Joint venture of Pirelli RE and Calyon buys loan portfolio from HSH Nordbank

Hamburg/Kiel, September 11, 2007 - HSH Nordbank has sold a loan portfolio with a nominal volume of EUR 69 million to a joint venture of Pirelli RE (33 %) and Calyon (67 %). It consists of 36 called loans, which are collateralized by leased commercial properties and residential buildings. This sale is a so-called true-sale transaction in which loans that have already been called are sold to the buyer together with the collateral and the latter takes over future processing. The parties agreed not to disclose the purchase price. This sale will enable HSH Nordbank to reverse impairment charges.

This is the first purchase of an NPL portfolio in Germany for the joint venture partners Pirelli RE Deutschland and Calyon, who are planning to acquire more portfolios in the next few months. Pirelli RE intends to apply its many years of experience with non-performing loans in the Italian market, with an NPL volume of about EUR 9.2 billion under management, by now setting up a dedicated business unit in Germany so that it will be able in the future to also fully cover, in addition to asset management, credit servicing from within its own company.

Pirelli RE Deutschland is a company that leads in the property market as a real estate asset manager and, as a service provider, specializes in the areas of property and facility management as well as agency services. The company develops, manages and markets own properties as well as joint projects with investors and partner businesses. At the same time, Pirelli RE Deutschland offers real estate cycle-related services to other companies and investors – from purchase to value-enhancing development and management through to disposal of the assets.

Pirelli RE and Calyon were advised by Freshfields Bruckhaus Deringer, Engel & Voelkers as well as Immofori.

HSH Nordbank AG is a strong regional bank in Northern Europe with total assets of € 200 billion. Some 4,400 of the bank’s employees provide corporate and high net-worth clients around the globe with premium bank products and services. In its core region of Hamburg and Schleswig-Holstein, it is the market leader in the corporate customer segment. HSH Nordbank is an acknowledged partner of the capital markets and international sector specialist. Its main focus is on transportation and real estate. In fact, HSH Nordbank is the world’s largest provider of ship finance and covers the entire value chain in the transportation segment. In the area of real estate, HSH Nordbank is one of the strongest banks in Germany, acting as a provider of services relating to all aspects of real estate.

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The information contained in this press release does not constitute an offer for the sale of any type of Hamburg Commercial Bank AG securities. Securities of Hamburg Commercial Bank AG may not be sold in the United States without registration pursuant to US securities legislation, unless such a sale takes place on the basis of relevant exceptional provisions.

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