Collection agencies and banks: examples of partnership in Europe and reality of Russian market.

1. Collection agencies and banks: examples of partnership in Europe and reality of Russian market. Mariusz Kloska Managing Director - EOS Russia

2. 1.1 Number of average consumer credits per capita in kEUR – highest values in Ireland, Spain and UK in Europe Selected European countries Czech Republic 1.1 Ireland 6.8 Croatia 0.9 Spain 5.0 Romania 0.9 United Kingdom 4.2 Ukraine 0.8 Greece 3.2 Turkey 0.6 Germany 2.1 Russia 0.5 Belgium 2.1 Bulgaria 0.5 Poland 2.1 Baltic Countries 0.5 Italy 1.7 Macedonia 0.5 Portugal 1.5 Slovak Republic 0.4 Netherlands 1.5 Hungary 0.4 Slovenia 1.4 Serbia 0.1 Czech Republic 1.1

3. N Ratio of consumer credits to GDP – Ukraine and Poland with highest percentage Selected European countries in % Ukraine 33.0 Croatia 7.9 Poland 22.5 Slovenia 7.8 Spain 21.0 Czech Republic 7.0 Ireland 16.1 Germany 6.9 Greece 15.0 Italy 6.5 United Kingdom 14.2 Belgium 6.4 Romania 13.7 Russia 6.2 Turkey 11.4 Netherlands 4.2 Macedonia 10.5 Hungary 3.7 Bulgaria 10.3 Slovak Republic 2.9 Portugal 9.3 Serbia 1.1 Baltic Countries 8.4

4. 0,58 Average payments for banks decreased especially in Russia and Poland dramatically from 2008-2010 2008 (=1) 2009 2010 0,87 0,63 0,54 Russia Poland Czech Slovakia Romania Hungary

5. 0,94 Average payments for banks decreased in most of the countries in Eastern Europe except from ex-Yugoslavia 2008 (=1) 2009 2010 1,0 0,87 0,74 Bulgaria Greece Romania Serbia Macedonia Slovenia1) 1) Telco data due to business in Slovenia. 2008 figures are not available

6. s UK is a good example where markets can go in future in EE UK Market Maturity Key Facts Debt Collection Market • Most mature market after US, DP market • A lot of private equity companies invested in NPL and bought DCAs • During financial crisis market suffers a lot (impairments) • 500 DCAs on the market • High level of outsourcing – 42% of NPL are collected from external DCAs • 47% of outstanding debts are older than 60 days • NPL volume in 2009: EUR 155 bn (plus 44% compared to 2008) Embryonic Growth Maturity Decline EOS Key Market Players Key Economic Figures • Top 10 • Market entry 1993 • Mostly contingency collection, therefore EOS does not suffer from impairments like competitors • First Credit, EUR 85m revenue • Lowell Group, EUR 56m • Robinson Way, EUR 50m • Moorcroft, EUR 50m • Wescot, EUR 39m • Aktiv Kapital, EUR 20m

7. The debt management market in Poland Key information about the market • Changed profile of debtor, • Debtors is more like client than enemy! • Trade Information bureau • Linear and progressive comission, • Securitization Funds, • E-court , • In total, the segment of debt recovery of purchased debt packages increased in 2006 – 2009 by 22 percent, • Size of collection market should be stabile bu 2014.

8. 5 In Russia, Poland and Czech Republic a debt collection license is not needed – only in Poland regarding servicing of funds Summary Regulations debt collection Regulations debt purchasing Comments No Bulgaria No û û No license required No • License from Polish Financial Supervisory Authority is only required if you handle claims purchased by investments funds (securitisation transactions) • License only needed for servicing of NPLs from investment funds Poland No û û ü û • EUR 350 k minimum capital required for debt collection services No (but law for securitization) License required Czech Republic No No û û • Law under consideration regarding debt collection license and fee policies towards debtors No license required

9. 5 There are in Hungary and Romania regulations regarding debt purchasing – only in Hungary a special license is required Summary Regulations debt collection Regulations debt purchasing Comments Slovakia No No û û No license required • For debt purchasing special license is needed, company must be an incorporation with minimum of 200TEUR capital, direct monitoring of authorities, detailed quarterly reports to authorities necessary, long procedure to receive license Hungary No Yes û ü Special DP license required Romania No Yes û • No special law in Romania regarding debt collection services, only general laws covering data and consumer protection • Debt Purchase – laws are covering the transfer/assignment of receivables; no special vehicle is necessary for it. One company can do DP and debt collection ü No license required

10. How many competitors are there on the German market? Increase in providers of pre-litigation legal services • by about 24 competitors per month! • by about 15% within 12 months! And not forgetting approximately 150,000 lawyers! The German debt collection market is highly competitive and only sparsely concentrated. This also applies to the B2B debt collection niche!

11. Prove what you promise – USPs in the B2B marketWe promise quality and we deliver quality – The proof How our clients perceive our quality and service: • Friendliness Ø 4.44 • Availability Ø 4.28 • Service focus Ø 4.17 • Honesty Ø 4.17 • Commitment Ø 4.13 • Punctuality Ø 4.12 • Response time Ø 4.08 • Service quality Ø 4.20 • Data protection Ø 4.29 • Accuracy Ø 4.13 • Competence Ø 4.11 • Focus Ø 3.97 • Processing time Ø 3.75 • Realization Ø 3.68 • Reporting Ø 3.62 • Quality of products Ø 3.93 Very dissatisfied 2 3 4 Very satisfied Source: EOS KSI client satisfaction survey 2009 (Sept./Oct. 2009)

12. Prove what you promise – USPs in the B2B market We promise quality and we deliver quality – The proof Even our defaulting clients experience quality and service: • Understanding Ø 4.27 • Availability Ø 4.21 • Punctuality Ø 4.12 • Friendliness Ø 4.04 • Response time Ø 3.89 • Honesty Ø 3.79 • No pressure Ø 3.62 • Service quality Ø 3.99 • Focus Ø 4.12 • Data protection Ø 4.09 • Competence Ø 3.95 • Remain clients Ø 3.80 • Neutrality Ø 3.78 • Transaction handling quality Ø 3.64 • Reasonableness Ø 3.62 • Quality of service Ø 3.86 Very dissatisfied 2 3 4 Very satisfied Source: EOS KSI defaulting client satisfaction survey 2010 (March 2010)