Erste Bank JPMorgan Merrill Lynch International

REPORT OF THE SUPERVISORY BOARD
The Supervisory Board reports that it has taken the opportunity to thoroughly and comprehensively
review the management of the Company, both acting as a body and also regularly through its
Chairman and his Deputy. Detailed presentations and discussions during Supervisory Board and
Supervisory Board Committee meetings were used for this purpose, as well as numerous meetings
with the members of the Managing Board who provide exhaustive explanations and evidence relating
to the management and financial position of the Group on the basis of accounting records, written
materials and other documentation. The strategy, business performance and risk management of the
Company were also discussed in these meetings.
The Supervisory Board formed four committees from among its members. Information on the
responsibilities and members of these committees is available on the Company’s website.
One ordinary Annual General Meeting of Shareholders and four Supervisory Board meetings
were convened in 2006. One meeting of the Audit Committee, one meeting of the committee for
decisions on urgent issues and two meetings of the committee for Managing Board matters were also
held. The committee for decisions on urgent issues was contacted on a total of eighteen matters. The
Supervisory Board was informed of any resolutions passed by the committees at the respective next
Supervisory Board meeting.
The auditor attended the Audit Committee meeting, the Supervisory Board meetings that dealt
with the audit of the annual financial statements and consolidated financial statements, as well as the
Annual General Meeting of Shareholders. No agenda items were discussed in the Supervisory Board
and committee meetings without participation by members of the Managing Board. No member of the
Supervisory Board attended fewer than half of the Supervisory Board meetings.
The management report from the Managing Board was received, reviewed and carefully examined
by the Supervisory Board Audit Committee. The Supervisory Board Audit Committee also
carefully reviewed the 2006 consolidated financial statements and Group management report. The
proposal of the Managing Board for the appropriation of profits was also debated and discussed in the
course of this review. At the conclusion of this review and discussion, a unanimous resolution was
adopted recommending unqualified acceptance of these documents by the Supervisory Board. The
committee chairman informed the Supervisory Board of the resolutions adopted by the committee.
The 2006 annual financial statements and management report, the 2006 consolidated financial
statements and Group management report, as well as the proposal of the Managing Board for the
appropriation of profits were then addressed, thoroughly discussed, and reviewed by the Supervisory
Board. At the conclusion of this discussion and review, the Supervisory Board adopted a unanimous
resolution to raise no objections to these documents, to approve the annual financial statements and
consolidated financial statements prepared by the Managing Board, and to declare its consent to the
proposal of the Managing Board for the appropriation of profits.
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