ING to make final repayment to Dutch State on 7 November 2014

ING has notified the Dutch State that it intends to make the final repayment of EUR 1,025 million on the core Tier 1 securities on 7 November 2014 - half a year ahead of the repayment schedule as agreed with the European Commission in 2012. The total amount repaid to the Dutch State on the core Tier 1 securities will be EUR 13.5 billion, including EUR 10 billion in principal and EUR 3.5 billion in interest and premiums, giving the State an annualised return of 12.7%.

"This support from the Dutch State saw us through the crisis and helped us to emerge stronger from it. Therefore we are grateful to the Dutch State and its citizens, but also to our customers who continued to stand by us during the last couple of years. I also want to thank our employees, all over the world, but especially in the Netherlands, for their perseverance and commitment to our customers." said Ralph Hamers, CEO of ING. "In the past years we have all worked hard to position ING as a solid, leading European bank, empowering people to stay a step ahead in life and in business."

ING strengthened its capital position in the fall of 2008 by issuing EUR 10 billion of core Tier 1 securities to the Dutch State. To date ING has repaid EUR 9,317 million in principal and EUR 3,189 million in interest and premiums. The final repayment on 7 November 2014, which has been approved by the Dutch Central Bank and the European Central Bank, will consist of EUR 683 million in principal and EUR 342 million in interest and premiums. ING will fund the repayment from the capital surplus at ING Group. As a result the repayment has no impact on ING Bank's capital ratios.

In addition to the core Tier 1 securities, ING and the State in 2009 established a facility to reduce the risk for ING from a portfolio of US mortgage securities. This facility has been unwound in 2013 and 2014 at a cash profit for the Dutch State of EUR 1.4 billion, which combined with the return on the core Tier 1 securities totals EUR 4.9 billion. In 2009 ING also issued Government Guaranteed Notes, which all have been redeemed in full and for which ING paid a total of EUR 0.4 billion in fees to the Dutch State. The total gross financial benefit to the Dutch State on the support for ING is approximately EUR 5.3 billion.