Issue of Debt

NOT FOR DISTRIBUTION OR PUBLICATION IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN

VTB announces pricing of its Singapore dollar Eurobond issue

16 July 2012

On July 13, 2012, JSC VTB Bank ("VTB") successfully priced a Eurobond offering of SGD 400 million 4% Notes due 2015 (the "Notes") to be issued under its Programme No.2 for the Issuance of Loan Participation Notes for the sole purpose of funding a loan to VTB (the "Offering").

Despite softer markets, dominated by uncertainty and mixed news flow amid summer slowdown, VTB was successful in capturing a moment of calmness to price the Offering and to continue fulfulling its funding plan for the current year.

Excellent investor response enabled VTB to achieve its pricing and size targets. The Notes will be issued to high quality accounts of Asset Managers, Private Banks and Banks. With local investors driving demand the transaction represents an important step in continued diversification of the Bank's funding sources in exotic markets.

OCBC and VTB Capital are Joint Lead Managers for the Offering. The Notes will be admitted to trading on the Irish Stock Exchange.

Deputy Chairman and CFO of JSC VTB Bank Herbert Moos said: "This transaction is an important milestone in the continuing efforts of VTB to expand and diversify its global investor base. This issue builds on the success of VTB's previous deals in local Asian currency markets and is the third transaction in SGD dollars, firmly establishing VTB as a welcome and regular Issuer in this region. The deal comes in line with our plans to tap new pools of attractively priced capital across the globe".

These materials are not an offer for sale of securities in the United States. Securities may not be offered or sold in the United States absent registration under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or an exemption from registration under the Securities Act. The issuer has not registered and does not intend to register any part of the offering in the United States or to conduct a public offering of any securities in the United States.

This document is an advertisement for the purposes of applicable measures implementing Directive 2003/71/EC (such Directive, together with any applicable implementing measures in the relevant home Member State under such Directive, the "Prospectus Directive"). A base prospectus, as supplemented by two supplemental prospectuses, each prepared pursuant to the Prospectus Directive (the base prospectus as so supplemented, the "Prospectus"), has been published, and can be obtained from Citibank, N.A. at Citigroup Centre, Canada Square, Canary Wharf, London E14 5LB. Investors should not subscribe for any securities referred to in this document except on the basis of information contained in the Prospectus.

This document is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as "relevant persons"). Any Notes will only be available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such Notes will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

Information contained in this document is not an offer, or an invitation to make offers, sell, purchase, exchange or transfer any securities in the Russian Federation or to or for the benefit of any Russian person, and does not constitute an advertisement or offering to non-qualified investors of any securities in the Russian Federation. The Notes have not been and will not be registered in the Russian Federation or admitted to public placement and/or public circulation in the Russian Federation. The Notes are not intended for "placement" or "circulation" in the Russian Federation unless and to the extent permitted under Russian law.