Deutsche Apotheker- und Ärztebank herewith announces that according to a December 31, 2004 fax message received from Betriebskrankenkasse für Heilberufe (a public health insurance fund and a borrower of the bank), the latter will instigate legal action seeking damages of EUR 391 million based on alleged unlawful lending in an amount of at least EUR 113 million. According to the fax message, the legal action was filed prior to year-end 2004.
Deutsche Apotheker- und Ärztebank maintains that this legal action is wholly without any factual foundation, which is in keeping with the legal opinion consistently adhered to by the bank in the earlier phases of this dispute. The bank's view is supported by several legal opinions prepared by external experts who have unanimously confirmed the untenability of the claims and the underlying reasoning. Deutsche Apotheker- und Ärztebank will therefore move for a nonsuit. As submitted to Deutsche Apotheker- und Ärztebank in advance, the reasons for the claim would generally put into question the permissibility of extending loans to compulsory health insurance funds in their capacity as public corporations.