Annex to the Regulatory Report 2021 of Aareal Bank Group: Main Features of Capital Instruments

EU CCA: Main features of regulatory own funds instruments

35 36 37 37a

• 17 Fixed or floating dividend/coupon

  4 5 6 7 8 9

  1 2 2a 3

  Issuer

  Unique identifier (e.g. CUSIP, ISIN or Bloomberg identifier for private placement)

  Public or private placement

  Governing law(s) of the instrument

  Regulatory treatment

  Current treatment, taking into account, if applicable, the transitional CRR rules

  Post-transitional CRR rules

  Eligible at solo / (sub-)consolidated / solo and (sub-)consolidated level

  Instrument type (types to be specified by each jurisdiction)

  Nominal amount of instrument

  • EU-9a Issue price

• 11 Original date of issuance

• 18 Coupon rate and any related reference index

• 12 Perpetual or dated

• 19 Existence of a "dividend stopper"

• 13 Original maturity date

  EU-20a Fully discretionary, partially discretionary or mandatory (in terms of timing)

• 14 Issuer call subject to prior supervisory approval

  EU-20b

  • EU-9b Redemption price

• 10 Accounting classification

• 15 Optional call date, contingent call dates, and redemption amount

• 16 Subsequent call dates, if applicable

  Coupons / dividends

  Fully discretionary, partially discretionary or mandatory (in terms of amount)

  • 21 Existence of step-up features, or other incentive to redeem

  • 22 Non-cumulative or cumulative

  • 23 Convertible or non-convertible

  • 24 If convertible: Conversion trigger(s)

  • 25 If convertible: fully or partially

  • 26 If convertible: Conversion rate

  • 27 If convertible: Mandatory or optional conversion

  • 28 If convertible: Specify instrument type convertible into

  • 29 If convertible: Specify issuer of instrument it converts into

  • 30 Write-down features

  • 31 If write-down: Write-down trigger(s)

  • 32 If write-down: full or partial

  • 33 If write-down: permanent or temporary

  • 34 If temporary write-down: Description of write-up mechanism

  • 34a Type of subordination (only for eligible liabilities)

  EU-34b Ranking of the instrument in normal insolvency proceedingsNon-compliant transitioned features

  (specify instrument type immediately senior to instrument)Position in subordination hierarchy in liquidation

  If yes, specify non-compliant features

  Link to the full term and conditions of the instrument (signposting)

  Aareal Bank AG	Aareal Bank AG	Aareal Bank AG
  DE0005408116	DE0002733409	DE0002733417
  Public	Private	Private
  German law	German law	German law
  Common Equity Tier 1 capital	Tier 2 capital	Tier 2 capital
  Common equity tier 1 capital	Tier 2 capital	Tier 2 capital
  Group level	Group level	Group level
  Shares	Subordinated liability	Subordinated liability
  € 180 mn	€ 3 mn	€ 8 mn
  € 180 mn	€ 3 mn	€ 9 mn
  n/a	100.00 %	100.00 %
  n/a	100.00 %	100.00 %
  Share capital	Liability - measured at amortised cost	Liability - measured at amortised cost
  Varying	10 April 2001	4 May 2001
  Perpetual	Fixed maturity	Fixed maturity
  No maturity	10 April 2026	4 May 2026
  No	No	No
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	Fixed	Fixed
  No	6.470 %	6.570 %
  No	No	No
  Fully discretionary	Mandatory	Mandatory
  Fully discretionary	Mandatory	Mandatory
  n/a	No	No
  n/a	Non-cumulative	Non-cumulative
  Non-convertible	Non-convertible	Non-convertible
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  n/a	n/a	n/a
  Common Equity Tier 1 - CET1	Junior to non-subordinated liabilities	Junior to non-subordinated liabilities
  No	No	No
  n/a	n/a	n/a
  ... /aareal-bank-share	... /DE0002733409.pdf	... /DE0002733417.pdf

1 2 2a 3

Issuer

Unique identifier (e.g. CUSIP, ISIN or Bloomberg identifier for private placement)

Public or private placement

Governing law(s) of the instrument

Regulatory treatment

Current treatment, taking into account, if applicable, the transitional CRR rules

Post-transitional CRR rules

Eligible at solo / (sub-)consolidated / solo and (sub-)consolidated level

Instrument type (types to be specified by each jurisdiction)

Amount recognised in regulatory capital and eligible liabilities instruments (currency in millions, as at the most re-cent reporting date)

Nominal amount of instrument

• EU-9a Issue price

• EU-9b Redemption price

• 10 Accounting classification

• 11 Original date of issuance

• 12 Perpetual or dated

• 13 Original maturity date

• 14 Issuer call subject to prior supervisory approval

• 15 Optional call date, contingent call dates, and redemption amount

• 16 Subsequent call dates, if applicable

  Coupons / dividends

• 17 Fixed or floating dividend/coupon

• 18 Coupon rate and any related reference index

• 19 Existence of a "dividend stopper"

EU-20a Fully discretionary, partially discretionary or mandatory (in terms of timing)

EU-20b Fully discretionary, partially discretionary or mandatory (in terms of amount)

• 21 Existence of step-up features, or other incentive to redeem

• 22 Non-cumulative or cumulative

• 23 Convertible or non-convertible

• 24 If convertible: Conversion trigger(s)

• 25 If convertible: fully or partially

• 26 If convertible: Conversion rate

• 27 If convertible: Mandatory or optional conversion

• 28 If convertible: Specify instrument type convertible into

• 29 If convertible: Specify issuer of instrument it converts into

• 30 Write-down features

• 31 If write-down: Write-down trigger(s)

• 32 If write-down: full or partial

• 33 If write-down: permanent or temporary

• 34 If temporary write-down: Description of write-up mechanism

• 34a Type of subordination (only for eligible liabilities)

EU-34b Ranking of the instrument in normal insolvency proceedings

Position in subordination hierarchy in liquidation

35 36 37 37a

(specify instrument type immediately senior to instrument)Non-compliant transitioned features

If yes, specify non-compliant features

Link to the full term and conditions of the instrument (signposting)

Aareal Bank AG	Aareal Bank AG
DE0003252821	DE0003252821
Private	Private
German law	German law
Tier 2 capital	Tier 2 capital
Tier 2 capital	Tier 2 capital
Group level	Group level
Subordinated liability	Subordinated liability
€ 2 mn	€ 2 mn
€ 10 mn	€ 10 mn
93.80 %	98.69 %
100.00 %	100.00 %
Liability - measured at amortised cost	Liability - measured at amortised cost
28 October 2002	5 February 2003
Fixed maturity	Fixed maturity
28 October 2022	28 October 2022
No	No
n/a	n/a
n/a	n/a
Floating	Floating
10y CMS Cap 7.000 %	10y CMS Cap 7.000 %
No	No
Mandatory	Mandatory
Mandatory	Mandatory
No	No
Non-cumulative	Non-cumulative
Non-convertible	Non-convertible
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
Junior to non-subordinated liabilities	Junior to non-subordinated liabilities
No	No
n/a	n/a
... /DE0003252821.pdf	... /DE0003252821.pdf

1 2 2a 3

Issuer

Unique identifier (e.g. CUSIP, ISIN or Bloomberg identifier for private placement)

Public or private placement

Governing law(s) of the instrument

Regulatory treatment

Current treatment, taking into account, if applicable, the transitional CRR rules

Post-transitional CRR rules

Eligible at solo / (sub-)consolidated / solo and (sub-)consolidated level

Instrument type (types to be specified by each jurisdiction)

Nominal amount of instrument

• EU-9a Issue price

• EU-9b Redemption price

• 10 Accounting classification

• 11 Original date of issuance

• 12 Perpetual or dated

• 13 Original maturity date

• 14 Issuer call subject to prior supervisory approval

• 15 Optional call date, contingent call dates, and redemption amount

• 16 Subsequent call dates, if applicable

  Coupons / dividends

• 17 Fixed or floating dividend/coupon

• 18 Coupon rate and any related reference index

• 19 Existence of a "dividend stopper"

EU-20a Fully discretionary, partially discretionary or mandatory (in terms of timing)

EU-20b Fully discretionary, partially discretionary or mandatory (in terms of amount)

• 21 Existence of step-up features, or other incentive to redeem

• 22 Non-cumulative or cumulative

• 23 Convertible or non-convertible

• 24 If convertible: Conversion trigger(s)

• 25 If convertible: fully or partially

• 26 If convertible: Conversion rate

• 27 If convertible: Mandatory or optional conversion

• 28 If convertible: Specify instrument type convertible into

• 29 If convertible: Specify issuer of instrument it converts into

• 30 Write-down features

• 31 If write-down: Write-down trigger(s)

• 32 If write-down: full or partial

• 33 If write-down: permanent or temporary

• 34 If temporary write-down: Description of write-up mechanism

• 34a Type of subordination (only for eligible liabilities)

EU-34b Ranking of the instrument in normal insolvency proceedings

Position in subordination hierarchy in liquidation

35 36 37 37a

(specify instrument type immediately senior to instrument)Non-compliant transitioned features

If yes, specify non-compliant features

Link to the full term and conditions of the instrument (signposting)

Aareal Bank AG	Aareal Bank AG
DE000A1TNC86	DE000A1TNDF2
Public	Private
German law	German law
Tier 2 capital	Tier 2 capital
Tier 2 capital	Tier 2 capital
Group level	Group level
Subordinated liability	Subordinated liability
€ 36 mn	€ 12 mn
€ 80 mn	€ 10 mn
100.00 %	100.00 %
100.00 %	100.00 %
Liability - measured at amortised cost	Liability - measured at amortised cost
19 February 2014	22 May 2014
Fixed maturity	Fixed maturity
19 February 2024	22 May 2029
Yes	Yes
At nominal amount, by way of declaration vis-à-vis creditors, if bonds are phased-out from Tier 2 capital due to changes in applicable regulatory provisions.	At nominal amount, by way of declaration vis-à-vis creditors, if bonds are phased-out from Tier 2 capital due to changes in applicable regulatory provisions.
n/a	n/a
Fixed	Fixed
4.250 %	4.180 %
No	No
Mandatory	Mandatory
Mandatory	Mandatory
No	No
Non-cumulative	Non-cumulative
Non-convertible	Non-convertible
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
Junior to non-subordinated liabilities	Junior to non-subordinated liabilities
No	No
n/a	n/a
... /DE000A1TNC86.pdf	... /DE000A1TNDF2.pdf

1 2 2a 3

Issuer

Unique identifier (e.g. CUSIP, ISIN or Bloomberg identifier for private placement)

Public or private placement

Governing law(s) of the instrument

Regulatory treatment

Current treatment, taking into account, if applicable, the transitional CRR rules

Post-transitional CRR rules

Eligible at solo / (sub-)consolidated / solo and (sub-)consolidated level

Instrument type (types to be specified by each jurisdiction)

Nominal amount of instrument

• EU-9a Issue price

• EU-9b Redemption price

• 10 Accounting classification

• 11 Original date of issuance

• 12 Perpetual or dated

• 13 Original maturity date

• 14 Issuer call subject to prior supervisory approval

• 15 Optional call date, contingent call dates, and redemption amount

• 16 Subsequent call dates, if applicable

  Coupons / dividends

• 17 Fixed or floating dividend/coupon

• 18 Coupon rate and any related reference index

• 19 Existence of a "dividend stopper"

EU-20a Fully discretionary, partially discretionary or mandatory (in terms of timing)

EU-20b Fully discretionary, partially discretionary or mandatory (in terms of amount)

• 21 Existence of step-up features, or other incentive to redeem

• 22 Non-cumulative or cumulative

• 23 Convertible or non-convertible

• 24 If convertible: Conversion trigger(s)

• 25 If convertible: fully or partially

• 26 If convertible: Conversion rate

• 27 If convertible: Mandatory or optional conversion

• 28 If convertible: Specify instrument type convertible into

• 29 If convertible: Specify issuer of instrument it converts into

• 30 Write-down features

• 31 If write-down: Write-down trigger(s)

• 32 If write-down: full or partial

• 33 If write-down: permanent or temporary

• 34 If temporary write-down: Description of write-up mechanism

• 34a Type of subordination (only for eligible liabilities)

EU-34b Ranking of the instrument in normal insolvency proceedings

35 36 37 37a

Non-compliant transitioned features

If yes, specify non-compliant features

Link to the full term and conditions of the instrument (signposting)

Aareal Bank AG	Aareal Bank AG
DE000A1TNDG0	DE000A1TNDW7
Public	Public
German law	German law
Tier 2 capital	Tier 2 capital
Tier 2 capital	Tier 2 capital
Group level	Group level
Subordinated liability	Subordinated liability
€ 31 mn	€ 8 mn
€ 30 mn	€ 50 mn
100.00 %	100.00 %
100.00 %	100.00 %
Liability - measured at amortised cost	Liability - measured at amortised cost
20 June 2014	14 October 2014
Fixed maturity	Fixed maturity
20 June 2029	14 October 2022
Yes	Yes
Optional call date 20/06/2024, at nominal amount, as well as at nominal amount, by way of declaration vis-à-vis creditors, if bonds are phased-out from Tier 2 capital due to changes in applicable regulatory provisions.	At nominal amount, by way of declaration vis-à-vis creditors, if bonds are phased-out from Tier 2 capital due to changes in applicable regulatory provisions.
No	n/a
Currently fixed, later floating	Fixed
3.125 %, later 5y euro mid-swap rate + 1.500 %	2.500 %
No	No
Mandatory	Mandatory
Mandatory	Mandatory
No	No
Non-cumulative	Non-cumulative
Non-convertible	Non-convertible
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
n/a	n/a
Junior to non-subordinated liabilities	Junior to non-subordinated liabilities
No	No
n/a	n/a
... /DE000A1TNDG0.pdf	... /DE000A1TNDW7.pdf

1 2 2a 3

Issuer

Unique identifier (e.g. CUSIP, ISIN or Bloomberg identifier for private placement)

Public or private placement

Governing law(s) of the instrument

Regulatory treatment

4 5 6 7 8 9

Current treatment, taking into account, if applicable, the transitional CRR rules

Post-transitional CRR rules

Eligible at solo / (sub-)consolidated / solo and (sub-)consolidated level

Instrument type (types to be specified by each jurisdiction)

Nominal amount of instrument

• EU-9a Issue price

• EU-9b Redemption price

• 10 Accounting classification

• 11 Original date of issuance

• 12 Perpetual or dated

• 13 Original maturity date

• 14 Issuer call subject to prior supervisory approval

• 15 Optional call date, contingent call dates, and redemption amount

• 16 Subsequent call dates, if applicable

  Coupons / dividends

• 17 Fixed or floating dividend/coupon

• 18 Coupon rate and any related reference index

• 19 Existence of a "dividend stopper"

EU-20a Fully discretionary, partially discretionary or mandatory (in terms of timing)EU-20bFully discretionary, partially discretionary or mandatory (in terms of amount)

• 21 Existence of step-up features, or other incentive to redeem

• 22 Non-cumulative or cumulative

• 23 Convertible or non-convertible

• 24 If convertible: Conversion trigger(s)

• 25 If convertible: fully or partially

• 26 If convertible: Conversion rate

• 27 If convertible: Mandatory or optional conversion

• 28 If convertible: Specify instrument type convertible into

• 29 If convertible: Specify issuer of instrument it converts into

• 30 Write-down features

• 31 If write-down: Write-down trigger(s)

• 32 If write-down: full or partial

• 33 If write-down: permanent or temporary

• 34 If temporary write-down: Description of write-up mechanism

• 34a Type of subordination (only for eligible liabilities)

EU-34b Ranking of the instrument in normal insolvency proceedings

35

36 37 37a

Non-compliant transitioned features

If yes, specify non-compliant features

Link to the full term and conditions of the instrument (signposting)Aareal Bank AG

DE000A1TNDK2

Public

German lawAdditional Tier 1 capital

Additional Tier 1 capital

Group level

AT1 bond

€ 300 mn

€ 300 mn

100.00 % 100.00 %

Liability - measured at amortised cost

20 November 2014

Perpetual

No maturity

Yes

On 30 April 2020 for the first time; in addition, tax call and regulatory call are possible. Repayment at nominal amount or reduced current nominal amount plus accrued interest.

Callable annually after first call date (30 April 2020)Currently fixed, later floating

7.625 %, later 1y euro mid-swap rate + 7.180 %

No

Partially discretionary; in case of disbursement: payout date is 30 April of any given yearPartially discretionaryNo

Non-cumulative

Non-convertible

n/a n/a n/a n/a n/a n/a

Yes

Automatic write-down of capital amount in case of trigger event

(CET1 ratio falling below 7 % on Group level), before instruments with a lower

CET1 trigger and after instruments with a higher CET1 triggerPro-rata with other AT1 instruments until CET1 ratio of 7 % is restored

Permanent; Management Board may determine write-up

At the discretion of issuer, write-up pari passu with other AT1 instruments,

MDA pursuant to CRR must not be exceededn/a n/a

Instruments fully subordinated to (i) third-party claims from non-subordinated liabilities,

(ii) claims from Tier 2 instruments as well as (iii) receivables pursuant to section 39 (1) Nos. 1 to 5 of the German Insolvency Code ("InsO").

n/a n/a

... /DE000A1TNDK2.pdf