DEPFA Deutsche Pfandbriefbank AG CHF 100,000,000 3.125 ...

Executive Members:
Gerhard Bruckermann, Chairman and CEO
Dermot M. Cahillane
Dr. Reinhard Grzesik
Non-executive Members:
Dr. Richard Brantner
Prof. Dr. Alexander Hemmelrath
Dr. Thomas Kolbeck
Maurice O'Connell
Jacques Poos
Hans W. Reich
Frances Ruane
Prof. Dr. Dr. h.c. mult. Hans Tietmeyer
Use of Proceeds: Generally, the net proceeds from each issue of Instruments will be applied by DEPFA
BANK for its general corporate purposes, which include making a profit and hedging certain
risks.
If, in the case of Instruments (i) which have a minimum denomination of less than Euro
50,000 (or its equivalent in other currencies, calculated as described in the Dealership
Agreement), or (ii) are derivative securities within the meaning of Article 15 of the
Commission Regulation (EC) no. 809/2004, there is a particular identified use of proceeds,
this will be set out in the relevant Final Terms, together with the estimated net proceeds.
For further details in relation to DEPFA BANK see the section entitled "Description of DEPFA BANK plc" and
commencing on page 157.
INFORMATION RELATING TO THE PFANDBRIEFBANK
Description: The Pfandbriefbank acts as a finance institution with a focus on the German public finance
market. In addition, it represents a platform for short and long-term funding in the money
and capital markets. It is registered in the commercial register of Frankfurt am Main,
Germany (under No. HRB 55655). where it has its principal place of business (Ludwig-
Erhard-Straße 14, 65760 Eschborn, Germany).
As a joint stock company, the Pfandbriefbank operates under the German Banking Act
(Kreditwesengesetz) and the German Pfandbrief Act (Pfandbriefgesetz; the Pfandbrief Act).
Keep Well Statement: The Pfandbriefbank has the benefit of a keep well statement contained in a Letter of Comfort
dated 6 August 2002 and issued by DEPFA BANK plc (the Keep Well Statement). This
Keep Well Statement can be summarised as follows:
"So long as [DEPFA BANK plc] remain[s] a majority shareholder (or remain[s] in control of
a majority of the shares) of [DEPFA Deutsche Pfandbriefbank AG], [it] will ensure that
[DEPFA Deutsche Pfandbriefbank AG] is able to meet its contractual obligations."
This Keep Well Statement does not constitute a guarantee.
Control Agreement: DEPFA BANK plc and the Pfandbriefbank have entered into a control agreement (the
Control Agreement), which became effective upon registration in the commercial register of
of Frankfurt am Main, Germany on 27 July 2005. Pursuant to the Control Agreement, the
Pfandbriefbank has placed its management under the control of DEPFA BANK, which shall
compensate the Pfandbriefbank for any losses during the term of the Control Agreement.
For further details in relation to the Control Agreement see the subsection entitled
"Description of DEPFA Deutsche Pfandbriefbank AG – Recent Developments" and
commencing on page 164.
Business: The Pfandbriefbank has concentrated to date on the public finance market in German
speaking countries and on long term refinancing through the issue of Public Sector
Pfandbriefe (öffentliche Pfandbriefe). The total volume of public sector financing amounted
to Euro 63.5 billion at the end of 2005, representing more than 30 per cent. of the Group's
public finance volume.
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