in Austria.

Order voting cards for the annual general meeting of shareholders.

If necessary, securities orders can be cancelled via TelefonB@nking.

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3. Web Portfolio

Through the web portfolio service, BANK MEDICI will be able to offer its clients the option of reviewing the status, trends and structure of their actively managed assets. The site is currently offered in English, German and Italian language.

Web functionalities include Portfolio development Securities statement Asset allocation – by country or currency Realised market profits Dividends, distributions and expected income –

featured for each portfolio holding Expected redemptions – facilitates the client’s cash

flow management (see following screenshot) Market views

The web site utilizes a multi-level, 128 bit encryption technology meeting the highest security standards available on the market today. Further, the client has the option to expand or decrease the number of people with access.

Screenshot Web Portfolio

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AGGREGATED ACCOUNT REPORTING BANK MEDICI offers its clients a complete overview of their entire financial holdings via aggregated account reporting. The overview consolidates assets held both at BANK MEDICI as well as other financial institutions.

Reporting details include among others:

Individual Holdings Total Assets and Allocation versus Benchmark Current Value versus Invested Capital Performance of Assets by Asset Type Degree of Investment by Asset Type Regional Breakdown Currency Exposure Sector Weightings Various cross-comparisons (e.g. Asset Allocation

versus Currency Exposure) Historic Performance Transactions (Securities, Money Market and

Currency)

Sample Report Elements

Asset Classes

Currency Allocation

Cou ntry Allocation

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CASH

1. Fixed Deposits

Fixed-Term Deposits in Euros (from one month to five years) and in foreign currency (from one to 12 months) yield interest rates in line with market conditions.

The minimum deposits are EUR 20,000.00, USD 20,000.00, GBP 10,000.00, CHF 40,000.00, and the equivalent of EUR 100,000.00 for all other freely convertible currencies.

When a fixed deposit is opened, an interest rate that will remain unchanged throughout the deposit period is agreed for a fixed amount in a certain currency.

Money Market

The money market is a subsection of the fixed income market. Unlike the bond market, the money market specializes in very short-term debt securities. Money market investments are also called cash investments because of their short maturities.

Money market securities are generally issued by governments, financial institutions, and large corporations. These instruments are very liquid and considered safe. Because they are extremely conservative, money market securities offer significantly lower return than most other securities.

One of the main differences between the money market and the stock market is that most money market securities trade in very high denominations. This limits the access of the individual investor.

There are a range of Money Market funds available where the choice of which money market security to buy is delegated to an investment management specialist.

For longer investment horizons, conservative bond and fixed income funds can be a viable solution.

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SECURITIES

1. Brokerage

Sometimes customers need direct access to the treasury department and trading floor. The brokerage service investors can directly talk to the traders at the trading desk. The multilingual trading desk of Bank Austria Creditanstalt AG is linked to a large number of brokers throughout the world and can trade bonds, equities and derivatives in the most important markets. In order to ensure coverage of the US Market, the desk is open until 22.00 CET.

2. Stocks

Under the CA IB brand name, the Bank Austria Creditanstalt Group has developed a specialist brokerage service for Emerging Europe. Institutional investors in Europe and the USA are offered a broad range of equity products from the CEE region.

A network of subsidiaries and seats on the regional exchanges provide the advantage of proximity to established and emerging markets. Shares and derivative products from Central and Eastern Europe are sold to international investment funds through trading and distribution centres in Vienna, London and New York. The purchase of HVB Group through UniCredit Group has further strengthened Bank Austria Creditanstalt's placement capacity for capital market transactions.

Primary and secondary market activities in stocks are supported by a stock research team with an excellent knowledge of the markets. Top-quality analyses of companies, industries and markets, prepared on a regular basis, offer customers guidance in their investment decisions. Industry focuses include telecommunications, banks, oil & gas and pharmaceuticals. Practically all markets in Central and Eastern Europe, including Turkey and Israel, are covered.

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STRUCTURED INVESTMENT PRODUCTSWhile preserving clients’ invested capital, these products offer participation in the performance of an underlying asset (stocks, bonds, indices, real estate portfolios, commodities, etc.)

1. Capital Guaranties

Capital guaranteed investment solutions provide for the protection of investment capital while offering the potential of profits from positive performance of underlying assets. These could include a region, industry, currency, stock index or commodity. BANK MEDICI lets clients access a range of such new products regularly. Some of these instruments are wrapped into a life insurance solution that provides beneficiaries with additional advantages.

Absolute Return Guaranteed Note The Absolute Return Guaranteed Note is linked to the euro denominated class of the Herald Fund USA.

Private Placement – Term Sheet Capital Bank - GRAWE Gruppe AG

Absolute Return Guaranteed Note 2005 - 2009 Instrument: Guaranteed Note, linked to the performance of the euro

denominated tranche of the Herald Fund S.P.C. USA Issuer: Capital Bank – GRAWE Gruppe AG ISIN: AT0000492517 Issue Size: Maximum EUR 50MM Minimum Investment: EUR 50.000,-- Subscription Period: continuous issue starting April 11, 2005 Maturity: June 30, 2009 First Value Date: May 24, 2005 Coupon: none Offer Price: 103% Listing: Issuer will apply for listing on the Vienna Stock Exchange (third market) Price Fixing: on the last business day of each month Participation: The note’s performance is linked to that of the underlying investment, differing from it by the amount of fees. Initially 100% of the proceeds of this issue, less fees, will be invested directly in the euro denominated tranche of the Herald Fund S.P.C. USA. Early Redemption: monthly at the note’s net asset value less redemption fee of 0,5 %

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Disclaimer: The Note is exempt from the obligation of filing a prospectus according to § 3 Abs 1 Z 3 lit a KMG. The term sheet and offering memorandum do not constitute a public offering. The term sheet and offering memorandum for the

note have been translated into English solely for informational purposes and shall only be authentic in German.

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MUTUAL FUNDS

BANK MEDICI maintains active relationships with over 70 fund management companies that represent more than 2,000 investment funds. In addition to its monitoring and selection capabilities, BANK MEDICI also develops investment fund solutions with single manager and multi-manager structures. Expertise includes the creation of fund-of-funds and performance-protected fund structures.

The task of fund selection can be a daunting one. While there are approx. 2,760 publicly traded companies listed on the New York Stock exchange, there are about 6,800 mutual funds available in the U.S. alone. BANK MEDICI undertakes the task of sorting through this universe to find those funds that are especially suited to each client.

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World Class Mutual Funds at BANK MEDICI

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ABSOLUTE RETURN PRODUCTS

BANK MEDICI benefits from the experience of its chairman, who has been active in absolute return structures since the mid-1980´s and enjoys extensive personal contracts with the major players in this field. These connections provide deep insight into manager performance that can be just as crucial as quantitative analysis in selecting investment structures, which fit the overall strategy.

BANK MEDICI's Competence Centre for Absolute Return products, with its extensive manager database and privileged access to the most important industry players, provides advice on fund selection, asset allocation and the creation of funds of funds.

Growth of USD 100 Invested with one of BANK MEDICI’s Absolute Return Products

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Herald USA US T-Bills S&P 500

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INSURANCE PRODUCTS

1. GOLDEN PLAN

About Golden Plan Fund-linked life insurance product Designed as a guaranteed return investment As the minimum term of the ‘Golden Plan’ is ten

years, the policy must be taken out by the time the child reaches the age of eight. The earliest date for disbursement is the child’s 18th birthday, the latest when he or she reaches 26.

Minimum Investment of EUR 25,000.00 or more Proceeds can be paid out anytime

About Wiener Städtische

One of the leading insurance groups in Central and Eastern Europe, serving some 11 million customers in 15 European countries.

For 180 years, the Company has been combining success with security, earning an “A”-rating from the renowned rating agency Standard & Poors.

Its long tradition of building value and growing investments, as well as its unique mix of vision and innovative products, make Wiener Städtische a reliable and popular partner for tomorrow.

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REAL ESTATE Direct and privileged personal access to key players in promising local markets allows our clients to successfully invest in real estate – predominantly in the fast developing Central- and Eastern European markets.

BANK MEDICI offers its clients a variety of ways to invest in real estate, such as outright purchase or via participation structures.

Other structures include individualized custom projects for a specific target clientele.

In participations, a long-term investment strategy is directed towards a continuous and sustained increase in the value of the company.

Through these services, a firm can pursue the goal of further diversifying its base of anchor tenants and the geographical locations of its properties. This allows the company to minimise the impact of regional or industrial downturns.

A Few Recent Transactions

sold

42165 square meters

of real estate property to

Allgemeine Anlagen und

Anlagenverwertung GmbH

Vomp, Austria

This transaction was arranged by BANK MEDICI AG

December 2005

focused on a portfolio made of “retail” properties of €212 million

entered a Joint Venture with

This transaction was initiated by BANK MEDICI AG

November 2005

acquired 50% of TURATI IMMOBILIARE SRL from

as part of a new Joint Venturebetween the two companies

This transaction was arranged by BANK MEDICI AG

October 2005

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GENERAL FINANCIAL RESEARCH / INFORMATION

Customers of BANK MEDICI can access a vast treasure of research information on various topics ranging from stock market comments to macro economic research on CEE countries. While all research is available in printed format most publications can be downloaded via the Analyses & Research web platform of BA-CA. In addition BA-CA offers a range of electronic news letters edited by the experts of BA-CA’s Economics Department with comments on recent events affecting securities markets.

Research published include but are not limited to: CEE Commentary analyses and comments on

current developments in the CEE countries. CEE Commentary, published in English and German, appears monthly, or more frequently if necessary.

The CEE Report is published quarterly focusing on current events in the CEE countries

An Investment Guide is published ad hoc with periodic updates for the following countries:

▫ Bosnia ▫ Poland ▫ Bulgaria ▫ Romania ▫ Croatia ▫ Serbia ▫ Czech Republic ▫ Slovakia ▫ Hungary ▫ Slovenia

The Key Economic Indicators Report compares

economic data for Austria with the corresponding statistics for Germany, the EU-12, the US, and Japan and is published twice a year in German and English.

Report Xplicit is published in response to recent developments throughout the year in German or English. Topics range from ‘Banking in CEE’ to the ‘The Euro in Eastern Europe’.

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TRUSTS AND OTHER VEHICLES - WEALTH STRUCTURING

Internationalisation, the growing complexity of family wealth structures and a changing regulatory landscape highlight the importance of sophisticated and efficient legal structures.

BANK MEDICI’s Services include:

The domiciliation of companies and other vehicles for tax-efficient revenue streams

The domiciliation of funds that combines the opportunity to use professional asset management services in a favorable fiscal environment.

The creation of trusts giving the advantage of allowing the appointment of beneficial owners and heirs, while preserving the interests of the client

The creation of life insurance portfolios that form a protective layer around the client’s assets in a wide variety of way.

The setting up of tax efficient financing structures

Insurance Wrappers The creation of life insurance portfolios under Lichtenstein laws form a wrapper around the client's assets thus encompassing essential advantages:

Substantial savings: Tax deferred accumulation of assets in most cases

Individual policy instead of pooled assets Asset Management in accordance with the client’s

directions, including unrestricted choice of investable assets

Estate planning: Fast devolution of assets without regard to the outcome of estate proceedings

Offers most of the specific features of a trust or a foundation

Privacy as an essential feature: Insurance secrecy, like bank secrecy, under Liechtenstein law protects the client’s private sphere

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MEDICI HERITAGE FOUNDATION

The Medici Heritage Foundation is the Bankier’s centre of competence bringing together its unmatched assets and innovation with world-class academic partners. The Heritage Foundation’s alliance partners include the Vienna University of Economics and Business Administration and the Wharton Business School’s Global Family Alliance , a private forum whose mission is to enhance the marketplace advantage and social wealth creation contributions of global families.

Together, the Foundation and these prestigious institutions are applying breakthrough academic research and Bank Medici’s decades of real-world experience to identify the key financial and personal needs of family business dynasties and develop novel solutions to address these concerns. Critical areas of focus include wealth management, philanthropy and family business governance, as well as personal pursuits and relationship issues unique to these households."

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Looking Forward to Prove

You

Our Excel lence!

BANK MEDICI OPERNGAS SE 6/4

1010 VIENNA, AUST RIA