Granting of the transfer of the banking licence of Bank Austria Creditanstalt International AG to Bank Austria Aktiengesellschaft (formerly known as Sparkasse Stockerau Aktiengesellschaft)

The Hong Kong Monetary Authority announced today (8 November 2000) that it has granted the transfer of the banking licence of Bank Austria Creditanstalt International AG (BACAI) to Bank Austria Aktiengesellschaft (BA-New) under the Banking Ordinance. This grant of transfer took effect on 7 November 2000, the date on which the merger of BACAI into Sparkasse Stockerau Aktiengesellschaft (SSAG) ("the Merger") became effective in Austria and SSAG changed its name to BA-New.

Also on 7 November 2000, a spin-off of substantial business of Bank Austria Aktiengesellschaft (BA-Old) to BA-New ("the Spin-off") took place in Austria. Upon the Spin-off, the banking licence of BA-Old was revoked and BA-Old changed its name to BA Holding AG.

Upon the Merger, BA-New became the surviving banking entity, while BACAI ceased to exist. The transfer of the banking licence of BACAI to BA-New enables BA-New to continue to carry out the business activities of BACAI and BA-Old in Hong Kong. BA-New is now under the direct supervision of the Austrian Federal Ministry of Finance, the banking supervisory authority in Austria.

Subsequent to the transfer of banking licence, the Hong Kong Branch of BA-New continues to maintain the business lines of the Hong Kong Branch of BA-Old and the Hong Kong Branch of BACAI with focus on treasury operations, commercial lending, corporate finance, trade finance and private banking.

As a result of the transfer of banking licence of BACAI to BA-New and the revocation of BA-Old's banking licence, the total number of banks in Hong Kong decreased by one to 154.

For further enquiries, please contact:

Thomas Chan, Senior Manager (Press), at 2878 1480 or
Jasmin Fung, Manager (Press), at 2878 8246

Hong Kong Monetary Authority
8 November 2000