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Press release - Ceased investigation (Morgan Stanley)

The Hungarian Financial Supervisory Authority conducted a market surveillance procedure in relation to Morgan Stanley & Co. International plc’s research released on 5 November 2008 in connection with (among other stocks) OTP Bank Nyrt. As a result of the investigation the procedure has been ceased without applying any sanction.

The HFSA examined whether, in relation to the research, statutory provisions on the prohibition of market manipulation were breached by any market participants. During the procedure the HFSA checked the trading data for OTP shares and did not identify any behaviour which would have amounted to market manipulation. The procedure also examined the content of the research.

In the course of HFSA’s investigation Morgan Stanley & Co. International plc presented detailed methodological materials about the background to the research. The investigation established, that the price targets were the weighted average of the fundamental share values indicated in each scenario covered in the research. HFSA checked the definition of all price targets, as well as the methodology used for this, and came to the conclusion that Morgan Stanley & Co. International plc’s conclusions did not amount to dissemination of ungrounded, misleading or false information and thus did not amount to market manipulation.

Budapest, 24 July 2009

Hungarian Financial Supervisory Authority

More information for the press:
Istvan Binder Spokesman
T: +36-1-489-9235
E-mail: binder.istvan@pszaf.hu

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