The 'A+' rating indicates that the limited liability company Trewetch Corporate Services – Management maintains a very high level of reliability. The risk of a failure to meet obligations in full and in time is insignificant.

The rating of TCS-Management LLC reflects its capacity to fully and timely meet its obligations arising from being the sole executive body for mortgage agents, i.e. special-purpose vehicles set up exclusively to acquire receivables on loans secured by mortgage, to later issue and service mortgage-backed debt securities (MBS).

The reliability rating of TCS-Management LLC is essentially supported by its sound position in the Russian mortgage asset securitization market combined with a fast business expansion, substantially stronger competitive position, highly efficient management of affiliated mortgage agents, and steady financial profile.

TCS-Management LLC continues expanding its business. Of special value is the broader cooperation with Russia's leading originator OJSC The Agency for Housing Mortgage Lending / AHML. The number of mortgage agents of this originator managed by TCS-Management LLC increased from one in 2013 to three at the end of the first quarter of 2015. The amount of bonds issued by these mortgage agents (at the face value) increased more than 2.5 times for the same period.

Overall, in the first quarter of 2015 alone, the mortgage agents affiliated with TCS Group placed mortgage bonds for a total amount of RUB 31.5 billion, i.e. almost equal to the amount in bonds placed in the previous four years. Furthermore, the mortgage agents managed by TCS-Management LLC alone accounted for the whole amount of internal off-balance mortgage debt securitization in the first quarter of 2015.

The mortgage agents authorizing TCS-Management LLC to be their executive body are operating in full compliance with federal laws 152-FZ "On mortgage-backed securities", 39-FZ "On securities market" and other regulatory instruments issued by state administrative and supervisory bodies. Coupon and nominal principal payments on the mortgage bonds are effected on time and in full (meeting the respective terms of bond offering). Of special value is the successful completion of TCS-Management's first project CJSC Mortgage Agent of MBRD. The bonds issued by this mortgage agent were successfully retired ahead of schedule before the end of 2014 (the loan repayment deadline being 2038).

TCS-Management's financial profile may be regarded as fairly strong. In 2014, the Company's assets grew more than 2.5 times, equity capital soared 6.4 times, sales profit increased 3.2 times, net profit 8.6 times, return on assets (ROA) ratio improved from 7% to 30%, return on equity (ROE) ratio from 220% to 281%. The Company's debt burden mainly arises from non-financial accounts payable (current obligations to mortgage agents pursuant to advances received), net debt to revenue ratio decreased substantially from 0.53 to 0.14. The total loan debt of TCS-Management LLC is zero. Another positive argument for rating purposes is the current liquidity improvements, the corresponding ratio improving from 0.98 to 1.12 in 2014. As a whole, the Company's current financial standing enables it to focus entirely on its core business: being the sole executive body for mortgage agents. This strong foundation is of great importance, given the Company's ongoing business expansion.

To a certain extent, the reliability rating of TCS-Management LLC is constrained by the overall deterioration of the Russian economy increasing the risks of activities in the mortgage securities market.

TCS-Management LLC has been operating in the mortgage securitization market since 2009. Today, the Company is the sole executive body for 22 mortgage agents including closed joint-stock companies Mortgage Agent of AHML 2011-1, Mortgage Agent of AHML 2014-2, Mortgage Agent of AHML 2014-3, Mortgage Agent SOYUZ 1, FEMLC-1 Mortgage Agent, Mortgage agent TFB1, Mortgage agent Vozrozhdenie 3, Mortgage Agent HFB-1, East-Siberian Mortgage Agent, Mortgage agent AkBars, Multi-originator Mortgage Agent 1. Investment Company TREWETCH Investments Ltd registered in Cyprus owns 99% of the authorized capital of TCS-Management LLC. The Chief Executive Officer of TCS-Management LLC is Tatyana Kachalina, an internationally rated corporate law, capital market, project financing, securitization and M&A expert.

This press release is based on the Statement of assignment of a reliability rating to TCS-Management LLC and the applicable Mortgage Servicer Rating Methodology.

The rating, along with any information and conclusions provided in this press release, only conveys our opinion on the Company's creditworthiness and shall not be construed as a recommendation to purchase or sell securities, or to lend funds.

AK&M Rating Agency shall not be held liable for any interpretations, inferences and consequences related to the application of results of the rating estimation procedure by any third parties.

AK&M Rating Agency is a leading independent national rating agency engaged in rating activities since 1993. CJSC AK&M Rating Agency is accredited by the Ministry of Finance of the Russian Federation (order no. 452 as of September 17, 2010) and is on the Central Bank of Russia's Register of Accredited Rating Agencies.

CJSC Analysis, Consulting and Marketing Rating Agency

www.akmrating.ru
Ul. Gubkina 3, Moscow, Russia

Phone no. (495) 916-70-30, fax no.: (499) 132-69-18.