Allianz strengthens the capital of Dresdner Bank

The Special Fund Financial Market Stabilization (SoFFin), Allianz and Commerzbank agreed to strengthen the new Commerzbank’s core capital ratio with the following two measures:

1. Allianz provides a silent participation of EUR 750 million in Dresdner Bank. The terms are identical to SoFFin’s silent participations in Commerzbank.

2. Allianz acquires Collateralized Debt Obligations (CDOs) with a face value of EUR 2 billion for a consideration of approx. EUR 1.1 billion. Dresdner Bank will therefore benefit from a capital relief of EUR 700 million.

The closing of the sale of Dresdner Bank is expected within the next few days.

Commerzbank has stated today that SoFFin will receive a 25% plus one share participation in its shareholders’ equity.

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