Decision of BGF regarding MREL requirements

The Management Board of Bank Millennium S.A. ("Bank") announces that it received a letter from the Banking Guarantee Fund ("BGF") regarding a joint decision of the resolution authorities, i.e. the Single Resolution Board (SRB) and BGF obliging the Bank to meet the communicated MREL (minimum level for own funds and eligible liabilities) requirements at the consolidated level, excluding Millennium Bank Hipoteczny, i.e.

1. MRELtrea calculated as a percentage of the total risk exposure amount (TREA), and
2. MRELtem calculated as a percentage of the total exposure measure (TEM).

The decision sets updated minimum requirements that must be met immediately after its receipt at the level of 15.36% - consolidated MRELtrea (previously 18.03% in the decision of 18.06.2024) and 5.91% - consolidated MRELtem (the same level as in the decision dated 18.06.2024). Respectively, taken a subordination criteria, the Bank is obliged to meet the minimum MRELtrea requirement of 14.15% (versus 17.92% in the decision dated 18.06.2024) and MRELtem of 5.54% (versus 5.87% in the decision received dated 18.06.2024).

At the same time, in accordance with Article 19(2)(3), Article 21(3)(3), Article 42(3) and Article 48(3) of the Act on macro-prudential supervision, which transposes Article 128 of the CRD, CET1 instruments held by the Bank for the purpose of the combined buffer requirement are not eligible for the MREL requirement expressed as a percentage of the total risk exposure. This rule does not apply to the MREL requirement expressed as a percentage of the total exposure measure (MREL TEM).

The Bank fulfils above requirements at the moment of publication of this report.

Legal basis: art. 17 sec. 1 of MAR - confidential information