Base Prospectus

EUROHYPO Europäische Hypothekenbank S.A.

Senningerberg, Grand-Duchy of Luxembourg (“Luxembourg”)

Debt Issuance Programme

(the “Programme”)

Application has been made to list the Pfandbriefe on the Official List of the Luxembourg Stock Exchange and trade Pfandbriefe (“Lettres de Gage” “Pfandbriefe”) to be issued under the Programme on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission during a period of 12 months from the date of this Base Prospectus (the “Base Prospectus”). Pfandbriefe issued under the Programme may also be listed or traded on an alternative stock exchange or market or may not be listed at all. Pfandbriefe in registered form will not be listed on any stock exchange.

The Issuer has requested the Commission de Surveillance du Secteur Financier of Luxembourg (the “CSSF”) to provide the competent authorities in Austria, Belgium, France, Germany, Ireland, Italy, the Netherlands and the United Kingdom with a certificate of approval attesting that the Base Prospectus has been drawn up in accordance with the Loi du 10 juillet 2005 relative aux prospectus pour valeurs mobilières which implements Directive 2003/71/EC of the European Parliament and the Council of 4 November 2003 (the “Prospectus Directive”) into Luxembourg law (“Notification”). The Issuer may request the CSSF to provide competent authorities in additional host Member States within the European Economic Area with a Notification.

The Base Prospectus, all documents incorporated herein by reference and the Final Terms will be published in electronic form on the website of the Issuer (www.eurohypo.lu / Money and Capital Markets / Debt Issuance Programme) and of the Luxembourg Stock Exchange (www.bourse.lu).

Arranger

Deutsche Bank

Dealers

ABN AMRO Barclays Capital

Citigroup Commerzbank Corporates & Markets

Credit Suisse Deutsche Bank

Dresdner Kleinwort DZ BANK AG

Eurohypo AG Goldman Sachs International

HVB Corporates & Markets HSBC

JPMorgan Morgan Stanley

Nomura International RBC Capital Markets

TD Securities UBS Investment Bank

Lead Managers (in connection with the issue of Jumbo Pfandbriefe)

Barclays Bank Plc Dresdner Bank Aktiengesellschaft

Dealers (in connection with the issue of Jumbo Pfandbriefe)

Bayerische Hypo- und Vereinsbank AG CDC IXIS Capital Markets, Frankfurt Branch

Citigroup Global Markets Limited Frankfurt Commerzbank Aktiengesellschaft Branch

Deutsche Bank Aktiengesellschaft

The date of this Base Prospectus is 30 August 2006. This Base Prospectus replaces the base prospectus dated 22 November 2005. This Base Prospectus is valid for one year from 30 August 2006.

Notice

This Base Prospectus should be read and understood in conjunction with any supplement thereto and with any document incorporated herein by reference, and in relation to any Tranches and Series (as defined herein) of Pfandbriefe, together with the relevant Final Terms (as defined herein). Full information on the Issuer and any Tranche of Pfandbriefe is only available on the basis of the combination of the Base Prospectus and the relevant final terms (the “Final Terms“).

The Issuer has confirmed to the Dealers (as defined herein) that this Base Prospectus contains all information with regard to the Issuer and the Pfandbriefe which is material in the context of the Programme and the issue and offering of Pfandbriefe thereunder; that the information contained herein with respect to the Issuer and the Pfandbriefe is accurate in all material respects and is not misleading; that any opinions and intentions expressed herein are honestly held and based on reasonable assumptions; that there are no other facts, the omission of which would make any statement, whether fact or opinion, in this Base Prospectus misleading in any material respect; and that all reasonable enquiries have been made to ascertain all facts and to verify the accuracy of all statements contained herein.

No person has been authorised to give any information which is not contained in or not consistent with this Base Prospectus or any other information supplied in connection with the Programme and, if given or made, such information must not be relied upon as having been authorised by or on behalf of the Issuer or any of the Dealers. This Base Prospectus is valid for 12 months following its publication and it and any supplement hereto as well as any Final Terms reflect the status as of their respective dates of publication. The delivery of this Base Prospectus or any Final Terms and the offering, sale or delivery of any Pfandbriefe may not be taken as an implication that the information contained in such documents is accurate and complete subsequent to their respective dates of issue or that there has been no adverse change in the financial condition of the Issuer since such date or that any other information supplied in connection with the Programme is accurate at any time subsequent to the date on which it is supplied or, if different, the date indicated in the document containing the same.

The Issuer has undertaken with the Dealers to amend or supplement this Base Prospectus or publish a new Base Prospectus if and when the information herein should become materially inaccurate or incomplete and has further agreed with the Dealers to furnish a supplement to the Base Prospectus in case of any significant new factor, material mistake or inaccuracy relating to the information included in this Base Prospectus which is capable of affecting the assessment of the Pfandbriefe and which arises or is noticed between the time when this Base Prospectus has been approved and the final closing of any Tranche of Pfandbriefe offered to the public or, as the case may be, when trading of any Tranche (as defined below) of Pfandbriefe on a regulated market begins or listing on a stock exchange is obtained, in respect of Pfandbriefe issued on the basis of this Base Prospectus. Neither the Arranger nor any Dealer nor any person mentioned in this Base Prospectus, excluding the Issuer, is responsible for the information contained in this Base Prospectus or any supplement thereof, or any Final Terms or any document incorporated herein by reference, and accordingly, and to the extent permitted by the laws of any relevant jurisdiction, none of these persons accepts any responsibility for the accuracy and completeness of the information contained in any of these documents.

The distribution of this Base Prospectus and any Final Terms and the offering, sale and delivery of Pfandbriefe in certain jurisdictions may be restricted by law. Persons into whose possession this Base Prospectus or any Final Terms come are required to inform themselves about and observe any such restrictions. For a description of the restrictions applicable in the United States of America, Japan, the European Economic Area and the United Kingdom, see “Selling Restrictions General”. In particular, the Pfandbriefe have not been and will not be registered under the U. S. Securities Act of 1933, as amended

1 (the “Securities Act”), and are subject to tax law requirements of the United States of America; subject to certain exceptions, Pfandbriefe may not be offered, sold or delivered within the United States of America or to U.S. persons. The language of the Base Prospectus is English. Any part of this Base Prospectus in the German language constitutes a translation.

This Base Prospectus may only be used for the purpose for which it has been published.

This Base Prospectus and any Final Terms may not be used for the purpose of an offer or solicitation by anyone in any jurisdiction in which such offer or solicitation is not authorised or any person to whom it is unlawful to make such an offer or solicitation.

This Base Prospectus and any Final Terms do not constitute an offer or an invitation by or on behalf of the Issuer or the Dealers to any person to subscribe for or to purchase any Pfandbriefe.

In connection with the issue of any Tranche of Pfandbriefe under the Programme, the Dealer or Dealers specified in the relevant Final Terms as the Stabilising Manager(s) (or persons acting on behalf of any Stabilising Manager(s)) may over-allot Pfandbriefe (provided that the aggregate principal amount of Pfandbriefe allotted does not exceed 105 per cent. of the aggregate principal amount of the relevant Tranche of Pfandbriefe) or effect transactions with a view to supporting the price of the Pfandbriefe at a level higher than that which might otherwise prevail.

However, there is no assurance that the Stabilising Manager (or persons acting on behalf of a Stabilising Manager) will undertake stabilisation action. Any stabilisation action may begin at any time after the adequate public disclosure of the terms of the offer of the relevant Tranche of Pfandbriefe and, if begun, may be ended at any time, but it must end no later than the earlier of 30 days after the Issue Date and 60 days after the date of the allotment of the relevant Tranche of Pfandbriefe. In this Base Prospectus, all references to “U.S. Dollars” are to the currency of the United States of America, references to “EUR” or “Euro” are to the single currency of certain member states of the European Union.

I. General

Under the Programme, EUROHYPO Europäische Hypothekenbank S.A. (the “Issuer”, the “Bank” or “Eurohypo”) may from time to time issue (i) Pfandbriefe to one or more of the following Dealers: ABN AMRO Bank N.V., Barclays Bank PLC, Bayerische Hypo- und Vereinsbank AG, Citigroup Global Markets Limited, Commerzbank Aktiengesellschaft, Credit Suisse Securities (Europe) Limited, Deutsche Bank Aktiengesellschaft, Dresdner Bank Aktiengesellschaft, DZ BANK AG Deutsche Zentral- Genossenschaftsbank, Frankfurt am Main, Eurohypo Aktiengesellschaft, Goldman Sachs International, HSBC Bank plc, J.P. Morgan Securities Ltd., Morgan Stanley & Co International Limited, Nomura International plc, Royal Bank of Canada Europe Limited, The Toronto-Dominion Bank, UBS Limited and any additional Dealer appointed under the Programme by the Issuer from time to time (each a “Dealer” and together, the “Dealers”) the appointment of which may be for a specific issue or on an ongoing basis, and (ii) in case of the Jumbo Pfandbriefe to one or more of the following Dealers: Bayerische Hypo- und Vereinsbank AG, CDC IXIS Capital Markets, Zweigniederlassung Frankfurt, Citigroup Global Markets Limited Frankfurt Branch, Commerzbank Aktiengesellschaft and Deutsche Bank Aktiengesellschaft or Lead Managers: Barclays Bank PLC, Dresdner Bank Aktiengesellschaft.

Under the Programme, Eurohypo may issue Pfandbriefe in the form of Fixed Rate Pfandbriefe, Floating Rate Pfandbriefe, Index-Linked Pfandbriefe, Dual Currency Pfandbriefe, Zero Coupon Pfandbriefe or any other type on which Eurohypo and the relevant Dealer(s) may agree, including notably the issue from time to time of up to €2,000,000,000 4,25 per cent. Lettres de Gage Publiques due 4 June 2018 (ISIN XS0169781753 (the “Jumbo Pfandbriefe”)).

2 Pfandbriefe under the Programme may be issued either as Mortgage Pfandbriefe (Hypothekenpfandbriefe) or as Public Pfandbriefe (Öffentliche Pfandbriefe). Mortgage Pfandbriefe and Public Pfandbriefe may be issued in the form of Global Pfandbrief Issues. Pfandbriefe will be issued on a continuous basis to one or more of the Dealers. Pfandbriefe may be distributed by way of public offer or private placements and, in each case, on a syndicated or non-syndicated basis. The method of distribution of each Tranche will be stated in the relevant Final Terms.

Pfandbriefe will be issued in tranches (each a “Tranche”), each Tranche consisting of Pfandbriefe which are identical in all respects. One or more Tranches, which are expressed to be consolidated and forming a single series and are identical in all respects, but may have different issue dates, interest commencement dates and issue prices may form a series of Pfandbriefe (“Series”). Further Pfandbriefe may be issued as part of existing Series.

Jumbo Pfandbriefe issued from time to time will be fungible with the Jumbo Pfandbriefe previously issued under the same terms and conditions and are expressed to be consolidated and forming a single Series with such Jumbo Pfandbriefe.

The specific terms of each Tranche will be set forth in the applicable Final Terms.

Subject to any applicable legal or regulatory restrictions and requirements of relevant central banks, monetary or other authorities, Pfandbriefe may be issued in Australian Dollars, Canadian Dollars, Euros, Japanese Yen, Pounds Sterling, Swiss Francs, U.S. Dollars or any other currency agreed by the Issuer and the relevant Dealer(s).

Pfandbriefe will be issued in such denominations as may be agreed between the Issuer and the relevant Dealer(s) and as indicated in the applicable Final Terms. Pfandbriefe may be issued at an issue price which is at par or at a discount to, or premium over, par.

Application has been made to list the Pfandbriefe on the Official List of the Luxembourg Stock Exchange and to trade Pfandbriefe to be issued under the Programme on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission. The Programme provides that Pfandbriefe may be listed on other or further stock exchanges as may be agreed between the Issuer and the relevant Dealer(s) in relation to each Tranche. Pfandbriefe may further be issued under the Programme which will not be listed on any stock exchange.

Deutsche Bank Luxembourg S.A. will act as Luxembourg Paying Agent and Luxembourg Listing Agent under the Programme.

Deutsche Bank Aktiengesellschaft will act as fiscal agent (the “Fiscal Agent”), and paying agent or principal paying agent (the “Paying Agent”) under the Programme.

If the Global Pfandbriefe are stated in the Final Terms to be issued in new global note (“NGN”) form, they are intended to be eligible for Eurosystem monetary policy and the Global Pfandbriefe will be effectuated and delivered on or prior to the original issue date of the Tranche to one of the common safekeepers (the “Safekeeper”) appointed by Euroclear S.A./N.V. as operator of the Euroclear system (“Euroclear”) and Clearstream Banking, société anonyme (“Clearstream, Luxembourg”).

Global Pfandbriefe which are not issued in NGN form (“Classical Global Notes” or “CGN”) may be delivered on or prior to the original issue date of the Tranche to a common depositary for Euroclear and Clearstream, Luxembourg, (the “Common Depositary”) or to a depositary for any other clearing system as specified in the applicable Final Terms.

II. Issue Procedures

3 General

The Issuer and the relevant Dealer(s) will agree on the terms and conditions applicable to each particular Tranche of Pfandbriefe (“Conditions”). The Conditions will be constituted by the Terms and Conditions of the Pfandbriefe set forth below (“Terms and Conditions”) as completed, modified, supplemented or replaced, in whole or in part, by the provisions of the Final Terms.

The terms and conditions applicable to the Jumbo Pfandbriefe are those set out below in section Terms and Conditions of the Pfandbriefe - Part III on page 42 as completed or supplemented by the provisions of the Final Terms. In the event of any inconsistency between (i) the provisions in this Base Prospectus and the terms and conditions applicable to the Jumbo Pfandbriefe, the terms and conditions applicable to the Jumbo Pfandbriefe will prevail.

This Prospectus constitutes a Base Prospectus for the purposes of Article 5.4 of the Prospectus Directive for the purposes of giving information with regard to the Issuer which, according to the particular nature of the Issuer and the Pfandbriefe, is necessary to enable the investors to make an informed assessment of the assets and liabilities, financial position, profits and losses and prospects of the Issuer and of the rights attached to the Pfandbriefe.

4 Responsibility statement

The Issuer accepts responsibility for the information contained in this Base Prospectus (having taken all reasonable care to ensure that such is the case). To the best of the knowledge of the Issuer, the information contained in the Base Prospectus is in accordance with the facts and does not omit anything likely to affect the import of such information.

5 TABLE OF CONTENTS

Page

General description of the Programme ...... 8

Summary 13

- regarding risk factors ...... 13

- regarding the Issuer...... 13

- regarding the Pfandbriefe ...... 17

Risks Factors...... 22

Issue Procedures...... 26

In Respect of Pfandbriefe in Bearer Form ...... 26

In Respect of Pfandbriefe in Registered Form ...... 27

Terms and Conditions of the Pfandbriefe ...... 28

Part I - Terms and Conditions of Pfandbriefe in Bearer Form ...... 28

Part II - Supplement to the Terms and Conditions of Pfandbriefe - Pfandbriefe in 39 Registered Form......

Part III - Terms and Conditions of the Jumbo Pfandbriefe 42

A. Pfandbriefbedingungen 42

B. Terms and Conditions of the Jumbo Pfandbriefe 44

Form of Final Terms 47

A. Form of Final Terms for Pfandbriefe………………………………………………… 47

B. Form of Final Terms for Jumbo Pfandbriefe...... 70

EUROHYPO Europäische Hypothekenbank S.A...... 78

Incorporation, Registered Office, Duration and Objectives ...... 78

Share Capital and Shareholders ...... 78

Capitalisation ...... 79

Management...... 79

Conflict of Interests ...... 80

Special Auditor (Treuhänder) 81

Trustee ...... 81

Auditors ...... 81

Annual Meetings ...... 81

Financial Year ...... 81

6 Business Overview...... 81

Principal Activities ...... 82

Principal Markets...... 82

Description of the Group...... 82

Major Shareholdings...... 82

Recent Development and Outlook ...... 82

Significant Change in the Issuer’s financial position...... 83

Cash Flow Statement...... 83

Important Events...... 83

Trend Information 84

Statements of “No Material Adverse Change” ...... 84

Financial Information regarding the Issuer Incorporated by Reference...... 85

Taxation in Luxembourg ...... 86

General Information 89

Pfandbriefe and the Mortgage Banking Sector in Luxembourg ...... 89

Clearing Systems ...... 93

Selling Restrictions ...... 93

Use of Proceeds ...... 96

Listing Information ...... 97

Undertaking ...... 97

Authorisation ...... 97

Documents on Display ...... 98

Representations of the Holders of Pfandbriefe ...... 98

Issuer's Website ...... 98

Legal and Arbitration proceedings ...... 98

Material Change ...... 98

Names and Addresses ...... 99

7 GENERAL DESCRIPTION OF THE PROGRAMME

The following general description does not purport to be complete and is taken from and qualified in its entirety by, the remainder of this Base Prospectus and, in relation to the terms and conditions of any particular Tranche of Pfandbriefe, the applicable Final Terms. Expressions defined in “Terms and Conditions of the Pfandbriefe” below shall have the same meaning in this Overview unless specified otherwise.

Issuer: EUROHYPO Europäische Hypothekenbank S.A.

Arranger: Deutsche Bank Aktiengesellschaft

Dealers: ABN AMRO Bank N.V. Barclays Bank PLC Bayerische Hypo- und Vereinsbank AG Citigroup Global Markets Limited Commerzbank Aktiengesellschaft Credit Suisse Securities (Europe) Limited Deutsche Bank Aktiengesellschaft Dresdner Bank Aktiengesellschaft DZ BANK AG Deutsche Zentral-Genossenschaftsbank, Frankfurt am Main Eurohypo Aktiengesellschaft Goldman Sachs International HSBC Bank plc J.P. Morgan Securities Ltd. Morgan Stanley & Co. International Limited Nomura International plc Royal Bank of Canada Europe Limited UBS Limited The Toronto-Dominion Bank

Lead Managers for Barclays Bank PLC Jumbo Pfandbriefe: Dresdner Bank Aktiengesellschaft

Dealers for Jumbo Bayerische Hypo- und Vereinsbank AG Pfandbriefe: CDC IXIS Capital Markets, Frankfurt Branch Citigroup Global Markets Limited Frankfurt Branch Commerzbank Aktiengesellschaft Deutsche Bank Aktiengesellschaft

Fiscal Agent and Paying Agent: Deutsche Bank Aktiengesellschaft

Paying Agents: Deutsche Bank Luxembourg S.A. and other institutions, all as indicated in the applicable Final Terms.

Listing Agents: Deutsche Bank Luxembourg S.A. and other institutions, all as indicated in the applicable Final Terms.

8 Regulatory Matters: Any issue of Pfandbriefe denominated in a currency in respect of which particular laws, regulations, guidelines, restrictions and reporting requirements apply will only be issued in circumstances which comply with such laws, regulations, guidelines, restrictions and reporting requirements from time to time. Without prejudice to the generality of the foregoing:

Each issue of Pfandbriefe in respect of which the issue proceeds are accepted in the United Kingdom (including Pfandbriefe denominated in Sterling) by the Issuer shall be made in accordance with all applicable laws, regulations and guidelines (as amended from time to time) of United Kingdom authorities and relevant in the context of the issue of Pfandbriefe, and the Issuer shall submit (or procure the submission on its behalf of) such reports or information as may from time to time be required for compliance with such laws, regulations and guidelines. The Issuer shall ensure that such Pfandbriefe have the maturities and denominations as required by such laws, regulations and guidelines.

The Issuer shall ensure that Pfandbriefe denominated or payable in Yen (“Yen Pfandbriefe”) will only be issued in compliance with applicable Japanese laws, regulations, guidelines and policies. The Issuer or its designated agent shall submit such reports or information as may be required from time to time by applicable laws, regulations and guidelines promulgated by Japanese authorities in the case of Yen Pfandbriefe.

Distribution: Pfandbriefe may be distributed by way of public offer or private placement and in each case on a syndicated or non-syndicated basis.

The method of distribution of each Tranche will be specified in the applicable Final Terms.

Method of Issue: Pfandbriefe will be issued in tranches (each a “Tranche”) consisting of Pfandbriefe which are identical in all respects. One or more Tranches, which are expressed to be consolidated and form a single series and are identical in all respects, but having different issue dates, interest commencement dates and issue prices may form a series (“Series”) of Pfandbriefe. Further Pfandbriefe may be issued as part of existing Series. The specific terms of each Tranche (which will be supplemented, where necessary, with supplemental terms and conditions) will be set forth in the applicable Final Terms.

Specified Currencies: Subject to any applicable legal or regulatory restrictions and requirements of relevant central banks, Pfandbriefe may be issued in Euro (including its nondecimal subunits) or any other currency agreed by the Issuer and the relevant Dealer(s) as specified in the applicable Final Terms.

Denominations of Pfandbriefe: Pfandbriefe will be issued in such denominations as may be agreed between the Issuer and the relevant Dealer(s) as indicated in the applicable Final Terms, save that the minimum denomination of the Pfandbriefe will be such as may be allowed or required from time to time by the relevant Central Bank (or equivalent body) or any laws or regulations applicable in the country of the relevant Specified Currency.

9

Maturities: Such maturities as may be agreed between the Issuer and the relevant Dealer(s) as indicated in the applicable Final Terms, subject to such minimum or maximum maturities as may be allowed or required from time to time by the relevant central bank (or equivalent body) or any laws or regulations applicable to the Issuer or the relevant Specified Currency.

Issue Price: Pfandbriefe may be issued at an issue price which is at par or at a discount to, or premium over, par.

Pfandbriefe: Pfandbriefe may be issued as Mortgage Pfandbriefe (Hypothekenpfandbriefe – Lettres de Gage Hypothécaires) or Public Pfandbriefe (Öffentliche Pfandbriefe – Lettres de Gage Publiques) (including Jumbo Pfandbriefe).

Mortgage Pfandbriefe and Public Pfandbriefe constitute recourse obligations of the Issuer. They are secured or “covered” by separate pools of mortgage loans (in the case of Mortgage Pfandbriefe) or loans to the public sector (in the case of Public Pfandbriefe), the sufficiency of which is monitored by a special auditor and is governed by the loi relative aux banques d’émission de lettres de gage (hereinafter the “Luxembourg Mortgage Bank Act”), dated November 21, 1997 (as amended) which became part of Luxembourg’s general banking law as Article 12 Sections 1 to 9. See page 89 “Pfandbriefe and the Mortgage Banking Sector in Luxembourg”.

Fixed Rate Pfandbriefe: Pfandbriefe for which the interest rate is fixed will be payable on such basis as may be agreed between the Issuer and the relevant Dealer(s) as specified in the applicable Final Terms.

Floating Rate Pfandbriefe: Pfandbriefe for which the interest rate is variable will bear interest on such basis as may be agreed between the Issuer and the relevant Dealer(s), as specified in the applicable Final Terms. The margin, if any, relating to such variable rate will be agreed between the Issuer and the relevant Dealer(s) for each Series of Floating Rate Pfandbriefe.

Interest periods for Floating Rate Pfandbriefe will be one, three, six or twelve months or such other period(s) as may be agreed between the Issuer and the relevant Dealer(s), as specified in the applicable Final Terms.

Index Linked Pfandbriefe: Payments of principal in respect of Index Linked Redemption Amount Pfandbriefe or of interest in respect of Indexed Linked Interest Pfandbriefe (together “Index Linked Pfandbriefe”) will be calculated by reference to such index and/ or formula as the Issuer and the relevant Dealer(s) may agree as specified in the applicable Final Terms. Each issue of Index Linked Pfandbriefe will be made in compliance with all applicable legal and/or regulatory requirements.

Other provisions Floating Rate Pfandbriefe and Index Linked Pfandbriefe may also have a in relation to maximum interest rate, a minimum interest rate or both. Interest on Floating Floating Rate Rate Pfandbriefe and Index Linked Pfandbriefe in respect of each Interest Pfandbriefe Period, as selected prior to issue by the Issuer and the relevant Dealer(s), and Index Linked will be payable on such Interest Payment Dates specified in, or determined Pfandbriefe: pursuant to, the applicable Final Terms and will be calculated as indicated in

10 the applicable Final Terms.

Dual Currency Payments (whether in respect of principal or interest and whether at maturity Pfandbriefe: or otherwise) in respect of Dual Currency Pfandbriefe will be made in such currencies, and based on such rates of exchange, as the Issuer and the relevant Dealer(s) may agree as specified in the applicable Final Terms.

Zero Coupon Pfandbriefe: Zero Coupon Pfandbriefe will be offered and sold either at a discount to their principal amount or on an accumulated interest basis, in each case without periodic payments of interest.

Other Pfandbriefe: Pfandbriefe may be of any other type of security which the Issuer and the relevant Dealer may agree. The terms governing any such Pfandbriefe will be specified in the applicable Final Terms.

Redemption: Pfandbriefe will not in any event be capable of being redeemed prior to their stated maturity except as indicated in the Final Terms.

Status of Pfandbriefe: Pfandbriefe will constitute unsubordinated obligations ranking pari passu among themselves and (i) in the case of Public Pfandbriefe at least pari passu with all other obligations of the Issuer under Public Pfandbriefe and (ii) in the case of Mortgage Pfandbriefe at least pari passu with all other obligations of the Issuer under Mortgage Pfandbriefe. Pfandbriefe are covered, however, by separate pools of loans to the public sector (in the case of Public Pfandbriefe) or mortgage loans (in the case of Mortgage Pfandbriefe).

Negative Pledge: The terms of the Pfandbriefe will not contain a negative pledge provision.

Events of Default : Pfandbriefe will not provide for any event of default entitling Holders (as defined in the Conditions) to demand immediate redemption of the Pfandbriefe.

Cross Default: The terms of the Pfandbriefe will not provide for a cross-default.

Gross-Up: The terms of the Pfandbriefe will not contain a provision for gross-up.

Listing: Application has been made to list Pfandbriefe in bearer form to be issued under the Programme on the Official List of the Luxembourg Stock Exchange and to trade them on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commision. Pfandbriefe in bearer form may also be listed on an alternative stock exchange or may not be listed at all. Pfandbriefe in registered form will not be listed.

Governing Law: Luxembourg law.

Selling Restrictions: There will be specific restrictions on the offer and sale of Pfandbriefe and the distribution of offering materials in the United States of America, the European Economic Area, the United Kingdom and Japan and such other restrictions as may be required under applicable law in connection with the offering and sale of a particular Tranche of Pfandbriefe.

Jurisdiction: As indicated in the Final Terms.

11 Clearance and Settlement: Pfandbriefe will be accepted for clearing through one or more clearing systems as specified in the applicable Final Terms. These systems will include those operated by Clearstream Banking AG, Frankfurt am Main ("CBF"), Clearstream Banking société anonyme, Luxembourg ("CBL"), Euroclear Bank S.A./N.V. as operator of the Euroclear system ("Euroclear"), Euroclear France ("Euroclear France") and the SIS SegaInterSettle AG ("SIS SegaInterSettle AG"), or any other clearing system all as specified in the applicable Final Terms.

Eligibility for Eurosystem Monetary Policy: Global Pfandbriefe which are intended to be eligible for Eurosystem monetary policy will be issued in NGN form and will be effectuated and delivered on or prior to the issue date to the Common Safekeeper appointed by Euroclear and Clearstream, Luxembourg.

12

SUMMARY

The following constitutes the summary (the “Summary”) of the essential characteristics and risks associated with the Issuer and the Pfandbriefe to be issued under the Programme. This Summary should be read as an introduction to this Base Prospectus. Any decision by an investor to invest in the Pfandbriefe should be based on consideration of this Base Prospectus as a whole, including the documents incorporated by reference, any supplements thereto and the relevant Final Terms. Where a claim relating to the information contained in this Base Prospectus, the documents incorporated by reference, any supplements thereto and the relevant Final Terms is brought before a court, the plaintiff investor might, under the national legislation of such court, have to bear the costs of translating this Base Prospectus, the documents incorporated by reference, any supplements thereto and the relevant Final Terms before the legal proceedings are initiated. Civil liability attaches to the Issuer who has tabled this Summary including any translation thereof, and applied for its notification, but only if the Summary is misleading, inaccurate or inconsistent when read together with the other parts of this Base Prospectus.

The following Summary does not purport to be complete and is taken from and qualified in its entirety by the remainder of this Base Prospectus and, in relation to the terms and conditions of any particular Tranche, the applicable Final Terms.

1. Summary regarding risk factors

Investors should be aware of the risk factors relating to an investment in Pfandbriefe, which may include in particular (1) credit risk, market risk, liquidity risk and operational risk regarding the Issuer and (2) dual currency risk, liquidity risk, market price risk, early redemption risk regarding Pfandbriefe, and general risks regarding Fixed Rate Pfandbriefe, Floating Rate Pfandbriefe, Structured Pfandbriefe, Inverse/Reverse Floating Rate Pfandbriefe, Index Linked Pfandbriefe and Zero Coupon Pfandbriefe.

2. Summary regarding the Issuer

2.1 History and development

Legal and commercial name

Legal name EUROHYPO Europäische Hypothekenbank S.A.

Commercial name Eurohypo Lux

Country of incorporation and of registered office Luxembourg

Registration number Register of Commerce and Companies, Luxembourg: B 30469

Date of incorporation 24/04/1989

Registered office, address, telephone number

13 Airport Center 5, Rue Heienhaff L-1736 Senningerberg Luxembourg +352/ 26 34 55-1

Legal form, legislation Joint-stock company (société anonyme), Luxembourg law

2.2 Business Overview Founded in 1989 in Luxembourg with a licence for general banking business, the Issuer initially conducted only public sector financing and mortgage banking business.

The Issuer exchanged its licence for general banking business in September 1999 for a specialised licence as a Pfandbriefbank (banque d’émission de lettres de gage) and is since then authorised to issue Pfandbriefe in accordance with the Luxembourg Pfandbrief Law.

In line with this law the Issuer is allowed to do as principal business public sector and property lending and issue Pfandbriefe which are covered respectively by public sector or mortgage loans. However, the Issuer focuses on public sector finance in EU and OECD countries with the exception of Turkey, Mexico and South Korea as set out in its Articles of Association. To fund these lending activities the Issuer issues Pfandbriefe depending on market conditions and investor interest (i.e. fixed rate, floating rate, currency, term) and does repo business (repurchase agreements) with banks.

On 31 December 2005 the Issuer had 38 employees.

The Issuer’s branch office in Ireland, EUROHYPO Europäische Hypothekenbank S. A., Dublin Branch has ceased its activities on 31 July 2006 and has been closed.

2.3 Organisational structure The Issuer is part of Commerzbank Group. Since March 31, 2006 Commerzbank Group owns 98 per cent. of Eurohypo AG which in turn holds all but one share of the shares in the Issuer. The parent company Eurohypo engages in real estate and public sector financing.

The Issuer holds 33 per cent. of Eurohypo Investment Banking Limited, London.

2.4 Trend information The Issuer anticipates positive returns and a moderate increase in volumes for the financial year 2006 compared to the exceptional growth in 2005 as well as cost and income synergies from the acquisition of Eurohypo AG by Commerzbank, which are likely to generate dynamic momentum for the Bank and its business development.

2.5 Statement of “No Material Adverse Change”

14 There are no significant changes in the prospects of the Issuer since the date of its last published audited financial statements.

2.6 Management

The composition of the Board of Directors and the General Management is as follows:

Board of Directors

Henning Rasche Chairman Member of the Board of Managing Directors of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Dirk Wilhelm Schuh Vice Chairman Deputy Chairman of the Board of Managing Directors of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Reinolf Dibus Member of the Board of Managing Directors Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Wolfgang Groth Head of Treasury of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Hermann Vogt Head of Public Finance of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

15 Managing Directors

Reinolf Dibus, Treasury and Credits Member of the Board of Directors Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Walter Siemann, Internal Organisation Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Jean-Luc Spetz, Credit Risk Management, Legal, Compliance, Loan Administration Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

2.7 Annual Meetings The annual meeting of the shareholders takes place on 15 April of each year at the Issuer’s registered office or any other place in the Grand Duchy of Luxembourg specified in the invitation to the shareholders.

2.8 Conflict of interests There are no potential conflicts of interests between any duties owed by the members of the Board of Directors and the members of the General Management to the Issuer and any private interests or other duties which such person may have.

2.9 Major shareholder

The Issuer is part of Commerzbank Group. Since 31 March 2006 Commerzbank Group owns 98 per cent. of Eurohypo AG which in turn holds all but one share of the shares in the Issuer.

2.10 Financial information concerning the Issuer

Historical financial information : 2005 2004

Balance sheet figures as of December 31

Real estate financing 0 0

Public finance and other bonds: 21,106,657,033 14,021,536.1

16 Capital and reserves 254,151,380 250,513,880

Total assets 23,845,823,665 16,682,528,922

Figures from the income statement as of December 31

Net interest income: 32,806,543 25,744,340

Risk provisioning in lending business: 0 0

Commission income: 153,921 1,321

Administrative expenses: 7,294,440 6,847,562

Profit before tax: 26,523,457 18,053,665

2.11 Special auditor (Treuhänder) PricewaterhouseCoopers s.à.r.l., 400 route d’Esch, L-1471 Luxembourg, Luxembourg is the special auditor monitoring the Issuer’s collateral pool for Pfandbriefe (lettres de gage).

2.12 Auditors KPMG Audit Réviseurs d’Entreprises, 31, Allée Scheffer, L-2520 Luxembourg, Luxembourg member of the Luxembourg “Institut des Réviseurs d’Entreprises” are the Issuer’s independent auditors. They have audited the financial statements of the Issuer for the years 1999 until 2005 and have issued their unqualified opinion in each case.

2.13 Legal and arbitration proceedings During the last 12 months there have been no governmental, legal or arbitration proceedings (including any such proceedings which are pending or threatened of which the Issuer is aware) which may have, or have had in recent past, significant effects on the Issuer´s financial position or profitability.

2.14 Significant change in the Issuer’s financial position The Issuer achieved growth unequalled in its history. Total assets were up 43 per cent. from € 16.7 billion at 31 December 2004 to € 23.8 billion at the end of 2005. For the first time ever, the financial year ended with a profit after tax of more than € 20 million. This increase to 21.3 million from € 15.1 million the previous year represents growth of 36.3 per cent. ROE of 10.1 per cent. after tax means that Eurohypo Luxembourg has already achieved the 9 per cent. target in 2005, which the parent company had set for the financial year 2007.

3. Summary regarding the Pfandbriefe

3.1 Currencies Pfandbriefe may be issued in any currency as specified in the Final Terms.

17 3.2 Denominations of Pfandbriefe Pfandbriefe may be issued in any denomination as specified in the Final Terms.

3.3 Form Pfandbriefe may be issued in bearer form or registered form, as Mortgage Pfandbriefe (Hypothekenpfandbriefe - Lettres de Gage Hypothécaires) or Public Pfandbriefe (Öffentliche Pfandbriefe - Lettres de Gage Publiques).

3.4 Status Pfandbriefe constitute recourse obligations of the Issuer. They are secured or “covered” by separate pools of mortgage loans (in the case of Mortgage Pfandbriefe) or public loans (in case of the Public Pfandbriefe), the sufficiency of which is determined in the Luxembourg Pfandbrief Law (Loi du 21 Novembre 1997 relative aux banques émettrices de lettres de gage). The law also stipulates that in order to ensure global cover, in terms of both principal and interest, for the Pfandbriefe in circulation and other debts eligible for preferential treatment, the Issuer must take appropriate measures and may have recourse, in particular, to financial futures, including derivatives.The assets resulting from such measures must be included in the collateral pool required by law. Any sums payable by virtue of these measures enjoy, following set-off, as the case may be, the same preferential status as the Pfandbriefe.

3.5 Cash flow Statement The Issuer is a specialist provider of financing in the public sector. It engages solely in public sector financing activities and funds these activities primarily through the issuance of public Pfandbriefe (lettres de gage publiques) and repo business (repurchase transactions). The entire nominal value of Pfandbriefe in issue must be secured fully and at all times by appropriate cover collateral. The outstanding Pfandbriefe are covered by all collateral assets registered in the cover register. Claims are not allocated to a specific Pfandbrief or Series. The pool of claims is not static, but characterized by a constant flow of incoming and outgoing items. The Luxembourg Pfandbrief law states that Pfandbriefe in circulation and the assets that cover them, including the respective hedge derivatives, are not affected in case of the bank’s bankruptcy or a moratorium, but are treated as special funds. The final maturity and current servicing of Pfandbriefe are thus not influenced by bankruptcy of the issuing bank. Hence, cash flow statements are not pertinent for Holders of Pfandbriefe. A Holder of Pfandbriefe is mainly interested in the quality and the value of the assets in the collateral pool. An overview of the composition of the collateral pool is stated in the annual report (pages 48 and 49 in the Annual Report for the year 2004 and pages 52 and 53 in the Annual Report for the year 2005). In order to provide high transparency the Issuer provides on its regularly updated website "www.eurohypo.lu" comprehensive information about its business development and about the composition of the collateral pools.

3.6 Negative Pledge The Terms and Conditions of the Pfandbriefe do not provide for a negative pledge provision.

18 3.7 Fixed Rate Pfandbriefe Fixed Rate Pfandbriefe bear a fixed interest income throughout the entire term of the issue. Fixed interest will be payable on such basis as may be agreed between the Issuer and the relevant Dealer(s) (as specified in the applicable Final Terms). Fixed to Floating Rate Pfandbriefe may bear interest at a rate which is converted from a fixed rate to a floating rate, or from a floating rate to a fixed rate.

3.8 Step-Up and Step-Down Pfandbriefe Interest rates on Step-Up Pfandbriefe increase over the years, interest on Step-Down Pfandbriefe decrease over the years. The dates on which interest increases or decreases, respectively, and the interest rates are predetermined. There are also combinations of Step-Up and Step-Down Pfandbriefe, whereby the predetermined interest rate may increase or decrease from one year to another.

3.9 Floating Rate Pfandbriefe Floating Rate Pfandbriefe will bear interest at a rate determined (and as adjusted for any applicable margin) – on the same basis as the floating rate under a notional interest rate swap transaction in the relevant specified currency governed by an agreement incorporating the 2000 ISDA Definitions (as published by the International Swap and Derivatives Association, Inc., and as amended and updated as at the date on which the first tranche of the Pfandbriefe of the relevant Series is issued), – on the basis of a reference rate appearing on the agreed screen page of a commercial quotation service, or on such other basis as indicated in the applicable Final Terms. The margin, if any, relating to such floating rate will be agreed between the Issuer and the relevant Dealer(s) for each Tranche of Floating Rate Pfandbriefe. Interest periods for Floating Rate Pfandbriefe will be one, two, three, six or twelve months or such other period(s) as may be agreed between the Issuer and the relevant Dealer(s) (as specified in the applicable Final Terms).

3.10 Structured Floating Rate Pfandbriefe

Floating Rate Pfandbriefe may include multipliers or other leverage factors, or caps or floors, or any combination of those features or other similar related features.

3.11 Index Linked Redemption Pfandbriefe Payments of principal in respect of Index Linked Redemption Pfandbriefe will be calculated by reference to a single index or other factors (including changes in the price of securities and commodities or movements in exchange rates) and/ or such formula as may be specified by the Issuer and the relevant Dealer(s) (as indicated in the applicable Final Terms). Each nominal principal amount of Pfandbriefe equal to the lowest specified denomination specified in the applicable Final Terms will be redeemed by payment of the redemption amount specified in or as determined pursuant to provisions in the applicable Final Terms. Other provisions relating to Floating Rate Pfandbriefe and Index Linked Interest Pfandbriefe Floating Rate Pfandbriefe and Index-Linked Interest Pfandbriefe may also have a maximum interest rate, a minimum interest rate or both. Interest on Floating Rate Pfandbriefe and Index Linked Interest Pfandbriefe in respect of each Interest Period, as selected prior to issue by the Issuer and the relevant Dealer(s), will be payable on such Interest Payment Dates specified in, or determined pursuant to, the applicable Final Terms and will be calculated as specified in the applicable Final Terms.

19

3.12 Dual Currency Pfandbriefe Dual Currency Pfandbriefe are Pfandbriefe, where payment of principal and/or payment of interest can be made in different currencies. Payments (whether in respect of principal or interest and whether at maturity or otherwise) in respect of Dual Currency Pfandbriefe will be made in such currencies, and based on such rates of exchange, as the Issuer and the relevant Dealer(s) may agree (as specified in the applicable Final Terms).

3.13 Zero Coupon Pfandbriefe Zero Coupon Pfandbriefe will be offered and sold at a discount to their principal amount and will not bear interest other than in the case of late payment.

3.14 Redemption The applicable Final Terms will indicate either that the Pfandbriefe cannot be redeemed prior to their stated maturity or that such Pfandbriefe will be redeemable as set out in the Final Terms upon giving notice within the notice period (if any) indicated in the applicable Final Terms to the Holders, on a date or dates specified prior to such stated maturity and at a price or prices and on such terms as indicated in the applicable Final Terms. Any Pfandbriefe, the proceeds of which are to be accepted by the Issuer in the United Kingdom, which must be redeemed before the first anniversary of their date of issue shall (a) have a redemption value of not less than £ 100,000 (or an amount of equivalent value denominated wholly or partly in a currency other than Sterling), and (b) provide that no part of any such Pfandbriefe may be transferred unless the redemption value of that part is not less than £ 100,000 (or such an equivalent amount).

3.15 Taxation All payments in respect of the Pfandbriefe will be made without withholding or deduction at source for or on account of any present or future taxes or duties of whatever nature imposed or levied by or on behalf of Luxembourg or any political subdivision or any authority thereof or therein having power to tax unless such withholding or deduction is required by law. No additional amounts will be paid in this respect.

3.16 Events of default Pfandbriefe will not provide for events of default entitling Holders to demand immediate redemption of the Pfandbriefe. The Terms and Conditions of Pfandbriefe will not provide for a cross-default.

3.17 Governing law The Pfandbriefe will be governed by Luxembourg law.

3.18 Place of jurisdiction Non-exclusive place of jurisdiction for any legal proceedings arising under the Pfandbriefe, is the City of Luxembourg. Such place of jurisdiction is exclusive for legal proceedings brought by merchants

20 (Kaufleute), legal persons under public law, special funds under public law and persons not subject to the general jurisdiction of the courts of Luxembourg.

21 RISK FACTORS 1. Risk factors regarding the Issuer Eurohypo Europäische Hypothekenbank S.A. Luxembourg

General

The Issuer has a well established position in the public finance market. This market offers attractive opportunities and is characterized by low risk profiles but tough competition and tight margins. The Issuer has also the option to start operating in real estate finance, a business which implies more risks than public finance, but it does not intend to do so in the near future.

Business transactions are not possible without risks. There are many factors that contribute to a successful transaction and at each step in the process there can be mistakes, shortcomings or defaults. Risks can be defined as unexpected events and possible developments which have a negative impact on the achievement of aims and expectations. The Issuer constantly measures and monitors the risks arising from its business activities and seeks to minimize and control them in order to achieve an appropriate balance between the risks it can not avoid and profitable business transactions. It applies strict internal risk policy guidelines and limit structures in order to manage these inevitable risks as a protection against unexpected losses.

The Issuer is confronted with the following risks: Credit risk Credit risk is the risk that the counterparty to a transaction will fail to perform according to the terms and conditions of the contract. As a consequence the holder of the claim will suffer a loss pursuant to a default or a deterioration in the creditworthiness of a borrower.

Market risk

Market risk is the risk that the value of an investment will decrease due to moves in market factors and that these changes have a negative effect on the Issuer’s assets. The standard market risk factors which can affect the Issuer are interest rate risk, the risk that interest rates will change and currency risk, the risk that foreign exchange rates will change and the risk that prices of underlying investments and derivatives change.

Liquidity risk

Liquidity risk designates the possibility that payment obligations falling due cannot be fulfilled punctually and in the required amount.

Operational risk

All companies have operational risks. They arise as a result of shortcomings or errors in processes, controls or projects that are caused by technology, employees, organisation or external factors. These include for example criminal acts, insufficient controls, organisational shortcoming, incorrect reporting or events which lead to claims by third parties.

2. Risks factors regarding the Pfandbriefe

- Currency risk/Dual Currency Pfandbriefe

22 A Holder of Pfandbriefe denominated in a non-domestic currency and a Holder of Dual Currency Pfandbriefe is exposed to the risk of changes in currency exchange rates which may affect the yield of such Pfandbriefe. Changes in currency exchange rates result from various factors such as macro- economic factors, speculative transactions and interventions by central banks and governments.

A change in the value of any currency other than Euro against the Euro, for example, will result in a corresponding change in the Euro value of a Pfandbriefe denominated in a currency other than Euro and a corresponding change in the Euro value of interest and principal payments made in a currency other than Euro in accordance with the terms of such Pfandbriefe. If the underlying exchange rate falls and the value of the Euro correspondingly rises, the price of the Pfandbriefe and the value of interest and principal payments made thereunder expressed in Euro falls.

- Liquidity risk

Application has been made to list the Pfandbriefe on the Official List of the Luxembourg Stock Exchange and trade Pfandbriefe to be issued under the Programme on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission. In addition, the Programme provides that Pfandbriefe may be listed on an alternative stock exchange or may not be listed at all. Regardless of whether the Pfandbriefe are listed or not, there can be no assurance that a liquid secondary market for the Pfandbriefe will develop or, if it does develop, that it will continue. The fact that the Pfandbriefe may be listed does not necessarily lead to greater liquidity than if they were not listed. If the Pfandbriefe are not listed on any exchange, pricing information for such Pfandbriefe may, however, be more difficult to obtain which may affect the liquidity of the Pfandbriefe adversely. In an illiquid market, an investor might not be able to sell his Pfandbriefe at any time at fair market prices. The possibility to sell the Pfandbriefe might additionally be restricted by country specific reasons.

- Market Price Risk

The development of market prices of the Pfandbriefe depends on various factors, such as changes of market interest rate levels, the policy of central banks, overall economic developments, inflation rates or the lack of or excess demand for the relevant type of Pfandbriefe. The Holder of Pfandbriefe is therefore exposed to the risk of an unfavourable development of market prices of its Pfandbriefe which materialises if the holders sell the Pfandbriefe prior to the final maturity of such Pfandbriefe. If the Holder decides to hold the Pfandbriefe until final maturity the Pfandbriefe will be redeemed at the amount set out in the relevant Final Terms.

- Risk of Early Redemption

The applicable Final Terms will indicate whether the Issuer may have the right to call the Pfandbriefe prior to maturity. If the Issuer redeems the Pfandbriefe prior to maturity, a holder of such Pfandbriefe is exposed to the risk that due to early redemption his investment will have a lower than expected yield. The Issuer might exercise his optional call right if the yield on comparable Pfandbriefe in the capital market falls which means that the investor may only be able to reinvest the redemption proceeds in Pfandbriefe with a lower yield.

- Fixed Rate Pfandbriefe

A holder of Fixed Rate Pfandbriefe is exposed to the risk that the price of such Pfandbriefe falls as a result of changes in the market interest rate. While the nominal interest rate of Fixed Rate Pfandbriefe as specified in the applicable Final Terms is fixed during the life of such Pfandbriefe, the current interest rate on the capital market (“Market Interest Rate”) typically changes on a daily basis. As the market interest rate changes, the price of a Fixed Rate Pfandbriefe also changes, but in the opposite direction. If the market interest rate increases, the price of Fixed Rate Pfandbriefe typically falls, until the yield of such

23 Pfandbriefe is approximately equal to the market interest rate. If the market interest rate falls, the price of Fixed Rate Pfandbriefe typically increases, until the yield of such Pfandbriefe is approximately equal to the market interest rate. If the holder of a Fixed Rate Pfandbriefe holds such Pfandbriefe until maturity, changes in the market interest rate are without relevance to such holder as the Pafndbriefe will be redeemed at a specified redemption amount, usually the principal amount of such Pfandbrief.

- Floating Rate Pfandbriefe

A holder of Floating Rate Pfandbriefe is exposed to the risk of fluctuating interest rate levels and uncertain interest income. Fluctuating interest rate levels make it impossible to determine the yield of Floating Rate Pfandbriefe.

Floating Rate Pfandbriefe may be structured to include multipliers or other leverage factors, or caps or floors, or any combination of those features or other similar related features. In such case, the market value may be more volatile than those for Floating Rate Pfandbriefe that do not include these features. If the amount of interest payable is determined in conjunction with a multiplier greater than one or by reference to some other leverage factor, the effect of changes in the interest rates on interest payable will be increased. The effect of a cap is that the amount of interest will never rise above and beyond the predetermined cap, so that the holder will not be able to benefit from any actual favourable development beyond the cap. The yield could therefore be considerably lower than that of similar Floating Rate Pfandbriefe without a cap.

- General Risks in respect of Structured Pfandbriefe

In general, an investment in Pfandbriefe the premium and/or the interest and/or or principal of which is determined by reference to one or more values of currencies, commodities, interest rates or other indices or formulae, either directly or inversely, may entail significant risks not associated with similar investments in a conventional debt security. Such risks include the risks that the holder of such Pfandbriefe will receive no interest at all, or that the resulting interest rate will be less than that payable on a conventional debt security at the same time and/or that the holder of such Pfandbriefe could lose all or a substantial portion of the principal of his Pfandbriefe. In addition, investors should be aware that the market price of such Pfandbriefe may be very volatile (depending on the volatility of the relevant currency, commodity, interest rate, index or formula).

Neither the current nor the historical value of the relevant currencies, commodities, interest rates or other indices or formulae should be taken as an indication of future performance of such currencies, commodities, interest rates or other indices or formulae during the term of any Pfandbriefe.

- Inverse/Reverse Floating Rate Pfandbriefe

Inverse Floating Rate Pfandbriefe (also called Reverse Floating Rate Pfandbriefe) have an interest rate which is determinend as the difference between a fixed interest rate and a floating rate reference rate such as the Euro Interbank Offered Rate (EURIBOR) or the London Interbank Offered Rate (LIBOR) which means that interest income on such Pfandbriefe falls if the reference interest rate increases. Typically, the market value of Inverse Floating Rate Pfandbriefe is more volatile than the market value of other more conventional floating rate Pfandbriefe based on the same reference rate (and with otherwise comparable terms). Inverse Floating Rate Pfandbriefe are more volatile because an increase in the reference rate not only decreases the interest payable on the Pfandbriefe, but may also reflect an increase in prevailing interest rates, which may further adversely affect the market value of such Pfandbriefe.

- Index Linked Pfandbriefe

24 Index Linked Pfandbriefe may either be issued as Index Linked Interest Pfandbriefe where payments of interest will be made by reference to a single index or other factors (including changes in the price of securities and commodities or movements in exchange rates) and/or such formula as may be specified by the Issuer and the relevant Dealer(s) (as indicated in the applicable Final Terms) or as Index Linked Redemption Pfandbriefe where payment of principal will be calculated by reference to a single index or other factors (including changes in the price of securities and commodities or movements in exchange rates) and/or such formula as may be specified by the Issuer and the relevant Dealer (as indicated in the applicable Final Terms) or may be issued as a combination of Index Linked Interest Pfandbriefe and Index Linked Redemption Pfandbriefe.

If payment of interest is linked to a particular index, a Holder of Index Linked Interest Pfandbriefe is exposed to the risk of fluctuating interest rate levels and uncertain interest income or may even receive no interest at all which may have the effect that the yield of Index Linked Interest Pfandbriefe is negative. A Holder of an Index Linked Redemption Pfandbriefe, is exposed to the risk that the repayment amount is uncertain. Depending on the calculation of the repayment amount, the yield of Index Linked Redemption Pfandbriefe may be negative and an investor might lose the value of his entire investment or parts of it. The more volatile the relevant index is, the greater is the uncertainty in respect of interest income and repayment amount. Uncertainty with respect to interest and repayment amount make it impossible to determine the yield of Index-linked Pfandbriefe in advance.

- Zero Coupon Pfandbriefe

Zero Coupon Pfandbriefe do not pay current interest but are issued at a discount from their nominal value. Instead of periodical interest payments, the difference between the redemption price and the issue price constitutes interest income until maturity and reflects the market interest rate. A Holder of Zero Coupon Pfandbriefe is exposed to the risk that the price of such Pfandbriefe falls as a result of changes in the market interest rate. Prices of Zero Coupon Pfandbriefe are more volatile than prices of Fixed Rate Pfandbriefe and are likely to respond to a greater degree to market interest rate changes than interest bearing Pfandbriefe with a similar maturity.

25

ISSUE PROCEDURES

General

The Issuer and the relevant Dealer(s) will agree on the conditions of issue applicable to each particular Tranche of Pfandbriefe (the “Conditions”). The Conditions will be constituted by the terms and conditions of the Pfandbriefe set forth below (the “Terms and Conditions”) as completed, modified, supplemented or replaced by the provisions of the final terms (the “Final Terms”). The Final Terms relating to each Tranche of Pfandbriefe will specify whether the Conditions are to be Long-Form Conditions or Integrated Conditions (each as described below).

As to whether Long-Form Conditions or Integrated Conditions will apply, the Issuer anticipates that:

- Long-Form Conditions will generally be used for Pfandbriefe sold on a non-syndicated basis and which are not publicly offered.

- Integrated Conditions will generally be used for Pfandbriefe sold and distributed on a syndicated basis. Integrated Conditions will be required where the Pfandbriefe are to be publicly offered, in whole or in part, or are to be distributed, in whole or in part, to non-professional investors.

As to the governing law of Pfandbriefe, Pfandbriefe will be governed by Luxembourg law.

Long-Form Conditions

If the Final Terms specifies that Long-Form Conditions are to apply to the Pfandbriefe, the provisions of the applicable Final Terms and the Terms and Conditions, taken together, shall constitute the Conditions. Such Conditions will be constituted as follows:

- the blanks in the provisions of the Terms and Conditions which are applicable to the Pfandbriefe will be deemed to be completed by the information contained in the Final Terms as if such information were inserted in the blanks of such provisions;

- the Terms and Conditions will be modified, supplemented or replaced by the text of any provisions of the Final Terms modifying, supplementing or replacing, in whole or in part, the provisions of the Terms and Conditions;

- alternative or optional provisions of the Terms and Conditions as to which the corresponding provisions of the Final Terms are not completed or are deleted will be deemed to be deleted from the Conditions; and

- all instructions and explanatory notes set out in square brackets in the Terms and Conditions and any footnotes and explanatory text in the Final Terms will be deemed to be deleted from the Conditions.

Where Long-Form Conditions apply, each global certificate representing the Pfandbriefe of the relevant Series will have the Final Terms and the Terms and Conditions attached.

Integrated Conditions

If the Final Terms specifies that Integrated Conditions are to apply to the Pfandbriefe, the Conditions in respect of such Pfandbriefe will be constituted as follows:

- all of the blanks in all applicable provisions of the Terms and Conditions will be completed according to the information contained in the Final Terms and all non-applicable provisions of the Terms and

26 Conditions (including the instructions and explanatory notes set out in square brackets) will be deleted; and/or

- the Terms and Conditions will be otherwise modified, supplemented or replaced, in whole or in part, according to the information set forth in the Final Terms.

Where Integrated Conditions apply, the Integrated Conditions alone will constitute the Conditions. The Integrated Conditions and any translation thereof (if any) will be attached to the applicable Final Terms as well as to each global certificate representing Pfandbriefe of the relevant Series.

IN RESPECT OF PFANDBRIEFE IN REGISTERED FORM

The Programme provides that Pfandbriefe may be issued in registered form. The Issuer anticipates that Pfandbriefe in registered form will be privately placed on a non-syndicated basis with professional investors only. Any issue will regularly be evidenced by a single Instrument, the Conditions of which will generally be constituted by the Terms and Conditions as completed, modified, supplemented or replaced by the provisions of the Final Terms applicable to the issue. The Terms and Conditions and the Final Terms will be attached to the relevant global certificate representing the issue.

27 TERMS AND CONDITIONS OF THE PFANDBRIEFE

The Terms and Conditions of the Pfandbriefe (the “Terms and Conditions”) are set forth below in three Parts:

(a) Series of Pfandbriefe in bearer form (PART I).

(b) Series of Pfandbriefe in registered form to the extent that they supplement, replace or otherwise modify the provisions set out in Part I in respect of Pfandbriefe in bearer form (PART II).

(c) Series of Jumbo Pfandbriefe (PART III)

The Pfandbriefe issued under the Programme (except the Jumbo Pfandbriefe) are issued pursuant to an Amended and Restated Fiscal Agency Agreement dated 30 August 2006 (the “Agency Agreement”) between the Issuer and Deutsche Bank Aktiengesellschaft as fiscal agent (the “Fiscal Agent”) and the other parties named therein.

Copies of the Agency Agreement may be obtained free of charge from the specified offices of the Fiscal Agent, any Paying Agent and the Issuer.

PART I - TERMS AND CONDITIONS OF PFANDBRIEFE IN BEARER FORM

[In the case of Long-Form Conditions, insert:

The provisions of these Terms and Conditions apply as their “Conditions” to the Pfandbriefe as completed, modified, supplemented or replaced, in whole or in part, by the terms of the Final Terms which is attached hereto (the “Final Terms”). The blanks in the provisions of these Terms and Conditions shall be deemed to be completed by the information contained in the Final Terms as if such information were inserted in the blanks of such provisions; any provisions of the Final Terms modifying, supplementing or replacing, in whole or in part, the provisions of these Terms and Conditions shall be deemed to so modify, supplement or replace the provisions of these Terms and Conditions; alternative or optional provisions of these Terms and Conditions as to which the corresponding provisions of the Final Terms are not completed or are deleted shall be deemed to be deleted from these Terms and Conditions; and all provisions of these Terms and Conditions which are inapplicable to the Pfandbriefe (including instructions, explanatory notes and text set out in square brackets) shall be deemed to be deleted from these Terms and Conditions, as required to give effect to the terms of the Final Terms. Copies of the Final Terms may be obtained free of charge at the Specified office of the Fiscal Agent and at the specified office of any Paying Agent provided that, in the case of Pfandbriefe which are not listed on any stock exchange, copies of the relevant Final Terms will only be available to Holders of such Pfandbriefe.]

§ 1

CURRENCY, DENOMINATION, FORM, CERTAIN DEFINITIONS

(1) Currency; Denomination. This Series of [in the case of Mortgage Pfandbriefe insert: Mortgage Pfandbriefe (Hypothekenpfandbriefe)] [in the case of Public Pfandbriefe insert: Public Pfandbriefe (Öffentliche Pfandbriefe)] (the “Pfandbriefe”) of EUROHYPO Europäische Hypothekenbank S.A. (the “Issuer”) is being issued in [insert Specified Currency] (the “Specified Currency”) in the aggregate principal amount of [insert aggregate principal amount in figures] (in words: [insert aggregate principal amount in words]), each Pfandbrief having a transferable principal amount of [insert Specified Denomination] (the “Specified Denomination”). 28

(2) Form. The Pfandbriefe are being issued in bearer form.

[In the case of Pfandbriefe which initially are represented by a Permanent Global Pfandbrief insert:

(3) Permanent Global Pfandbrief. The Pfandbriefe are represented by a permanent global note (the “Permanent Global Pfandbrief”) without coupons. The Permanent Global Pfandbrief shall be signed manually or in facsimile by any two members of the Board of Directors of the Issuer and in each case by the special auditor (Treuhänder) appointed by the Commission de Surveillance du Secteur Financier (CSSF), shall carry a control signature and be authenticated by or on behalf of the Fiscal Agent. Definitive Pfandbriefe and interest coupons will not be issued. The Permanent Global Pfandbrief in NGN form which is intended to be held in a form that allows Eurosystem eligibility shall be effectuated by the entity appointed as common safekeeper by the relevant Clearing System]

[In the case of Pfandbriefe which are initially represented by a Temporary Global Pfandbrief insert:

(3) Temporary Global Pfandbrief – Exchange.

(a) The Pfandbriefe are initially represented by a temporary global note (the “Temporary Global Pfandbrief”) without coupons. The Temporary Global Pfandbrief will be exchangeable for Pfandbriefe in the Specified Denomination represented by a permanent global note (the “Permanent Global Pfandbrief”) without coupons. The Temporary Global Pfandbrief and the Permanent Global Pfandbrief shall each be signed manually or in facsimile by any two members of the Board of Directors of the Issuer and in each case by the special auditor (Treuhänder) appointed by the Commission de Surveillance du Secteur Financier (CSSF), shall each carry a control signature and be authenticated by or on behalf of the Fiscal Agent. Definitive Pfandbriefe and interest coupons will not be issued. The Temporary Global Pfandbrief in NGN form and the Permanent Global Pfandbrief in NGN form which are intended to be held in a form that allows Eurosystem eligibility shall be effectuated by the entity appointed as common safekeeper by the relevant Clearing System.

(b) The Temporary Global Pfandbrief shall be exchanged for the Permanent Global Pfandbrief on a date (the “Exchange Date”) not earlier than 40 days after the date of issue of the Temporary Global Pfandbrief. Such exchange shall only be made upon delivery of certifications to the effect that the beneficial owner or owners of the Pfandbriefe represented by the Temporary Global Pfandbrief is not a U.S. person (other than certain financial institutions or certain persons holding Pfandbriefe through such financial institutions). Payment of interest on Pfandbriefe represented by a Temporary Global Pfandbrief will be made only after delivery of such certifications. A separate certification shall be required in respect of each such payment of interest. Any such certification received on or after the 40th day after the date of issue of the Temporary Global Pfandbrief will be treated as a request to exchange such Temporary Global Pfandbrief pursuant to subparagraph (b) of this § 1 (3). Any Pfandbriefe delivered in exchange for the Temporary Global Note shall be delivered only outside of the United States (as defined in § 4 (3)).

(c) Upon exchange of a Temporary Global Pfandbrief for a Permanent Global Pfandbrief, the Fiscal Agent will be required to (i) make all notations on the Permanent Global Pfandbrief which is a CGN required by its terms and (ii) instruct Euroclear and Clearstream, Luxembourg to make appropriate entries in their records in respect of the Permanent Global Pfandbrief which is an NGN.

(4) Clearing System. The Permanent Global Pfandbrief will be kept in custody by or on behalf of the Clearing System until all obligations of the Issuer under the Pfandbriefe have been satisfied.

29 If the Global Pfandbrief is intended to be issued in NGN form, as stated in the applicable Final Terms, the NGN will be delivered on or prior to the original issue date to one of the common safekeepers appointed by Euroclear and Clearstream, Luxembourg and, if the Global Pfandbrief is intended to be issued in CGN form, the CGN will be delivered on or prior to the issue date to a common depositary for Euroclear and Clearstream, Luxembourg or to a depositary for any other clearing system as specified in the applicable Final Terms.

For Pfandbriefe in NGN form, the nominal amount of Pfandbriefe represented by this Global Pfandbrief shall be the aggregate amount from time to time entered into the records of both Euroclear and Clearstream, Luxembourg (each a “Relevant Clearing System” and together the “Relevant Clearing Systems”). The records of the relevant Clearing System shall be conclusive evidence of the nominal amount of Pfandbriefe represented by this Global Pfandbrief and for these purposes, a statement issued by the relevant Clearing System stating the nominal amount of Pfandbriefe represented by this Global Pfandbrief at any time shall be conclusive evidence of the records of the relevant Clearing System at that time.

“Clearing System” means [in the case of more than one Clearing System insert: each of] the following: [Clearstream Banking AG, Frankfurt am Main] [Clearstream Banking société anonyme, Luxembourg] [Euroclear Bank S.A./N.V., as operator of the Euroclear system] [Euroclear France] [SIS SegaInterSettle AG] [,] [and] [specify other Clearing System].

(5) Holder of Pfandbriefe. “Holder” means any holder of a proportionate co-ownership or other beneficial interest in the Pfandbriefe.

§ 2

STATUS

The obligations under the Pfandbriefe constitute unsubordinated obligations of the Issuer ranking pari passu among themselves. The Pfandbriefe are covered in accordance with the Luxembourg Mortgage Bank Act dated November 21, 1997 (Loi du 21 novembre 1997 relative aux banques d'émission de lettres de gage) (as amended), and rank at least pari passu with all other obligations of the Issuer under [in the case of Mortgage Pfandbriefe insert: Mortgage] [in the case of Public Pfandbriefe insert: Public] Pfandbriefe.

§ 3

INTEREST

[(A) In the case of Fixed Rate Pfandbriefe insert:

(1) Rate of Interest and Interest Payment Dates. The Pfandbriefe shall bear interest on their principal amount at the rate of [insert Rate of Interest] % per annum from (and including) [insert Interest Commencement Date] to (but excluding) the Maturity Date (as defined in § 5 (1)). Interest shall be payable in arrear on [insert Fixed Interest Date or Dates] in each year (each such date, an “Interest Payment Date”). The first payment of interest shall be made on [insert First Interest Payment Date].

(2) Accrual of Interest. The Pfandbriefe shall cease to bear interest from the expiry of the day preceding the day on which they are due for redemption. If the Issuer shall fail to redeem the Pfandbriefe when due, interest shall continue to accrue on the outstanding principal amount of the Pfandbriefe beyond the due date until the expiry of the day preceding the day of the actual redemption of the Pfandbriefe at the default rate of interest established by law.

30 (3) Calculation of Interest for Partial Periods. If interest is required to be calculated for a period of less than a full year, such interest shall be calculated on the basis of the Day Count Fraction (as defined below).]

[(B) In the case of Floating Rate Pfandbriefe insert:

(1) Interest Payment Dates.

(a) The Pfandbriefe bear interest on their principal amount from [insert Interest Commencement Date] (inclusive) (the “Interest Commencement Date”) to the first Interest Payment Date (exclusive) and thereafter from each Interest Payment Date (inclusive) to the next following Interest Payment Date (exclusive). Interest on the Pfandbriefe shall be payable on each Interest Payment Date.

(b) “Interest Payment Date” means

[in the case of Specified Interest Payment Dates insert: each [insert Specified Interest Payment Dates].]

[in the case of Specified Interest Periods insert: each date which (except as otherwise provided in these Conditions) falls [insert number] [weeks] [months] [insert other specified periods] after the preceding Interest Payment Date or, in the case of the first Interest Payment Date, after the Interest Commencement Date.]

(c) If any Interest Payment Date would otherwise fall on a day which is not a Business Day (as defined below), it shall be:

[if Modified Following Business Day Convention insert: postponed to the next day which is a Business Day unless it would thereby fall into the next calendar month, in which event the payment date shall be the immediately preceding Business Day.]

[if FRN Convention insert: postponed to the next day which is a Business Day unless it would thereby fall into the next calendar month, in which event (i) the payment date shall be the immediately preceding Business Day and (ii) each subsequent Interest Payment Date shall be the last Business Day in the month which falls [[insert number] months] [insert other specified periods] after the preceding applicable payment date.]

[if Following Business Day Convention insert: postponed to the next day which is a Business Day.]

[if Preceding Business Day Convention insert: the immediately preceding Business Day.]

(d) In this § 3 “Business Day” means [if the Specified Currency is not Euro insert: a day which is a day (other than a Saturday or a Sunday) on which commercial banks are generally open for business in, and foreign exchange markets settle payments in [insert all relevant financial centres]] [if the Specified Currency is Euro insert: a day on which the Clearing System as well as all relevant parts of the Trans-European Automated Real-time Gross Settlement Express Transfer System (“TARGET”) are operational to effect the relevant payment].

(2) Rate of Interest. [if Screen Rate Determination insert: The rate of interest (the “Rate of Interest”) for each Interest Period (as defined below) will, except as provided below, be the offered quotation (expressed as a percentage rate per annum) for deposits in the Specified Currency for that Interest Period which appears on the Screen Page as of 11:00 a.m. ([Brussels] [London] time) on the Interest Determination Date (as defined below) [if Margin insert: [plus] [minus] the Margin (as defined below)], all as determined by the Calculation Agent.

31 “Interest Period” means each period from (and including) the Interest Commencement Date to (but excluding) the first Interest Payment Date and from (and including) each Interest Payment Date to (but excluding) the following Interest Payment Date.

“Interest Determination Date” means the [second] [insert other applicable number of days] [TARGET] [London] [insert other relevant location] Business Day prior to the commencement of the relevant Interest Period. [in case of a TARGET Business Day insert: “TARGET Business Day“ means a day (other than a Saturday or Sunday) which is a day on which the Trans-European Automated Real- time Gross Settlement Transfer system (“TARGET”) is operating.] [in case of a non-TARGET Business Day insert: “[London] [insert other relevant location] Business Day” means a day (other than a Saturday or Sunday) which is a day on which commercial banks are open for business (including dealings in foreign exchange and foreign currency) in [London] [insert other relevant location].]

[If Margin insert: “Margin” means [•] % per annum.]

“Screen Page” means [insert relevant Screen Page].

[If another basis for determining the reference rate is to apply, insert full details herein and in the applicable Final Terms in lieu of the provisions of this subparagraph (2).]

If the Screen Page is not available or if no such quotation appears as at such time, the Calculation Agent shall request from five selected Reference Banks (as defined below) to provide the Calculation Agent with its offered quotation (expressed as a percentage rate per annum) for deposits in the Specified Currency for the relevant Interest Period to leading banks in the [London] interbank market [in the Euro-Zone] at approximately 11.00 a.m. [Brussels] [London] time) on the Interest Determination Date. If two or more of the Reference Banks provide the Calculation Agent with such offered quotations, the Rate of Interest for such Interest Period shall be the arithmetic mean of such offered quotations (rounded if necessary to the nearest one [if the Reference Rate is EURIBOR insert: thousandth of a percentage point, with 0.0005] [if the Reference Rate is not EURIBOR insert: hundred-thousandth of a percentage point, with 0.000005] being rounded upwards) [if Margin insert: [plus] [minus] the Margin].

If on any Interest Determination Date only one or none of the Reference Banks provides the Calculation Agent with such offered quotations as provided in the preceding paragraph, the Rate of Interest for the relevant Interest Period shall be the rate per annum which the Calculation Agent determines as being the arithmetic mean (rounded if necessary to the nearest one [if the Reference Rate is EURIBOR insert: thousandth of a percentage point, with 0.0005] [if the Reference Rate is not EURIBOR insert: hundred- thousandth of a percentage point, with 0.000005] being rounded upwards) of the rates, as communicated to (and at the request of) the Calculation Agent by the Reference Banks or any two or more of them, at which such banks were offered, as at 11.00 a.m. ([London] [Brussels] time) on the relevant Interest Determination Date, deposits in the Specified Currency for the relevant Interest Period by leading banks in the [London] interbank market [in the Euro-Zone] [if Margin insert: [plus] [minus] the Margin] or, if fewer than two of the Reference Banks provide the Calculation Agent with such offered rates, the offered rate for deposits in the Specified Currency for the relevant Interest Period, or the arithmetic mean (rounded as provided above) of the offered rates for deposits in the Specified Currency for the relevant Interest Period, at which, on the relevant Interest Determination Date, any one or more banks (which bank or banks is or are in the opinion of the Calculation Agent and the Issuer suitable for such purpose) inform(s) the Calculation Agent it is or they are quoting to leading banks in the [London] interbank market [in the Euro- Zone] (or, as the case may be, the quotations of such bank or banks to the Calculation Agent) [if Margin insert: [plus] [minus] the Margin]. If the Rate of Interest cannot be determined in accordance with the foregoing provisions of this paragraph, the Rate of Interest shall be the offered quotation or the arithmetic mean of the offered quotations on the Screen Page, as described above, on the last day preceding the

32 Interest Determination Date on which such quotations were offered [if Margin insert: [plus] [minus] the Margin] (though substituting, where a different Margin is to be applied to the relevant Interest Period from that which applied to the last preceding Interest Period, the Margin relating to the relevant Interest Period in place of the Margin relating to that last preceding Interest Period)].

As used herein, “Reference Banks” means [if no other Reference Banks are specified in the Final Terms, insert: those offices of four of such banks whose offered rates were used to determine such quotation when such quotation last appeared on the Screen Page [if other Reference Banks are specified in the Final Terms, insert names here].

[In the case of Euro-Zone interbank market insert: “Euro-Zone” means the region comprised of those member states of the European Union that have adopted, or will have adopted from time to time, the single currency in accordance with the Treaty establishing the European Community (signed in Rome on March 25, 1957), as amended by the Treaty on European Union (signed in Maastricht on February 7, 1992) and the Amsterdam Treaty of October 2, 1997, as further amended from time to time.]

[If Reference Rate is other than EURIBOR or LIBOR insert herein and in the applicable Final Terms relevant details in lieu of the provisions of this subparagraph (2)]

[If ISDA Determination applies insert the relevant provisions and attach the 2000 ISDA Definitions published by the International Swaps and Derivatives Association Inc.]

[If an other method of determination applies, insert herein and in the applicable Final Terms the relevant details in lieu of the provisions of this subparagraph (2)]

[If Minimum and/or Maximum Rate of Interest applies insert:

(3) [Minimum] [and] [Maximum] Rate of Interest.

[If Minimum Rate of Interest applies insert: If the Rate of Interest in respect of any Interest Period determined in accordance with the above provisions is less than [insert Minimum Rate of Interest], the Rate of Interest for such Interest Period shall be [insert Minimum Rate of Interest].]

[If Maximum Rate of Interest applies insert: If the Rate of Interest in respect of any Interest Period determined in accordance with the above provisions is greater than [insert Maximum Rate of Interest], the Rate of Interest for such Interest Period shall be [insert Maximum Rate of Interest].]

[(4)] Interest Amount. The Calculation Agent will, on or as soon as practicable after each time at which the Rate of Interest is to be determined, determine the Rate of Interest and calculate the amount of interest (the “Interest Amount”) payable on the Pfandbriefe for the relevant Interest Period. Each Interest Amount shall be calculated by applying the Rate of Interest and the Day Count Fraction (as defined below) to the aggregate principal amount of the Pfandbriefe and rounding the resultant figure to the nearest unit of the Specified Currency, with 0.5 of such unit being rounded upwards.

[(5)] Notification of Rate of Interest and Interest Amount. The Calculation Agent will cause the Rate of Interest, each Interest Amount for each Interest Period, each Interest Period and the relevant Interest Payment Date to be notified to the Issuer and to the Holders in accordance with § 9 as soon as possible after their determination, but in no event later than the fourth [TARGET] [London] [insert other relevant location] Business Day (as defined in § 3 (1)(d)) thereafter and, if required by the rules of any stock exchange on which the Pfandbriefe are from time to time listed, to such stock exchange, as soon as possible after their determination, but in no event later than the first day of the relevant Interest Period. Each Interest Amount and Interest Payment Date so notified may subsequently be amended (or appropriate alternative arrangements made by way of adjustment) without notice in the event of an

33 extension or shortening of the Interest Period. Any such amendment will be promptly notified to any stock exchange on which the Pfandbriefe are then listed and to the Holders in accordance with § 9.

[(6)] Determinations Binding. All certificates, communications, opinions, determinations, calculations, quotations and decisions given, expressed, made or obtained for the purposes of the provisions of this § 3 by the Calculation Agent shall (in the absence of manifest error) be binding on the Issuer, the Fiscal Agent, the Paying Agent[s]] and the Holders.

[(7)] Accrual of Interest. The Pfandbriefe shall cease to bear interest from the expiry of the day preceding the day on which they are due for redemption. If the Issuer shall fail to redeem the Pfandbriefe when due, interest shall continue to accrue on the outstanding principal amount of the Pfandbriefe beyond the due date until the expiry of the day preceding the day of actual redemption of the Pfandbriefe. The applicable Rate of Interest is the default rate of interest established by law.]

[(C) In the case of Zero Coupon Pfandbriefe insert:

(1) No Periodic Payments of Interest. There will not be any periodic payments of interest on the Pfandbriefe.

(2) Accrual of Interest. If the Issuer shall fail to redeem the Pfandbriefe when due, interest shall accrue on the outstanding principal amount of the Pfandbriefe as from the due date to the date of actual redemption at the default rate of interest established by law.]

[In the case of Index Linked Pfandbriefe, Equity Linked Pfandbriefe, Dual Currency Pfandbriefe or other Structured Pfandbriefe, insert full details herein and in the applicable Final Terms].

[(•)] Day Count Fraction. “Day Count Fraction” means, in respect of the calculation of an amount of interest on any Pfandbrief for any period of time (the “Calculation Period”):

[if Actual/Actual (ICMA Rule 251) insert: the actual number of days in the Calculation Period divided by the actual number of days in the respective interest period.]

[if Actual/Actual (ICMA) with two or more constant interest periods within an interest year insert: the number of days in the Calculation Period divided by (x) in the case of Pfandbriefe where interest is scheduled to be paid only by means of regular annual payments, the number of days in the Interest Period or (y) in the case of Pfandbriefe where interest is scheduled to be paid other than only by means of regular annual payments, the product of the number of days in the Interest Period and the number of Interest Payment Dates that would occur in one calendar year assuming interest was to be payable in respect of the whole of that year.] [in the case of first/last short or long Interest Periods insert appropriate Actual/Actual method]

[if Actual/Actual (ISDA) is applicable insert: the actual number of days in the Calculation Period divided by 365 (or, if any portion of that Calculation Period falls in a leap year, the sum of (A) the actual number of days in that portion at the Calculation Period falling in a leap year divided by 366 and (B) the actual number of days in that portion of the Calculation Period falling in a non-leap year divided by 365).]

[if Actual/365 (Fixed) insert: the actual number of days in the Calculation Period divided by 365.]

[if Actual/360 insert: the actual number of days in the Calculation Period divided by 360.]

[if 30/360, 360/360 or Bond Basis insert: the number of days in the Calculation Period divided by 360, the number of days to be calculated on the basis of a year of 360 days with twelve 30-day months (unless (A) the last day of the Calculation Period is the 31st day of a month but the first day of the Calculation Period is a day other than the 30th or 31st day of a month, in which case the month that includes that last day shall not be considered to be shortened to a 30-day month, or (B) the last day of the Calculation

34 Period is the last day of the month of February in which case the month of February shall not be considered to be lengthened to a 30-day month).]

[if 30E/360 or Eurobond Basis insert: the number of days in the Calculation Period divided by 360 (the number of days to be calculated on the basis of a year of 360 days with twelve 30-day months, without regard to the date of the first day or last day of the Calculation Period, unless, in the case of the final Calculation Period, the Maturity Date is the last day of the month of February, in which case the month of February shall not be considered to be lengthened to a 30-day month)].

§ 4

PAYMENTS

(1) Payment. Payment in respect of Pfandbriefe shall be made, subject to subparagraph (2) below, to the Clearing System or to its order for credit to the accounts of the relevant account holders of the Clearing System in the case of payments of interest against presentation and in the case of payments of principal upon presentation and (except in the case of partial payment) surrender of the Permanent Global Pfandbrief at the Fiscal Agent outside the United States. [In the case of interest payable on a Temporary Global Pfandbrief insert: Payment of interest on Pfandbriefe represented by a Temporary Global Pfandbrief shall be made, subject to subparagraph (2) below, to the Clearing System or to its order for credit to the accounts of the relevant account holders of the Clearing System, upon due certification as provided in § 1 (3) (b).

On the occasion of each payment in respect of Pfandbriefe represented by a Global Pfandbrief in NGN form, the Fiscal Agent shall instruct Euroclear and Clearstream, Luxembourg to make the appropriate entries in their records to reflect such payment.

(2) Manner of Payment. Subject to applicable fiscal and other laws and regulations, payments of amounts due in respect of the Pfandbriefe shall be made in the legal currency which on the respective due date is the currency of the country of the Specified Currency.

(3) United States. For purposes of these Terms and Conditions, “United States” means the United States of America (including the States thereof and the District of Columbia) and its possessions (including Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, Wake Island and Northern Mariana Islands).

(4) Discharge. The Issuer shall be discharged by payment to, or to the order of, the Clearing System.

(5) Payment Business Day. If the date for payment of any amount in respect of any Pfandbrief is not a Payment Business Day then the Holder shall not be entitled to payment until the next such day in the relevant place and shall not be entitled to further interest or other payment in respect of such delay. For these purposes, “Payment Business Day” means a day which is a day (other than a Saturday or a Sunday) on which the Clearing System as well as commercial banks and foreign exchange markets settle payments in the relevant place of presentation [if the Specified Currency is not Euro insert: and on which commercial banks and foreign exchange markets are open for business and settle payments in [insert all relevant financial centres]] [in the case of Pfandbriefe denominated in Euro insert: and on which all relevant parts of the Trans-European Automated Real-time Gross Settlement Express Transfer System (“TARGET”) are operational to forward the relevant payment].

(6) References to Principal. Reference in these Conditions to principal in respect of the Pfandbriefe shall be deemed to include, as applicable: any Redemption Amount of the Pfandbriefe pursuant to § 5; [in the case of Instalment Pfandbriefe insert: the Instalment Amount(s) of the Pfandbriefe;] and any premium and any other amounts which may be payable under or in respect of the Pfandbriefe.

35 § 5

REDEMPTION

[(1)] Redemption at Maturity. [In the case of Pfandbriefe other than Instalment Pfandbriefe insert: Unless previously redeemed in whole or in part, the Pfandbriefe shall be redeemed at their Final Redemption Amount on [in the case of a specified Maturity Date insert such Maturity Date] [in the case of a Redemption Month insert: the Interest Payment Date falling in [insert Redemption Month]] (the “Maturity Date”). The Final Redemption Amount in respect of each Pfandbrief shall be [if the Pfandbriefe are redeemed at their principal amount insert: its principal amount] [otherwise insert Final Redemption Amount per denomination].]

[In the case of Instalment Pfandbriefe insert:

Unless previously redeemed in whole or in part, the Pfandbriefe shall be redeemed at the Instalment Date(s) and in the Instalment Amount(s) set forth below:

Instalment Date(s) Instalment Amount(s) [insert Instalment Date(s)] [insert Instalment Amount(s)] [ ] [ ] [ ] [ ]

[If Pfandbriefe are subject to Early Redemption at the Option of the Issuer insert:

[(2)] Early Redemption at the Option of the Issuer.

(a) The Issuer may, upon notice given in accordance with clause (b), redeem all or some only of the Pfandbriefe on the Redemption Date(s) at the Redemption Amount(s) set forth below together with accrued interest, if any, to (but excluding) the Redemption Date. [If Minimum Redemption Amount or Higher Redemption Amount applies insert: Any such redemption must be of a principal amount equal to [at least [insert Minimum Redemption Amount]] [insert Higher Redemption Amount].]

Redemption Date(s) Redemption Amount(s) [insert Redemption Date(s)] [insert Redemption Amount(s)] [ ] [ ] [ ] [ ]

(b) Notice of redemption shall be given by the Issuer to the Holders of the Pfandbriefe in accordance with § 10. Such notice shall specify:

(i) the Series of Pfandbriefe subject to redemption;

(ii) whether such Series is to be redeemed in whole or in part only and, if in part only, the aggregate principal amount of the Pfandbriefe which are to be redeemed;

(iii) the Redemption Date, which shall be not less than [insert Minimum Notice to Holders] nor more than [insert Maximum Notice to Holders] days after the date on which notice is given by the Issuer to the Holders; and

(iv) the Redemption Amount at which such Pfandbriefe are to be redeemed.

(c) In the case of a partial redemption of Pfandbriefe, Pfandbriefe to be redeemed shall be selected in accordance with the rules of the relevant Clearing System.

36 For NGNs, the Fiscal Agent shall instruct Euroclear and Clearstream, Luxembourg to make appropriate entries in their records as either in a nominal reduction or as a pool factor, at their discretion, in respect of all Pfandbriefe redeemed by the Issuer to reflect such redemptions.]

[In the case of Index Linked Pfandbriefe, Equity Linked Pfandbriefe, Dual Currency Pfandbriefe or other Structured Pfandbriefe, insert full details herein and in the applicable Final Terms.]

§6

PRESCRIPTION

Pfandbriefe will become void unless presented for payment within 10 years (in the case of principal) or five years (in the case of interest) from the due date in respect thereof.

§ 7

FISCAL AGENT [,] [AND] PAYING AGENT[S] [AND CALCULATION AGENT]

(1) Appointment. The initial Fiscal Agent [,] [and] Paying Agent[s] [and the Calculation Agent] and their respective initial specified offices are:

Fiscal Agent: Deutsche Bank Aktiengesellschaft Corporate Trust & Agency Services Operations Frankfurt Grosse Gallusstrasse 10–14 D-60272 Frankfurt am Main

Paying Agent[s]: Deutsche Bank Luxembourg S.A. 2, Boulevard Konrad Adenauer L-1115 Luxembourg]

[insert other Paying Agents and specified offices]

Calculation Agent: Deutsche Bank Aktiengesellschaft Corporate Trust & Agency Services Operations Frankfurt Grosse Gallusstrasse 10–14 D-60272 Frankfurt am Main]]

The Fiscal Agent [,] [and] the Paying Agent[s] [and the Calculation Agent] reserve the right at any time to change their office to some other office in the same city.

(2) Variation or Termination of Appointment. The Issuer reserves the right at any time to vary or terminate the appointment of the Fiscal Agent or any Paying Agent [or the Calculation Agent] and to appoint another Fiscal Agent or additional or other Paying Agents [or another Calculation Agent]. The Issuer shall at all times maintain (i) a Fiscal Agent [in the case of Pfandbriefe listed on a stock exchange insert: [,] [and] (ii) so long as the Pfandbriefe are listed on the [name of Stock Exchange], a Paying Agent (which may be the Fiscal Agent) with a specified office in [location of Stock Exchange] and/or in such other place as may be required by the rules of such stock exchange] [in the case of payments in U.S. dollars insert: [,] [and] [(iii)] if payments at or through the offices of all Paying Agents outside the United States become illegal or are effectively precluded because of the imposition of exchange controls or similar restrictions on the full payment or receipt of such amounts in United States dollars, a Paying Agent with a specified office in New York City] [if any Calculation Agent is to be appointed insert: [,] [and] [(iv)] a Calculation Agent [if Calculation Agent is required to maintain a Specified Office in a Required Location insert: with a 37 specified office located in [insert Required Location]]. Any variation, termination, appointment or change shall only take effect (other than in the case of insolvency, when it shall be of immediate effect) after not less than 30 nor more than 45 days’ prior notice thereof shall have been given to the Holders in accordance with § 10.

(3) Agents of the Issuer. The Fiscal Agent[,] [and] the Paying Agent[s] [and the Calculation Agent] act solely as agents of the Issuer and do not have any obligations towards or relationship of agency or trust to any Holder.

§ 8

TAXATION

All payments of principal and interest in respect of the Pfandbriefe shall be made with deduction of taxes, duties or governmental charges if such deduction is required by law. No additional amounts will be paid to the Holders to reimburse them for any tax required to be withheld or deducted from payments in respect of the Pfandbriefe.

§ 9

FURTHER ISSUES

The Issuer reserves the right from time to time without the consent of the Holders to issue additional Pfandbriefe with identical terms, so that the same can be consolidated, form a single series (a “Series”) with and increase the aggregate principal amount of these Pfandbriefe. The term “Pfandbriefe” shall, in the event of such increase, also comprise such additionally issued Pfandbriefe.

§ 10

NOTICES

(1) Publication. All notices concerning the Pfandbriefe shall be published either in a leading daily newspaper having general circulation in [Luxembourg] [Germany] [specify other location] or on the website of the Luxembourg Stock Exchange (www.bourse.lu). These newspapers are expected to be [the Börsen-Zeitung] [d’ Wort] [insert other applicable newspaper having general circulation]. Any notice so given will be deemed to have been validly given on the date of such publication (or, if published more than once, on the date of the first such publication).

(2) Notification to Clearing System. The Issuer may, in lieu of publication in the newspapers set forth in subparagraph (1) above, deliver the relevant notice to the Clearing System, for communication by the Clearing System to the Holders, provided that, so long as any Pfandbriefe are listed on any stock exchange, the rules of such stock exchange permit such form of notice. Any such notice shall be deemed to have been given to the Holders on the seventh day after the day on which the said notice was given to the Clearing System. [In the case of Pfandbriefe which are listed on the Luxembourg Stock Exchange insert: So long as any Pfandbriefe are listed on the Luxembourg Stock Exchange, all notices concerning the Pfandbriefe shall be published in accordance with subparagraph (1).]

§ 11

APPLICABLE LAW AND PLACE OFJURISDICTION

(1) Applicable Law. The Pfandbriefe shall be governed by the laws of Luxembourg.

(2) Place of Jurisdiction. Place of jurisdiction for all proceedings arising from matters provided for in these Conditions shall be the City of Luxembourg.

38 PART II SUPPLEMENT TO THE TERMS AND CONDITIONS OF PFANDBRIEFE – PFANDBRIEFE IN REGISTERED FORM

The instructions given below refer to the Terms and Conditions of Pfandbriefe in Bearer Form set out in PART I above. In the case of a registered Pfandbrief, the Terms and Conditions set out in Part I are modified in accordance with the instructions below, subject to all the terms of the applicable Final Terms.

[§ 1 (CURRENCY, DENOMINATION, FORM, CERTAIN DEFINITIONS) to be replaced in its entirety by the following:

§ 1

CURRENCY, FORM, TRANSFERS, CERTAIN DEFINITIONS

(1) Currency and Principal Amount. This registered [Mortgage Pfandbrief (Hypothekenpfandbrief)] [Public Pfandbrief (Öffentlicher Pfandbrief)] (the “Pfandbrief”) of EUROHYPO Europäische Hypothekenbank S.A. (the “Issuer”) is being issued in [insert Specified Currency] (the “Specified Currency”) in the principal amount of [insert principal amount in figures] (in words: [insert principal amount in words]).

(2) Form. This Pfandbrief is being issued in registered form and is signed manually by two authorised representatives of the Issuer (one of these representatives has to be a director “Geschäftsführer”) and in each case by the special auditor (Treuhänder) appointed by the Commission de Surveillance du Secteur Financier (CSSF) and authenticated by or on behalf of the Fiscal Agent.

(3) Transfer.

(a) The rights of the Holder evidenced by this Pfandbrief and title to this Pfandbrief itself pass by assignment and registration in the Register. Except as ordered by a court of competent jurisdiction or as required by law, the Issuer and the Fiscal Agent shall deem and treat the registered holder of this Pfandbrief as the absolute Holder thereof and of the rights evidenced thereby.

(b) The rights of the Holder evidenced by this Pfandbrief and title to this Pfandbrief itself may be transferred in whole or in part upon the surrender of this Pfandbrief together with the form of assignment endorsed on it duly completed and executed. In the case of a transfer of part only of this Pfandbrief, a new Pfandbrief in respect of the balance not transferred will be issued to the transferor. Any transfer of part only of this Pfandbrief is permitted only for a minimum principal amount of [insert Specified Currency and such Minimum Principal Amount] or an integral multiple thereof.

(c) Each new Pfandbrief to be issued upon transfer of this Pfandbrief will, within seven business days (being, for the purposes of this subsection, a day other than a Saturday or Sunday, on which banks are open for business) of delivery of this Pfandbrief and the duly completed and executed form of assignment, at the request of the Holder making such delivery and as specified in the relevant form of assignment, be mailed at the risk of the Holder entitled to the new Pfandbrief to such address as may be specified in the form of assignment.

(d) Transfers will be effected without charge by or on behalf of the Issuer, but upon payment (or the giving of such indemnity as the Issuer may require in respect) of any tax or other duties which may be imposed in relation to it.

39 (e) The Holder may not require the transfer of this Pfandbrief registered (i) during a period of 15 days ending on the due date for any payment of principal, (ii) during the period of 15 days prior to any date on which this Pfandbrief may be redeemed at the option of the Issuer, or (iii) after this Pfandbrief has been called for redemption in whole or in part.

(4) Certain Definitions. For purposes of these Terms and Conditions:

“Holder” means the registered holder of this Pfandbrief. Any reference herein to “Holders” in plural form shall constitute a reference to “Holder” in singular form.

“Register” means the register to be maintained in relation to this Pfandbrief and any other registered Pfandbriefe that may be issued under the Debt Issuance Programme.

(5) References to Pfandbriefe. Any reference herein to “Pfandbrief” or “this Pfandbrief” includes, unless the context otherwise requires, any new Pfandbrief that has been issued upon transfer of this Pfandbrief or part thereof. Any reference herein to “Pfandbriefe” or “these Pfandbriefe” in plural form shall constitute a reference to “Pfandbrief” or “this Pfandbrief” in singular form. All grammatical and other changes required by the use of the word “Pfandbrief” in singular form shall be deemed to have been made herein and the provisions hereof shall be applied so as to give effect to such change.]

[§ 4 (PAYMENTS) to be replaced in its entirety by the following:

§ 4

PAYMENTS

(1) General. Payment of principal and interest in respect of this Pfandbrief shall be made on the respective due date therefor to the person shown on the Register as the Holder at the close of business on the fifteenth day before such due date (the “Record Date”).

(2) Manner of Payment. Subject to applicable fiscal and other laws and regulations, payment shall be made in the freely negotiable and convertible currency of the country of the Specified Currency.

[if the Specified Currency is not Euro insert: by wire transfer to an account denominated in the Specified Currency maintained by the payee with a bank in the principal financial centre of the country of the Specified Currency notified to the Fiscal Agent no later than three days prior to the Record Date.]

[if the Specified Currency is Euro insert: by same-day transfer to a Euro account maintained by the payee with a bank in a principal financial centre of a country which has become a participating member state in European Economic and Monetary Union notified to the Fiscal Agent no later than three days prior to the Record Date.]

(3) Payment Business Days. If the date for payment of any sum due hereunder is not a day on which commercial banks are open for business in the principal financial centre of the country where the account of the payee is maintained in accordance with the foregoing the Holder shall not be entitled to payment until the next following day on which such commercial banks are open for business nor to any interest or other sum in respect of such postponed payment.]

(4) References to Principal. Reference in these Conditions to principal in respect of this Pfandbrief shall be deemed to include, as applicable: the Redemption Amount of this Pfandbrief; [in the case of Instalment Pfandbriefe insert: the Instalment Amount(s) of this Pfandbrief;] and any premium and any other amounts which may be payable under or in respect of this Pfandbrief.

[§ 7 (FISCAL AGENT, [,] [AND] PAYING AGENTS [AND CALCULATION AGENT]) to be replaced in its entirety by the following:

40 § 7

PAYING AGENT [AND] [,][AND CALCULATION AGENT]

(1) Appointment. The initial paying agent [,] [and the Calculation Agent] and their respective initial offices are:

Registrar acting as paying agent: Eurohypo Europäische Hypothekenbank S.A. Airport Center 5, rue Heienhaff L-1736 Luxembourg

Calculation Agent: Deutsche Bank Aktiengesellschaft Corporate Trust & Agency Services Operations Frankfurt Grosse Gallusstrasse 10-14 D-60272 Frankfurt am Main]

The Fiscal Agent [,] [and the Calculation Agent] reserve the right at any time to change their respective offices to some other specified office in the same city.

(2) Variation or Termination of Appointment. The Issuer reserves the right at any time to vary or terminate the appointment of the paying agent [,] [or the Calculation Agent] and to appoint another paying agent [,] [or Calculation Agent]. The Issuer shall at all times maintain a paying agent [and a Calculation Agent]. Any variation, termination, appointment or change shall only take effect (other than in the case of insolvency, when it shall be of immediate effect) after not less than 30 nor more than 45 days’ prior written notice thereof shall have been given to the Holder in accordance with § 10.

(3) Agents of the Issuer. The paying agent [,] [ [and the Calculation Agent] act solely as agents of the Issuer and do not assume any obligations towards or relationship of agency or trust for the Holder.]

[§ 9 (FURTHER ISSUES) to be replaced in its entirety by the following:

§ 9

REPLACEMENT OF CERTIFICATE

If this Pfandbrief is lost, stolen, mutilated, defaced or destroyed, it may be replaced upon payment by the applicant of such costs and expenses as may be incurred in connection therewith and on such terms as to evidence and indemnity as the Issuer may reasonably require. A mutilated or defaced Pfandbrief must be surrendered before a replacement will be issued.]

[§ 10 (NOTICES) to be replaced in its entirety by the following:

§ 10

NOTICES

Notices to the Holder may be given, and are valid if given, by post or telefax at the address, or telefax number of the Holder appearing in the Register.]

41

PART III - TERMS AND CONDITIONS OF THE JUMBO PFANDBRIEFE

A. PFANDBRIEFBEDINGUNGEN

§ 1 (Form und Nennbetrag)

(1) Die von der EUROHYPO Europäische Hypothekenbank S.A., Société anonyme, Luxemburg, (nach- stehend die "Emittentin" genannt) begebenen 4,25% Lettres de Gage Publiques, Série 123 – Luxemburger Öffentliche Pfandbriefe von 2003/2018, im Gesamtnennbetrag von bis zu

€ 2.000.000.000,- (in Worten: zwei Milliarden Euro)

sind eingeteilt in bis zu 2.000.000 auf den Inhaber lautende, untereinander gleichberechtigte Lettres de Gage Publiques – Luxemburger Öffentliche Pfandbriefe (nachstehend die "Jumbo Pfandbriefe" oder die "Emission" genannt) im Nennbetrag von je € 1.000,-.

(2) Die Jumbo Pfandbriefe samt Zinsansprüchen sind für die gesamte Laufzeit in einer auf den Inhaber lautenden Sammelurkunde (die "Sammelurkunde") ohne Zinsscheine verbrieft und ausgeführt, die spätestens am Valutatag der jeweiligen Tranche bei einer von Clearstream Banking, société anonyme und Euroclear Bank S.A./N.V. als Betreiber des Euroclear Systems (zusammen die "Clearing Systeme") bestellten gemeinsamen Verwahrstelle hinterlegt wird.

(3) Die Lieferung effektiver Pfandbriefe oder Zinsscheine oder die Umschreibung eines Pfandbriefs auf den Namen eines bestimmten Berechtigten kann während der gesamten Laufzeit der Emission nicht verlangt werden. Den Inhabern der Pfandbriefe (nachstehend "Pfandbriefgläubiger" genannt) stehen Miteigentumsanteile an der Sammelurkunde zu, die gemäß den Regelungen und Bestimmungen der Clearing Systeme übertragen werden können.

(4) Die Sammelurkunde trägt die eigenhändige Unterschrift zweier Verwaltungsratsmitglieder der Emittentin und des von der Commission de Surveillance du Secteur Financier (CSSF) bestellten Treuhänders (réviseur spécial) und ist mit einer Kontrollunterschrift versehen.

§ 2 (Verzinsung)

(1) Die Jumbo Pfandbriefe werden vom 4. Juni 2003 (einschließlich) bis zum 4. Juni 2018 (ausschließlich) mit jährlich 4,25 % verzinst. Die Zinsen sind jährlich nachträglich am 4. Juni eines jeden Jahres zahlbar (jeweils ein "Zinsfälligkeitstag"). Die erste Zinszahlung erfolgt am 4. Juni 2004 für den Zeitraum vom 4. Juni 2003 (einschließlich) bis zum 4. Juni 2004 (ausschließlich).

(2) Der Zinslauf der Jumbo Pfandbriefe endet mit Ablauf des Tages, der dem Tag vorangeht, an dem sie zur Rückzahlung fällig werden. Falls die Emittentin die Jumbo Pfandbriefe bei Fälligkeit nicht einlöst, endet die Verzinsung des ausstehenden Nennbetrages der Jumbo Pfandbriefe nicht am Tag der Fälligkeit, sondern erst mit Ablauf des Tages, der dem Tag der tatsächlichen Rückzahlung der Jumbo Pfandbriefe vorangeht.

(3) Zinsen, die auf einen Zeitraum von weniger als einem Jahr zu berechnen sind, werden auf Basis der tatsächlich verstrichenen Tage, geteilt durch die Anzahl der Tage in der jeweiligen Zinsperiode berechnet (Actual/Actual (ICMA)). Als Zinsperiode wird der Zeitraum zwischen einem Zinstermin (einschließlich) und dem nächstfolgenden Zinstermin (ausschließlich) bzw. dem Beginn der Verzinsung (einschließlich) und dem ersten Zinstermin (ausschließlich) bezeichnet.

§ 3 (Fälligkeit, Kündigung) 42

(1) Die Jumbo Pfandbriefe werden am 4. Juni 2018 (der "Endfälligkeitstag") zum Nennbetrag zurückgezahlt.

(2) Sollte ein Zinsfälligkeitstag oder der Endfälligkeitstag kein Geschäftstag (wie nachstehend definiert) sein, so erfolgt die betreffende Zahlung von Zinsen bzw. Kapital am nächstfolgenden Geschäftstag, ohne dass hieraus weitere Ansprüche auf Zinsen erwachsen. "Geschäftstag" ist ein Tag, an dem das Trans-European Automated Real-Time Gross Settlement Express Transfer System (TARGET) geöffnet ist und Zahlungen abwickelt.

(3) Die Jumbo Pfandbriefe sind sowohl für die Emittentin als auch für die Pfandbriefgläubiger unkündbar.

§ 4 (Zahlungen)

Sämtliche gemäß den Pfandbriefbedingungen zahlbaren Beträge sind von der Emittentin an die Deutsche Bank Aktiengesellschaft, Frankfurt am Main, in ihrer Funktion als Emissionsstelle, zur Weiterleitung an die Deutsche Bank Luxembourg S.A. als weitere Zahlstelle sowie die Clearing Systeme zwecks Gutschrift auf die Konten der jeweiligen Depotbanken zur Weiterleitung an die Pfandbriefgläubiger zu zahlen.

§ 5 (Status)

Die Jumbo Pfandbriefe begründen nicht nachrangige Verbindlichkeiten der Emittentin, die untereinander gleichrangig sind. Die Jumbo Pfandbriefe sind nach Maßgabe der Bestimmungen des luxemburgischen Hypothekenbankgesetzes vom 21. November 1997 (wie abgeändert) über Öffentliche Pfandbriefe gedeckt und stehen mindestens im gleichen Rang mit allen anderen Verpflichtungen der Emittentin aus Öffentlichen Pfandbriefen.

§ 6 (Bekanntmachungen)

Alle die Jumbo Pfandbriefe betreffenden Bekanntmachungen werden in jeweils in einer führenden Tageszeitung mit allgemeiner Verbreitung in Luxemburg, voraussichtlich im “d’ Wort” oder dem “Tageblatt“, veröffentlicht.

§ 7 (Begebung weiterer Pfandbriefe)

Die Emittentin behält sich vor, von Zeit zu Zeit ohne Zustimmung der Pfandbriefgläubiger weitere Lettres de Gage Publiques – Luxemburger Öffentliche Pfandbriefe mit gleicher Ausstattung in der Weise zu begeben, daß sie mit diesen Jumbo Pfandbriefen zusammengefaßt werden, eine einheitliche Emission mit ihnen bilden und ihren Gesamtnennbetrag erhöhen. Der Begriff "Jumbo Pfandbriefe" umfaßt im Fall einer solchen Erhöhung auch solche zusätzlich begebenen Pfandbriefe.

§ 8

(Anwendbares Recht, Gerichtsstand)

(1) Form und Inhalt der Jumbo Pfandbriefe, die Rechte und Pflichten der Pfandbriefgläubiger und der Emittentin bestimmen sich in jeder Hinsicht nach dem Recht des Grossherzogtums Luxemburg.

(2) Gerichtsstand für alle Rechtsstreitigkeiten aus den in diesen Pfandbriefbedingungen geregelten Angelegenheiten ist Luxemburg-Stadt.

43

B. Terms and Conditions of the Pfandbriefe

(non-binding translation)

§ 1

(Form and denomination)

(1) The 4,25% Lettres de Gage Publiques, Series 123 - Luxembourg Public Pfandbriefe (Öffentliche Pfandbriefe) 2003/2018, in the total nominal amount of up to

€ 2,000,000,000,000,-

(two billion Euro)

are divided into up to 2,000,000 Pfandbriefe issued to bearer, ranking pari passu amongst themselves (hereafter the “Jumbo Pfandbriefe” or the “Issue”) in denominations of € 1,000,- each.

(2) The Jumbo Pfandbriefe together with interest claims are represented during the whole duration of the Issue by a Global Note to bearer (the “Global Note”) issued without Coupons. The Global Note will, on the issue date of each relevant Tranche, be effectuated and deposited with one of the common safekeepers (the “Safekeeper”) designated by Euroclear S.A./ N.V. as operator of the Euroclear system and Clearstream banking, société anonyme (together the “Clearing Systems”).

(3) The delivery of Definitive Pfandbriefe or Coupons or the registration of a Pfandbrief in the name of a determined beneficiary is excluded during the whole duration of the Issue. The holders of the Pfandbriefe (hereafter “the Holders”) have co-ownership rights in the Global Note, which rights may be transferred according to the rules and regulations of the Clearing systems.

(4) The Global Note bears the autograph signatures of two members of the board of directors of the Issuer and of the special auditor (“réviseur special”) appointed by the “Commission de Surveillance du Secteur Financier” (“CSSF”) and a control signature.

§ 2

(Interest)

(1) The Jumbo Pfandbriefe bear interest from 4 June 2003 (included) to 4 June 2018 (excluded) at the rate of 4,25per cent. per annum. Interest is payable ex post on 4 June of each year (each an “Interest Payment Date”). The first payment of interest will occur on 4 June 2004 for the period from 4 June 2003 (included) to 4 June 2004 (excluded).

(2) Interest shall cease to accrue on the Jumbo Pfandbriefe at the end of the day preceding the day on which the Jumbo Pfandbriefe are due for repayment. In case the Issuer does not repay the Pfandbriefe on their due date for repayment, interest accrual on the amount remaining due on the Pfandbriefe will not end on the due date for repayment, but only at the end of the day preceding the day of the actual repayment of the Jumbo Pfandbriefe.

(3) Interest due for a period of less than one year will be calculated on the basis of the days actually elapsed, divided by the number of days in the relevant Interest Period (Actual/Actual (ICMA)). An Interest Period is the period between one interest payment date (included) and the next following interest payment date (excluded) or the beginning of the calculation of interest (included) and the first interest payment date (excluded).

44

§ 3

(Repayment, early redemption)

(1) The Jumbo Pfandbriefe will be repaid on 4 June 2018 (the “Final Payment Date”) at their nominal value.

(2) If an interest payment date or the Final Repayment Date is not a Business Day (as defined hereafter), repayment of principal and payment of interest will be made on the next following Business Day, without further interest accruing. A “Business Day” is a day on which the Trans- European Automated Real-Time Gross Settlement Express Transfer System (TARGET) is operating and settles payments.

(3) The Jumbo Pfandbriefe may not be repaid early neither at the option of the Issuer nor of the Pfandbriefholders.

§ 4

(Payments)

All amounts due according to the Terms and Conditions of the Jumbo Pfandbriefe have to be paid by the Issuer to Deutsche Bank Aktiengesellschaft, Frankfurt am Main, in its capacity as Fiscal Agent, which will transfer the amounts to Deutsche Bank Luxembourg S.A. in its capacity as further Paying Agent and to the Clearing Systems which will credit the accounts of the relevant deposit banks with the final purpose of payment to the Pfandbriefholders.

§ 5

(Status)

The Jumbo Pfandbriefe constitute unsubordinated obligations of the Issuer, ranking pari passu amongst themselves. The Jumbo Pfandbriefe are, according to the provisions of the Luxembourg Mortgage Bank Law of November 21, 1997 (as amended) concerning Public Pfandbriefe, covered and rank at least equally with all other obligations of the Issuer deriving from Public Pfandbriefe.

§ 6

(Notices)

All notices concerning the Jumbo Pfandbriefe will be published in one leading daily newspaper with general circulation in Luxembourg, presumably “d’Wort” or the “Tageblatt”.

§ 7

(Issue of further Jumbo Pfandbriefe)

The Issuer reserves the right to, from time to time and without the consent of the Pfandbriefholders, issue further Public Pfandbriefe - Lettres de Gage Publiques - with the same terms and conditions in such a way that the new Jumbo Pfandbriefe will be fungible with these Jumbo Pfandbriefe and form one single issue with them, increasing the total nominal value of the issue. In case of such an increase, the term “Jumbo Pfandbriefe” includes such further issued Jumbo Pfandbriefe.

§ 8

(Applicable Law, Jurisdiction)

45

(1) The form and substance of the Jumbo Pfandbriefe, the rights and obligations of the Pfandbriefholders and of the Issuer are governed in all respects by the laws of the Grand-Duchy of Luxembourg.

(2) The Courts of Luxembourg-City are competent to hear all disputes arising out of the Terms and Conditions of these Jumbo Pfandbriefe.

46 FORM OF FINAL TERMS (MUSTER – KONDITIONENBLATT) A. FORM OF FINAL TERMS APPLICABLE TO PFANDBRIEFE

______

[Date] [Datum]

Final Terms Konditionenblatt

[Title of relevant Series of Pfandbriefe] issued pursuant to the [Bezeichnung der betreffenden Emission/Reihe der Pfandbriefe] begeben aufgrund des

Debt Issuance Programme

of der

EUROHYPO Europäische Hypothekenbank S.A. Senningerberg, Luxembourg

dated [●] 2006 vom [●] 2006

Issue Price: [•] per cent. Ausgabepreis: [•] %

Issue Date: [•] 1

1 The Issue Date is the date of payment and settlement of the Pfandbriefe. In the case of free delivery, the Issue Date is the delivery date. Der Tag der Begebung ist der Tag, an dem die Schuldverschreibungen begeben und bezahlt werden. Bei freier Lieferung ist der Tag der Begebung der Tag der Lieferung.

47 Tag der Begebung: [•]

[These Final Terms are issued to give details of an issue of Pfandbriefe under the Debt Issuance Programme of EUROHYPO Europäische Hypothekenbank S.A. (the “Programme”) and are to be read in conjunction with the Terms and Conditions of the Pfandbriefe (the “Terms and Conditions”) set forth in the Base Prospectus dated 30 August 2006 pertaining to the Programme, as the same may be amended or supplemented from time to time. Capitalised terms not otherwise defined herein shall have the meanings specified in the Terms and Conditions.

Dieses Konditionenblatt enthält Angaben zu einer Pfandbriefemission unter dem Debt Issuance Programm der EUROHYPO Europäische Hypothekenbank S.A. (das “Programm”) und ist in Verbindung mit den Emissionsbedingungen (die “Emissionsbedingungen”) zu lesen, die in der jeweils geltenden Fassung des Base Prospectus vom 30 August 2006 über das Programm enthalten sind. Begriffe, die in den Emissionsbedingungen definiert sind, haben, falls das Konditionenblatt nicht etwas anderes bestimmt, die gleiche Bedeutung, wenn sie in diesem Konditionenblatt verwendet werden.

All references in these Final Terms to numbered paragraphs and subparagraphs are to paragraphs and subparagraphs of the Terms and Conditions.

Bezugnahmen in diesem Konditionenblatt auf Paragraphen und Absätze beziehen sich auf die Paragraphen und Absätze der Emissionsbedingungen.

All provisions in the Terms and Conditions corresponding to items in these Final Terms which are either not selected or completed or which are deleted shall be deemed to be deleted from the terms and conditions applicable to the Pfandbriefe (the “Conditions”).

Sämtliche Bestimmungen der Emissionsbedingungen, die sich auf Variablen dieses Konditionenblatts beziehen und die weder angekreuzt noch ausgefüllt sind oder die gestrichen sind, gelten als in den auf die Pfandbriefe anwendbaren Emissionsbedingungen (die “Bedingungen”) gestrichen.] 1

[This document constitutes the Final Terms relating to the issue of Pfandbriefe described herein. The Terms and Conditions of the Pfandbriefe annexed hereto (the “Conditions”) shall fully replace the Terms and Conditions set out in the Base Prospectus dated 30 August 2006 as the same may be amended or supplemented from time to time. Terms used in these Final Terms shall have the meanings specified in the Conditions annexed hereto.

Dieses Dokument stellt das Konditionenblatt für die hierin beschriebene Emission von Pfandbriefen dar. Die Emissionsbedingungen der Pfandbriefe (die “Bedingungen“), die einen Anhang zu diesem Konditionenblatt bilden, ersetzen in vollem Umfang die Emissionsbedingungen, die in der jeweils geltenden Fassung des Base Prospectus vom 30 August 2006 enthalten sind. Begriffe, die in diesem Konditionenblatt verwendet werden, haben die Bedeutung, die in den angehängten Bedingungen angeben sind.] 2

1 To be inserted in the case of Long-Form Conditions. Einzufügen im Falle von nicht-konsolidierten Bedingungen.

2 To be inserted in the case of Integrated Conditions. Einzufügen im Falle von konsolidierten Bedingungen.

48

Issuer EUROHYPO Europäische Hypothekenbank S.A. Emittentin

Form of Conditions 1 Form der Bedingungen

Long-Form Nicht-konsolidierte Bedingungen

Integrated Konsolidierte Bedingungen

Governing Law Anwendbares Recht

Luxembourg Law Luxemburger Recht

CURRENCY, DENOMINATION, FORM, DEFINITIONS (§ 1) WÄHRUNG, NENNBETRAG, FORM, DEFINITIONEN (§ 1)

Currency and Denomination Währung und Nennbetrag

Specified Currency [ ] Festgelegte Währung

Aggregate Principal Amount [ ] Gesamtnennbetrag

Specified Denomination (2) [ ] Festgelegte Stückelung

Number of Pfandbriefe to be issued (2) [ ] Zahl der auszugebenden Pfandbriefe

Pfandbriefe

Mortgage Pfandbriefe Hypothekenpfandbriefe

Public Pfandbriefe Öffentliche Pfandbriefe

Bearer Pfandbriefe/Registered Pfandbriefe Inhaberpfandbriefe/Namenspfandbriefe

Bearer Pfandbriefe Inhaberpfandbriefe

1 To be determined in consultation with the Issuer. Die Form der Bedingungen ist in Abstimmung mit der Emittentin festzulegen.

2 Not to be completed for registered Pfandbriefe. Nicht auszufüllen für Namenspfandbriefe. 49 New Global Note form

Form einer Neuen Globalurkunde

Classical Global Note form

Form einer Klassischen Globalurkunde

Registered Pfandbriefe Namenspfandbriefe

Minimum Principal Amount for Transfers (specify) [ ] Mindestnennbetrag für Übertragungen (angeben)

Operational Information

Information über Verfahren

Intended to be held in a manner which would allow Eurosystem eligibility [yes/No] soll in einer für das Eurosystem geeigneten Form gehalten werden. [Ja/Nein]

[The Pfandbriefe are intended upon issue to be deposited with one of the common safekeepers appointed by the international central securities depositaries (the “ICSDs”); this does not necessarily mean that the Pfandbriefe wil be recognised as eligible for Eurosystem either upon issue or at any or all times during their life. Such recognition will depend upon satisfaction of the Eurosystem eligibility criteria.]

[Es ist beabsichtigt, die Pfandbriefe bei Begebung bei einem von den Internationalen Zentralen Wertpapierverwahrstellen ernannten gemeinsamen Verwahrer zu hinterlegen; dies bedeutet nicht notwendigerweise, dass die Pfandbriefe als für das Eurosystem geeignet anerkannt werden, weder bei Begebung noch an irgendeinem Zeitpunkt ihrer Laufzeit. Eine solche Anerkennung wird von der Erfüllung der Kriterien für Eurosystemeignung abhängen.]

TEFRA C (1) TEFRA C

Permanent Global Instrument Dauerglobalurkunde

TEFRA D(2) TEFRA D

Temporary Global Instrument exchangeable for a Permanent Global Instrument Vorläufige Globalurkunde austauschbar gegen eine Dauerglobalurkunde

Neither TEFRA D nor TEFRA C(3) Weder TEFRA D noch TEFRA C

Permanent Global Instrument Dauerglobalurkunde

1 Not to be completed for registered Pfandbriefe. Nicht auszufüllen für Namenspfandbriefe. 2 Not to be completed for registered Pfandbriefe. Nicht auszufüllen für Namenspfandbriefe. 3 Not to be completed for registered Pfandbriefe. Applicable only if Pfandbriefe have an initial maturity of one year or less. Nicht auszufüllen für Namenspfandbriefe. Nur anwendbar für Pfandbriefe mit einer ursprünglichen Laufzeit von einem Jahr oder weniger. 50

Certain Definitions Definitionen

Clearing System

Clearstream Banking AG, Frankfurt am Main

Clearstream Banking société anonyme, Luxembourg

Euroclear Bank S.A./N.V.

Euroclear France

SIS SegaInterSettle AG

Other - specify [ ] sonstige (angeben)

Calculation Agent [Yes/No] Berechnungsstelle [Ja/Nein]

Fiscal Agent Emissionsstelle

Other (specify) [ ] sonstige (angeben)

STATUS (§ 2) STATUS (§ 2)

Unsubordinated Nicht-nachrangig

[INTEREST] [INDEXATION] (§ 3) [ZINSEN] [INDEXIERUNG] (§ 3)

Fixed Rate Pfandbriefe Festverzinsliche Pfandbriefe

Rate of Interest [•] per cent. per annum Zinssatz [•] % per annum

Interest Commencement Date [ ] Verzinsungsbeginn

Fixed Interest Date(s) [ ] Festzinstermin(e)

First Interest Payment Date [ ] Erster Zinszahlungstag

Floating Rate Pfandbriefe Variabel verzinsliche Pfandbriefe

Interest Commencement Date [ ] 51 Verzinsungsbeginn

Specified Interest Payment Dates [ ] Festgelegte Zinszahlungstage

Specified Interest Period(s) [weeks/months/other – specify] Festgelegte Zinsperiode(n) [Wochen/Monate/andere – angeben]

Business Day Convention Geschäftstagskonvention

Modified Following Business Day Convention Modifiziert – folgender – Geschäftstag Konvention

FRN Convention (specify period(s) [months/other-specify] FRN Konvention (Zeitraum angeben) [Monate/andere – angeben]

Following Business Day Convention Folgender – Geschäftstag Konvention

Preceding Business Day Convention Vorangegangener – Geschäftstag Konvention

adjusted angepaßt

unadjusted nicht angepaßt

Relevant Financial Centres (specify all) [ ] Relevante Finanzzentren (alle angeben)

Rate of Interest Zinssatz

Screen Rate Determination Bildschirmfeststellung

EURIBOR (Brussels time/TARGET Business Day/Interbank-Market in the Euro-Zone) EURIBOR Brüsseler Ortszeit/TARGET Geschäftstag/Interbanken-Markt in der Euro-Zone) Screen page [ ] Bildschirmseite

LIBOR (London time/London Business Day/City of London/London Office/ London Interbank Market) LIBOR (Londoner Ortszeit/Londoner Geschäftstag/City of London/ Londoner Geschäftsstelle/Londoner Interbanken-Markt) Screen page [ ] Bildschirmseite

Other (specify) [ ] Sonstige (angeben) Screen page(s) [ ] Bildschirmseite(n)

Interest Period Zinsperiode

52 three months drei Monate

six months sechs Monate

twelve months zwölf Monate

Margin [•]per cent. per annum Marge [•]% per annum

plus plus

minus minus

Interest Determination Date Zinsfestlegungstag

second Business Day prior to commencement of Interest Period zweiter Geschäftstag vor Beginn der jeweiligen Zinsperiode

other (specify) [ ] sonstige (angeben)

Reference Banks (if other than as specified in § 3 (2)) (specify) [ ] Referenzbanken (sofern abweichend von § 3 (2)) (angeben)

ISDA Determination (1) [specify details] ISDA-Feststellung Einzelheiten einfügen]

Other Method of Determination (insert details (including Margin [ ] Interest Determination Date, Reference Banks, fall back provisions)) Andere Methoden der Bestimmung (Einzelheiten angeben (einschließlich Zinsfestlegungstag, Marge, Referenzbanken, Ausweichbestimmungen))

Minimum and Maximum Rate of Interest Mindest- und Höchstzinssatz

Minimum Rate of Interest [•] per cent. per annum Mindestzinssatz [•] % per annum

Maximum Rate of Interest [•] per cent. per annum Höchstzinssatz [•] % per annum

Zero Coupon Pfandbriefe Nullkupon-Pfandbriefe

Amortisation Yield [ ] Emissionsrendite

1 The ISDA Agreement and the ISDA Definitions have to be attached to the relevant Pfandbriefe. Das ISDA-Agreement und die ISDA Definitions sind den Pfandbriefen beizufügen. 53

Dual Currency Pfandbriefe [ ] Doppelwährungs-Pfandbriefe (set forth details in full here (including exchange rate(s) or basis for calculating exchange rate(s) to determine interest/fall-back provisions)) (Einzelheiten einfügen (einschließlich Wechselkurs(e) oder Grundlage für die Berechnung des/der Wechselkurs(e) zur Bestimmung von Zinsbeträgen/Ausweichbestimmungen))

Index Linked Pfandbriefe [ ] Indexgebundene Pfandbriefe (set forth details in full here or in an attachment) (Einzelheiten hier oder in einer Anlage einfügen)

Day Count Fraction (1) Zinstagequotient

Actual/Actual (ICMA Rule 251)

Actual/Actual (ICMA)

Actual/Actual (ISDA)

Actual/365 (Fixed)

Actual/360

30/360 or 360/360 (Bond Basis)

30E/360 (Eurobond Basis)

Other

PAYMENTS (§ 4) ZAHLUNGEN (§ 4)

Payment Business Day/Relevant Financial Centre(s) (specify all) [ ] Zahltag/Relevante(s) Finanzzentren(um) (alle angeben)

REDEMPTION (§ 5) RÜCKZAHLUNG (§ 5)

Final Redemption Rückzahlung bei Endfälligkeit

Pfandbriefe other than Instalment Pfandbriefe Pfandbriefe außer in Raten tilgbare Pfandbriefe

Maturity Date [ ] Fälligkeitstag

Redemption Month [ ] Rückzahlungsmonat

1 Complete for all Pfandbriefe. Für sämtliche Pfandbriefe auszfüllen. 54 Final Redemption Amount Rückzahlungsbetrag

Principal Amount Nennbetrag

Final Redemption Amount (per Specified Denomination) [ ] Rückzahlungsbetrag (pro festgelegte Stückelung)

Instalment Pfandbriefe In Raten tilgbare Pfandbriefe

Instalment Date(s) [ ] Ratenzahlungstermin(e)

Instalment Amount(s) [ ] Rate(n)

Early Redemption Vorzeitige Rückzahlung

Early Redemption at the option of the Issuer [Yes/No] Vorzeitige Rückzahlung nach Wahl der Emittentin [Ja/Nein]

Minimum Redemption Amount [ ] Mindestrückzahlungsbetrag

Higher Redemption Amount [ ] Höherer Rückzahlungsbetrag

Redemption Date(s) [ ] Rückzahlungstag(e)

Redemption Amount(s) [ ] Rückzahlungsbetrag/-Beträge

Minimum Notice to Holders [ ] Mindestkündigungsfrist

Maximum Notice to Holders [ ] Höchstkündigungsfrist

FISCAL AGENT [,] [AND] PAYING AGENT[S] [AND CALCULATION AGENT] (§ 7) EMISSIONSSTELLE [,] [UND] ZAHLSTELLE[N] [UND BERECHNUNGSSTELLE] (§ 7)

Calculation Agent/specified office (1) [ ] Berechnungsstelle/bezeichnete Geschäftsstelle

Required location of Calculation Agent (specify) [ ] Vorgeschriebener Ort für Berechnungsstelle (angeben)

Additional Paying Agent(s)/specified office(s) [ ]

1 Not to be completed if Fiscal Agent is to be appointed as Calculation Agent. Nicht auszufüllen, falls Emissionsstelle als Berechnungsstelle bestellt werden soll. 55 Zahlstelle(n)/bezeichnete Geschäftsstelle(n)

FURTHER ISSUES (§ [9]) BEGEBUNG WEITERER EMISSIONEN (§ [9])

Consolidation [Yes/No] Konsolidierung [Ja/Nein]

NOTICES (§ 10 (2) MITTEILUNGEN (§ 10)

Place and medium of publication Ort und Medium der Bekanntmachung

Luxembourg (d’Wort) Luxemburg (d’Wort)

Germany (Börsen-Zeitung) Deutschland (Börsen-Zeitung)

Luxembourg Stock Exchange’s website (www.bourse.lu)

Other (specify) [ ] sonstige (angeben)

GENERAL PROVISIONS APPLICABLE TO THE INSTRUMENT(S) ALLGEMEINE BESTIMMUNGEN HINSICHTLICH DER PFANDBRIEFE

Listing(s) (1) [Yes/No] Börsenzulassung(en) [Ja/Nein]

Luxembourg Stock Exchange

regulated market geregelter Markt

unregulated market ungeregelter Markt

Frankfurt am Main

Other (insert details) [ ] sonstige (Einzelheiten einfügen)

Method of distribution [insert details] Vertriebsmethode [Einzelheiten einfügen]

Non-syndicated

2 Not to be completed for registered Pfandbriefe. Nicht auszufüllen für Namenspfandbriefe. 1 Not to be completed for registered Pfandbriefe. Nicht auszufüllen für Namenspfandbriefe. 56 Nicht syndiziert

Syndicated Syndiziert

Management Details Einzelheiten bezüglich des Bankenkonsortiums

Management Group or Dealer (specify) [ ] Bankenkonsortium oder Dealer (angeben)

Commissions Provisionen

Management/Underwriting Commission (specify) [ ] Management- und Übernahmeprovision (angeben)

Selling Concession (specify) [ ] Verkaufsprovision (angeben)

Listing Commission (specify) [ ] Börsenzulassungsprovision (angeben)

Other (specify) [ ] Andere (angeben)

Stabilising Dealer/Manager [insert details/None] Kursstabilisierender Dealer/Manager [Einzelheiten einfügen/keiner]

Security Identification Numbers Wertpapier-Kenn-Nummern

Common Code [ ] Common Code

ISIN Code [ ] ISIN Code

German Security Code [ ] Wertpapier-Kenn-Nummer (WKN)

Any other securities number [ ] Sonstige Wertpapiernummer

Supplemental Tax Disclosure (specify) (1) [ ] Zusätzliche Steuerhinweise (einfügen)

Selling Restrictions Verkaufsbeschränkungen

TEFRA C TEFRA C

TEFRA D TEFRA D

Neither TEFRA C nor TEFRA D

57 Weder TEFRA C noch TEFRA D

Additional selling restrictions (specify) [ ] Zusätzliche Verkaufsbeschränkungen (angeben)

Rating (2) Rating

Other relevant terms and conditions (specify) [ ] Andere relevante Bestimmungen (einfügen)

______

(1) Supplemental tax disclosure should be provided if the Pfandbriefe would be classified as financial innovations (Finanzinnovationen) under German tax law. Zusätzliche Angaben zur steuerlichen Situation sollten erfolgen, wenn die Pfandbriefe nach deutschem Steuerrecht als Finanzinnovationen eingeordnet würden. (2) Do not complete if the Pfandbriefe are not rated on an individual basis. Nicht auszufüllen, wenn kein Einzelrating für die Pfandbriefe vorliegt.

58 [Listing: 1 [Börsenzulassung:

The above Final Terms comprises the details required to list this issue of Pfandbriefe pursuant to the Debt Issuance Programme of EUROHYPO Europäische Hypothekenbank S.A. (as from [insert Issue Date for the Pfandbriefe]). Das vorstehende Konditionenblatt enthält die Angaben, die für die Zulassung dieser Emission von Pfandbriefen unter dem Debt Issuance Programme der EUROHYPO Europäische Hypothekenbank S.A. (ab dem [Tag der Begebung der Pfandbriefe einfügen]) erforderlich sind.]

Part II./1 ADDITIONAL DISCLOSURE REQUIREMENTS RELATED TO PFANDBRIEFE WITH A DENOMINATION PER UNIT OF LESS THAN EUR 50,000

Teil II./1 ZUSÄTZLICHE ANGABEN BEZOGEN AUF PFANDBRIEFE MIT EINER MINDESTSTÜCKELUNG VON WENIGER ALS EUR 50.000

A. ADDITIONAL RISK FACTORS A. ZUSÄTZLICHE RISIKOFAKTOREN

[ ]

B. KEY INFORMATION B. WICHTIGE INFORMATIONEN

● Interest of natural and legal persons involved in the issue/offer Interessen von Seiten natürlicher und juristischer Personen, die an der Emission/dem Angebot beteiligt sind

[none][specify details] [keine][Einzelheiten einfügen]

● Reasons for the offer Gründe für das Angebot

[specify details] [Einzelheiten einfügen]

● Estimated net proceeds [ ] Geschätzter Nettobetrag der Erträge

● Estimated total expenses of the issue [ ] Geschätzte Gesamtkosten der Emission

C. INFORMATION CONCERNING THE PFANDBRIEFE TO BE OFFERED/ADMITTED TO TRADING

1 Include only in the version of the Final Terms which is submitted to the relevant authority/stock exchange in the case of Pfandbriefe to be listed on such stock exchange. Nur in diejenigen Fassung des Konditionenblatts einzufügen, die der betreffenden Behörde/Börse, bei der die Pfandbriefe zugelassen werden sollen, vorgelegt wird. 59 C. INFORMATIONEN ÜBER DIE ANZUBIETENDEN BZW. ZUM HANDEL ZUZULASSENDEN PFANDBRIEFE

● Yield [to be calculated] Rendite

Yield [ ] Rendite

● Method of calculating the yield Berechnungsmethode der Rendite

ICMA method: The ICMA method determines the effective interest rate on Pfandbriefe by taking into account accrued interest on a daily basis. ICMA Methode: Die ICMA Methode ermittelt die Effektivverzinsung von Pfandbriefen unter Berücksichtigung der täglichen Stückzinsen.

Other method (specify, including a description of the method) Andere Methoden (angeben, einschließlich einer Beschreibung der Methode)

● Historic Interest Rates Zinssätze der Vergangenheit

● Details of historic [EURIBOR][EURO-LIBOR][LIBOR][OTHER] rates can be obtained from [insert relevant Screen Page] Einzelheiten der Entwicklung der [EURIBOR][EURO-LIBOR][LIBOR][ANDERE] Sätze in der Vergangenheit können abgerufen werden unter [relevante Bildschirmseite einfügen]

● Details relating to the performance of the [index] [formula] [other variable]. Explanation of effect on value of investment and associated risks and other information concerning the underlying12

1 Only applicable for Index-linked Interest or other variable-linked Instruments. Need to include details of where past and future performance and volatility of the relevant index/formula/other variable can be obtained. Need to include a clear and comprehensive explanation of how the value of the investment is affected by the underlying and the circumstances when risks are most evident. Nur bei an eine mit indexabhängiger Verzinsung und anderen an eine Variable gebundenen Pfandbriefen anwendbar. Es sind Angaben darüber erforderlich, wo Informationen über die vergangene und künftige Wertentwicklung und Volatilität des Index/der Formel/einer anderen Variablen eingeholt werden können. Es ist eine umfassende Erläuterung vorzunehmen, wie der Wert der Anlage durch den Wert des Basiswerts beeinflusst wird, insbesondere in Fällen, in denen die Risiken offensichtlich sind.

2 Where the underlying is an index, the name of the index and a description of the index if it is composed by the issuer. If the index is not composed by the issuer, where information about the index can be obtained – where the underlying is an interest rate, a description of the interest rate – where other, equivalent information – where the underlying is a basket of underlying, disclosure of the relevant weightings of each underlying in the basket. Handelt es sich bei dem Basiswert um einen Index: Angabe- der Bezeichnung des Indexes und einer Indexbeschreibung, falls der Index vom Emittenten zusammengestellt wird. Wird der Index nicht vom Emittenten zusammengestellt, Angabe des Ortes, wo Informationen zu diesem Index zu finden sind;- handelt es sich bei dem Basiswert um einen Zinssatz:- Beschreibung des Zinssatzes;- sonstige:- fällt der Basiswert nicht unter eine der oben genannten Kategorien, muss die Wertpapierbeschreibung gleichwertige Informationen enthalten;- handelt es sich bei dem Basiswert um einen Korb von Basiswerten:- Angabe der entsprechenden Gewichtungen jedes einzelnen Basiswertes im Korb.

60 Einzelheiten hinsichtlich der Entwicklung [des Index] [der Formel] [einer anderen Variablen]. Erläuterung der Auswirkungen auf den Wert der Anlage sowie verbundene Risiken und andere Informationen betreffend die Basiswerte

● Details of historic [insert index/formula/other variable] can be obtained from [insert relevant Screen Page] Einzelheiten der Entwicklung des [Index/Formel/andere Variable einfügen] in der Vergangenheit können abgerufen werden unter [relevante Bildschirmseite einfügen]

[none] [specify details here] [keine] [Einzelheiten hier angeben]

● Details relating to the performance of rate(s) of exchange and explanation of effect on value of 1 investment Einzelheiten der Entwicklung des bzw. der Wechselkurse und Erläuterung der Auswirkungen auf den Wert der Anlage

● Details regarding disruption or settlement disruption events that affect the underlying and any adjustments rules applicable Beschreibung etwaiger Störungen des Marktes oder bei der Abrechnung, die den Basiswert beeinflussen und Korrekturvorschriften in Bezug auf Vorfälle, die den Basiswert beeinflussen

● Restrictions on the free transferability of the Pfandbriefe [None] Beschränkung der freien Übertragbarkeit der Pfandbriefe [Keine]

● Taxation Besteuerung

Information on taxes on the income from the Pfandbriefe withheld at source in respect of countries where the offer is being made or admission to trading is being sought. Informationen über die an der Quelle einbehaltene Einkommensteuer auf Pfandbriefe hinsichtlich der Länder, in denen das Angebot unterbreitet oder die Zulassung zum Handel beantragt wird.

[none][specify details] [keine][Einzelheiten einfügen]

D. TERMS AND CONDITIONS OF THE OFFER D. BEDINGUNGEN UND KONDITIONEN DES ANGEBOTS

● Conditions to which the offer is subject Bedingungen, denen das Angebot unterliegt

1 Only applicable for Dual Currency Pfandbriefe. Need to include details of where past and future performance and volatility of the relevant rate(s) can be obtained. Need to include a clear and comprehensive explanation of how the value of the investment is affected by the underlying and the circumstances when the risks are most evident. Nur bei Doppelwährungspfandbriefe anwendbar. Es sind Angaben darüber erforderlich, wo Informationen über die vergangene und künftige Wertentwicklung und Volatilität der maßgeblichen Wechselkurse eingeholt werden können. Es ist eine umfassende Erläuterung vorzunehmen, wie der Wert der Anlage durch den Wert des Basiswerts beeinflusst wird, insbesondere in Fällen, in denen die Risiken offensichtlich sind.

61 [none][specify details] [keine][Einzelheiten einfügen]

● Time period, including any possible amendments, during which the offer will be open

Frist – einschließlich etwaiger Änderungen – während der das Angebot vorliegt

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Description of the application process Beschreibung des Prozesses für die Umsetzung des Angebots

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Description of the possibility to reduce subscriptions and the manner for refunding the excess amount paid by applicants Beschreibung der Möglichkeit zur Reduzierung der Zeichnungen und der Art und Weise der Erstattung des zu viel gezahlten Betrags an die Zeichner

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Details of the minimum and/or maximum amount of application, (whether in number of Pfandbriefe or aggregate amount to invest) Einzelheiten zum Mindest- und/oder Höchstbetrag der Zeichnung (entweder in Form der Anzahl der Pfandbriefe oder des gesamten zu investierenden Betrags)

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Method and time limits for paying up the Pfandbriefe and for delivery of the Pfandbriefe

Methode und Fristen für die Bedienung der Pfandbriefe und ihre Lieferung

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Manner and date in which results of the offer are to be made public Art und Weise und Termin, auf die bzw. an dem die Ergebnisse des Angebots offen zu legen sind

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● The procedure for the exercise of any right of pre-emption, the negotiability of subscription rights and the treatment of subscription rights not exercised. Verfahren für die Ausübung eines etwaigen Vorzugsrechts, die Marktfähigkeit der Zeichnungsrechte und die Behandlung der nicht ausgeübten Zeichnungsrechte

[not applicable][specify details]

62 [nicht anwendbar][Einzelheiten einfügen]

● Various categories of potential investors to which the Pfandbriefe are offered Angabe der verschiedenen Kategorien der potentiellen Investoren, denen die Pfandbriefe angeboten werden

Qualified Investors Qualifizierte Anleger

Non-qualified Investors Nicht –qualifizierte Anleger

 Qualified and Non-qualified Investors Qualifizierte und Nicht-qualifizierte Anleger

● If the offer is being made simultaneously in the markets of two or more countries and if a Tranche has been or is being reserved for certain of these, indicate any such Tranche. Erfolgt das Angebot gleichzeitig auf den Märkten in zwei oder mehreren Ländern und wurde/wird eine bestimmte Tranche einigen dieser Märkte vorbehalten, Angabe dieser Tranche.

[not applicable] [specify details] [nicht anwendbar] [Einzelheiten einfügen]

● Process for notification to applicants of the amount allotted and indication whether dealing may begin before notification is made Verfahren zur Meldung des den Zeichnern zugeteilten Betrags und Angabe, ob eine Aufnahme des Handels vor dem Meldeverfahren möglich ist

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Method of determining the offered price and the process for its disclosure. Indicate the amount of any expenses and taxes specifically charged to the subscriber or purchaser. Methode, mittels derer der Angebotskurs festgelegt wird und Verfahren der Offenlegung. Angabe der Kosten und Steuern, die speziell dem Zeichner oder Käufer in Rechnung gestellt werden.

[not applicable][specify details] [nicht anwendbar][Einzelheiten einfügen]

● Name and address of the co-ordinator(s) of the global offer and of single parts of the offer and, to the extent known to the Issuer or the offeror, or the placers in the various countries where the offer takes place. Name und Anschrift des Koordinators/der Koordinatoren des globalen Angebots oder einzelner Teile des Angebots und – sofern dem Emittenten oder dem Bieter bekannt – Angaben zu den Platzierern in den einzelnen Ländern des Angebots.

[not applicable] [specify details] [nicht anwendbar][Einzelheiten einfügen]

Management Details including form of commitment Einzelheiten bezüglich des Bankenkonsortiums einschließlich der Art der Übernahme

Specify Management Group or Dealer (including address)

63 Bankenkonsortium oder Platzeur angeben (einschließlich Adresse)

- firm commitment [____] feste Zusage

- no firm commitment / best efforts arrangements [____] Keine feste Zusage / zu den bestmöglichen Bedingungen

Commissions Provisionen

Management/Underwriting Commission (specify) [ ] Management- und Übernahmeprovision (angeben)

Selling Concession (specify) [ ] Verkaufsprovision (angeben)

Listing Commission (specify) [ ] Börsenzulassungsprovision (angeben)

Other (specify) [ ] Andere (angeben)

Stabilising Dealer/Manager [insert details/None] Kursstabilisierender Platzeur/Manager [Einzelheiten einfügen/keiner]

Subscription Agreement [ ] Übernahmevertrag

- Date of Subscription Agreement Datum des Übernahmevertrags

- General Features of the Subscription Agreement Angabe der Hauptmerkmale der Vereinbarung

E. ADMISSION TO TRADING AND DEALING ARRANGEMENTS E. ZULASSUNG ZUM HANDEL UND HANDELSREGELN

Listing(s) [Yes/No] Börsenzulassung(en) [Ja/Nein]

Luxembourg Stock Exchange

regulated market geregelter Markt

unregulated market ungeregelter Markt

Frankfurt Stock Exchange

Other (insert details) [ ] Sonstige (Einzelheiten einfügen)

Date of admission [ ] Termin der Zulassung

64 All markets appearing on the list of regulated markets issued by the European Commission or equivalent markets on which, to the knowledge of the Issuer, Pfandbriefe of the same class of the Pfandbriefe to be offered or admitted to trading are already admitted to trading.

Angabe sämtlicher Märkte, wie sie in der Übersicht der Europäischen Kommission über die geregelten Märkte aufgeführt sind, oder gleichwertiger Märkte, auf denen nach Kenntnis der Emittentin Pfandbriefe der gleichen Wertpapierkategorie, die zum Handel angeboten oder zugelassen werden sollen, bereits zum Handel zugelassen sind

Luxembourg Stock Exchange

regulated market geregelter Markt

unregulated market ungeregelter Markt

Frankfurt Stock Exchange

Other (insert details) [ ] Sonstige (Einzelheiten einfügen)

Authorisation1 [Date]

Ermächtigung [Datum]

Name and address of the entities which have a firm committment to act as intermediaries in secondary trading, providing liquidity through bid and offer rates and description of the main terms of their commitment Name und Anschrift der Institute, die aufgrund einer festen Zusage als Intermediäre im Sekundärhandel tätig sind und Liquidität mittels Geld- und Briefkursen erwirtschaften, und Beschreibung der Hauptbedingungen der Zusagevereinbarung [not applicable] [specify details] [nicht anwendbar]Einzelheiten einfügen]

1 In case of new issues, date of the resolutions, authorisations and approvals by virtue of which the Pfandbriefe have been or will be created and/or issued 65 Part II/2 ADDITIONAL INFORMATION RELATED TO PFANDBRIEFE WITH A DENOMINATION PER UNIT OF AT LEAST EUR 50,000

Teil II/2 ZUSÄTZLICHE INFORMATIONEN BEZOGEN AUF PFANDBRIEFE MIT EINER MINDESTSTÜCKELUNG VON EUR 50.000

A. RISK FACTORS A. RISIKOFAKTOREN

[ ]

B. KEY INFORMATION B. WICHTIGE INFORMATIONEN

Interest of natural and legal persons involved in the issue/offer Interessen von Seiten natürlicher und juristischer Personen, die an der Emission/dem Angebot beteiligt sind [none][specify details] [keine][Einzelheiten einfügen]

● [Reasons for the offer [specify details] Gründe für das Angebot] [Einzelheiten einfügen]

● Estimated net proceeds [ ] Geschätzter Nettobetrag der Erträge

● Estimated total expenses of the issue [ ] Geschätzte Gesamtkosten der Emission

C. INFORMATION CONCERNING THE PFANDBRIEFE TO BE ADMITTED TO TRADING C.INFORMATIONEN ÜBER DIE ZUM HANDEL ZUZULASSENDEN PFANDBRIEFE

Securities Identification Numbers Wertpapier-Kenn-Nummern

Common Code [ ] Common Code

ISIN Code [ ] ISIN Code

German Securities Code [ ] Wertpapier-Kenn-Nummer (WKN)

Any other securities number [ ] Sonstige Wertpapier-Kenn-Nummer

Yield on issue price [ ] Emissionsrendite

Authorisation [Date]

Ermächtigung [Datum]

A description of any restrictions on the free transferability of the Pfandbriefe [None] 66 Darstellung etwaiger Beschränkungen der freien Übertragbarkeit der Pfandbriefe [Keine]

Method of distribution [insert details] Vertriebsmethode [Einzelheiten einfügen]

Non-syndicated Nicht syndiziert

Syndicated Syndiziert

Management Details Einzelheiten bezüglich der Dealer Dealer/Management Group (specify) [insert name and address] Dealer/Bankenkonsortium (angeben) [Name und Adresse einzufügen]

Commissions Provisionen Management/Underwriting Commission (specify) [ ] Management- und Übernahmeprovision (angeben)

Selling Concession (specify) [ ] Verkaufsprovision (angeben)

Listing Commission (specify) [ ] Börsenzulassungsprovision (angeben)

Estimate of the total expenses related to admission to trading Angabe der geschätzten Gesamtkosten für die Zulassung zum Handel [ ]

Other (specify) Andere (angeben)

Stabilising Manager [insert details/None] Kursstabilisierender Manager [Einzelheiten einfügen/Keiner]

Stabilisation Period [insert commencement and end of the Stabilisation Period] Stabilisierungszeitraum [Beginn und Ende des Stabilisierungszeitraumes einfügen]

D. ADMISSION TO TRADING AND DEALING ARRANGEMENTS D. ZULASSUNG ZUM HANDEL UND HANDELSREGELN

Listing(s) [Yes/No] Börsenzulassung(en) [Ja/Nein]

Luxembourg Stock Exchange

regulated market geregelter Markt

unregulated market ungeregelter Markt

67 Frankfurt Stock Exchange

Other (insert details) [ ] Sonstige (Einzelheiten einfügen)

● Details of historic [EURIBOR][EURO-LIBOR][LIBOR][OTHER] rates can be obtained from [insert relevant Screen Page] Einzelheiten der Entwicklung der [EURIBOR][EURO-LIBOR][LIBOR][ANDERE] Sätze in der Vergangenheit können abgerufen werden unter [relevante Bildschirmseite einfügen]

● Details relating to the performance of the [index] [formula] [other variable]. Explanation of effect on value of investment and associated risks and other information concerning the underlying12 Einzelheiten hinsichtlich der Entwicklung [des Index] [der Formel] [einer anderen Variablen]. Erläuterung der Auswirkungen auf den Wert der Anlage sowie verbundene Risiken und andere Informationen betreffend die Basiswerte

● Details of historic [insert index/formula/other variable] can be obtained from [insert relevant Screen Page] Einzelheiten der Entwicklung des [Index/Formel/andere Variable einfügen] in der Vergangenheit können abgerufen werden unter [relevante Bildschirmseite einfügen]

[none] [specify details here] [keine] [Einzelheiten hier angeben]

● Details relating to the performance of rate(s) of exchange and explanation of effect on value of 3 investment

1 Only applicable for Index-linked Interest or other variable-linked Pfandbriefe. Need to include details of where past and future performance and volatility of the relevant index/formula/other variable can be obtained. Need to include and a clear and comprehensive explanation of how the value of the investment is affected by the underlying and the circumstances when risks are most evident. Nur bei an eine mit indexabhängiger Verzinsung und anderen an eine Variable gebundenen Pfandbriefen anwendbar. Es sind Angaben darüber erforderlich, wo Informationen über die vergangene und künftige Wertentwicklung und Volatilität des Index/der Formel/einer anderen Variablen eingeholt werden können. Es ist eine umfassende Erläuterung vorzunehmen, wie der Wert der Anlage durch den Wert des Basiswerts beeinflusst wird, insbesondere in Fällen, in denen die Risiken offensichtlich sind.

2 Where the underlying is an index, the name of the index and a description of the index if it is composed by the issuer. If the index is not composed by the issuer, where information about the index can be obtained – where the underlying is an interest rate, a description of the interest rate – where other, equivalent information – where the underluing is a basket of underlying, disclosure of the relevant weightings of each underlying in the basket. Handelt es sich bei dem Basiswert um einen Index, Angabe:- der Bezeichnung des Indexes und einer Indexbeschreibung, falls der Index vom Emittenten zusammengestellt wird. Wird der Index nicht vom Emittenten zusammengestellt, Angabe des Ortes, wo Informationen zu diesem Index zu finden sind;- handelt es sich bei dem Basiswert um einen Zinssatz:- Beschreibung des Zinssatzes;- sonstige:- fällt der Basiswert nicht unter eine der oben genannten Kategorien, muss die Wertpapierbeschreibung gleichwertige Informationen enthalten;- handelt es sich bei dem Basiswert um einen Korb von Basiswerten:- Angabe der entsprechenden Gewichtungen jedes einzelnen Basiswertes im Korb.

3 Only applicable for Dual Currency Pfandbriefe. Need to include details of where past and future performance and volatility of the relevant rate(s) can be obtained. Need to include a clear and comprehensive explanation of how the value of the investment is affected by the underlying and the circumstances when the risks are most evident. Nur bei Doppelwährungspfandbriefen anwendbar. Es sind Angaben darüber erforderlich, wo Informationen über die vergangene und künftige Wertentwicklung und Volatilität der maßgeblichen Wechselkurse eingeholt werden können. Es ist eine umfassende Erläuterung vorzunehmen, wie der Wert der Anlage durch den Wert des Basiswerts beeinflusst wird, insbesondere in Fällen, in denen die Risiken offensichtlich sind. 68 Einzelheiten der Entwicklung des bzw. der Wechselkurse und Erläuterung der Auswirkungen auf den Wert der Anlage

● Details regarding disruption or settlement disruption events that affect the underlying and any adjustments rules applicable Beschreibung etwaiger Störungen des Marktes oder bei der Abrechnung, die den Basiswert beeinflussen und Korrekturvorschriften in Bezug auf Vorfälle, die den Basiswert beeinflussen

Responsibility Verantwortlichkeit

The Issuer accepts responsibility for the information contained in these Final Terms as set out in the responsibility statement in the Base Prospectus provided that, with respect to any information included herein and specified to be sourced from a third party (i) the Issuer confirms that any such information has been accurately reproduced and as far as the Issuer is aware and is able to ascertain from information available to it from such third party, no facts have been omitted which would render the reproduced information inaccurate or misleading and (ii) the Issuer has not independently verified any such information and accepts no responsibility for the accuracy thereof.

Die Emittentin übernimmt die Verantwortung für die in diesem Konditionenblatt enthaltenen Informationen, wie im Responsibility Statement im Base Prospectus bestimmt. Hinsichtlich der hierin enthaltenen und als solche gekennzeichneten Informationen von Seiten Dritter gilt Folgendes: (i) Die Emittentin bestätigt, dass diese Informationen zutreffend wiedergegeben worden sind und – soweit es der Emittentin bekannt ist und sie aus den von diesen Dritten zur Verfügung gestellten Informationen ableiten konnte – wurden keine Fakten unterschlagen, die die reproduzierten Informationen unzutreffend oder irreführend gestalten würden; (ii) die Emittentin hat diese Informationen nicht selbständig überprüft und übernimmt keine Verantwortung für ihre Richtigkeit.

EUROHYPO Europäische Hypothekenbank S.A.

______

[Name & title of signatories] [Name und Titel der Unterzeichnenden]

69 B. FORM OF FINAL TERMS APPLICABLE TO JUMBO PFANDBRIEFE

Final Terms dated ●

EUROHYPO Europäische Hypothekenbank S.A. Issue of [Aggregate Nominal Amount of Tranche] 4.25 % Lettres de Gage Publiques due 4 June 2018

PART A – CONTRACTUAL TERMS

Terms used herein shall be deemed to be defined as such for the purposes of the Conditions (the Conditions) set forth in the Prospectus dated [original date] [and the Supplemental Prospectus dated ● ]. This document constitutes the Final Terms of the Pfandbriefe described herein for the purposes of Article 5.4 of the Prospectus Directive (Directive 2003/71/EC) (the Prospectus Directive) and must be read in conjunction with the Prospectus dated [current date] [and the supplemental Prospectus dated ●], which [together] constitute[s] a base prospectus for the purposes of the Prospectus Directive, save in respect of the Conditions which are extracted from the [Prospectus] dated [original date] [and the supplemental Prospectus dated ● ] and are attached hereto. Full information on the Issuer and the offer of the Pfandbriefe is only available on the basis of the combination of these Final Terms and the [Prospectuses] dated [original date] and [current date] [and the supplemental Prospectuses dated ● and ●]. [The [Prospectuses] [and the Supplemental Prospectuses] are available for viewing during normal hours at the office of the [Agent] in Luxembourg, copies may be obtained from the principal office of the Issuer and on the website of the Issuer (www.eurohypo.lu) and of the Luxembourg Stock Exchange (www.bourse.lu).[Include whichever of the following applies or specify as “Not Applicable” (N/A). Note that the numbering should remain as set out below, even if “Not Applicable” is indicated for individual paragraphs or sub-paragraphs. Italics denote guidance for completing the Final Terms.]

[When completing any final terms, or adding any other final terms or information, consideration should be given as to whether such terms or information constitute "significant new factors" and consequently trigger the need for a supplement to the Prospectus under Article 16 of the Prospectus Directive.]

70 1. Issuer: EUROHYPO Europaïsche Hypothekenbank S.A.

2. [(i)] Series Number: 123 [(ii) Tranche Number: [ ] (If fungible with an existing Series, details of that Series, including the date on which the Pfandbriefe become fungible).] 3. Specified Currency or EUR Currencies: 4. Aggregate Nominal Amount: [ ] [(i)] Series: [ ] [(ii) Tranche: [ ] 5. Issue Price: [ ] per cent. of the Aggregate Nominal Amount [plus accrued interest from [insert date] (if applicable)] 6. Specified Denominations: €1,000 7. [(i)] Issue Date: [ ] [(ii)] Interest Commencement [ ] Date: 8. Maturity Date: 4 June 2018

9. Interest Basis: 4,25 % Fixed Rate

10. Redemption/Payment Basis

11. Status of the Pfandbriefe: Senior, Secured

[Date [Board] approval for [ ] [and [ ], respectively]] issuance of Pfandbriefe obtained: 12. Method of distribution: [Syndicated/Non-syndicated]

PROVISIONS RELATING TO INTEREST (IF ANY) PAYABLE 13. Fixed Rate Pfandbriefe Applicable Provisions (i) Rate[(s)] of Interest: 4.25% per cent. per annum payable annually in

arrears (ii) Interest Payment 4 June in each year Date(s): (iii) Fixed Coupon [ ] per [ ] in Nominal Amount Amount[(s)]:

71 (iv) Broken Amount(s): [Insert particulars of any initial or final broken interest amounts which do not correspond with the Fixed Coupon Amount[(s)]] (v) Day Count Fraction: Actual/Actual [ICMA] (vi) Determination Dates: [ ] in each year (insert regular interest payment dates, ignoring issue date or maturity date in the case of a long or short first or last coupon. N.B. only relevant where Day Count Fraction is Actual/Actual ([ICMA])) (vii) Other terms relating to the Not Applicable method of calculating interest for Fixed Rate Pfandbriefe:

PROVISIONS RELATING TO REDEMPTION

14. Final Redemption Amount of [●] per Pfandbrief of €1,000 each Pfandbriefe Payment Date: 4 June 2018

GENERAL PROVISIONS APPLICABLE TO THE PFANDBRIEFE

15. Form of Pfandbriefe: Bearer Pfandbriefe: Permanent Global Pfandbrief (i) NGN/CGN [New Global Note Form][Classical Global Note Form] 16. Financial Centre(s) or other TARGET Business Day special provisions relating to payment dates: 17. Consolidation provisions: [Not Applicable/The provisions [in Condition ●] apply] 18. Other final terms: [Not Applicable/give details] (When adding any other final terms consideration should be given as to whether such terms constitute "significant new factors" and consequently trigger the need for a supplement to the Prospectus under Article 16 of the Prospectus Directive.)

DISTRIBUTION

19. (i) If syndicated, names and Barclays Bank PLC addresses of Managers 5 The North Colonnade and underwriting Canary Wharf commitments: London E14 4BB London Dresdner Bank Aktiengesellschaft Juergen-Ponto-Platz 1

72 D-60301 Frankfurt am Main Bayerische Hypo-und Vereinsbank AG Arabellastr. 12 D-81925 München CDC IXIS Capital Markets, Zweigniederlassung Frankfurt Bockenheimer Landstrasse 51- 53 D-60325 Frankfurt am Main Citigroup Global Markets Limited Frankfurt Branch Reuterweg 16 D-60323 Frankfurt am Main Commerzbank Aktiengesellschaft Mainzer Landstrasse 153 D-60327 Frankfurt am Main Deutsche Bank Aktiengesellschaft Grosse Gallusstrasse 10 – 14 D- 60272 Frankfurt am Main [Not Applicable/give names, addresses and underwriting commitments] (Include names and addresses of entities agreeing to underwrite the issue on a firm commitment basis and names and addresses of the entities agreeing to place the issue without a firm commitment or on a "best efforts" basis if such entities are not the same as the Managers.) (ii) Date of [Subscription] [ ] Agreement: (iii) Stabilising Manager(s) (if [Not Applicable/give name] any): 20. If non-syndicated, name and [Not Applicable/give name and address] address of Dealer:

21. Total commission and [ ] per cent. of the Aggregate Nominal Amount concession: 22. Additional selling restrictions: [Not Applicable/give details] 23. Name and address of the entities which have a firm commitment to act as intermediaries in the secondary trading, providing liquidity through bid and offer rates and description of the main terms of

73 their commitment

LISTING AND ADMISSION TO TRADING APPLICATION

These Final Terms comprise the final terms required to list and have admitted to trading the Pfandbriefe described herein pursuant to the Prospectus dated 30 August 2006. RESPONSIBILITY

The Issuer accepts responsibility for the information contained in these Final Terms.

Signed on behalf of the Issuer:

By: ...... Duly authorised

74 PART B – OTHER INFORMATION

LISTING AND ADMISSION TO TRADING

(i) Listing: Luxembourg

(ii) Admission to trading: [Application has been made for the Pfandbriefe to be admitted to trading on [ ] with effect from [ ].] [Not Applicable.]

(Where documenting a fungible issue need to indicate that original securities are already admitted to trading.)

RATINGS

Ratings: The Pfandbriefe to be issued have been rated: [S & P: [ ]] [FITCH: [ ]] [[Other]: [ ]] [Need to include a brief explanation of the meaning of the ratings if this has previously been published by the rating provider.] (The above disclosure should reflect the rating allocated to Pfandbriefe of the type being issued under the Programme generally or, where the issue has been specifically rated, that rating.)

NOTIFICATION

The CSSF [has been requested to provide/has provided - include first alternative for an issue which is contemporaneous with the establishment or update of the Programme and the second alternative for subsequent issues] the competent authorities in Austria, Belgium, France, Germany, Ireland, Italy, the Netherlands and the United Kingdom with a certificate of approval attesting that the Prospectus has been drawn up in accordance with the Prospectus Directive.

INTERESTS OF NATURAL AND LEGAL PERSONS INVOLVED IN THE [ISSUE/OFFER]

Need to include a description of any interest, including conflicting ones, that is material to the issue/offer, detailing the persons involved and the nature of the interest. May be satisfied by the inclusion of the following statement:

75 "Save as discussed in ["Subscription and Sale"], so far as the Issuer is aware, no person involved in the offer of the Pfandbriefe has an interest material to the offer."]

REASONS FOR THE OFFER, ESTIMATED NET PROCEEDS AND TOTAL EXPENSES

[(i)] Reasons for the offer: [●] (See ["Use of Proceeds"] wording in Prospectus – if reasons for offer different from making profit and/or hedging certain risks will need to include those reasons here.)]

[(ii)] Estimated net proceeds: [ ] (If proceeds are intended for more than one use will need to split out and present in order of priority. If proceeds insufficient to fund all proposed uses state amount and sources of other funding.)

[(iii)] Estimated total expenses: [] [Include breakdown of expenses.]

Fixed Rate Pfandbriefe Only – YIELD

Indication of yield: [] Calculated as [include details of method of calculation in summary form] on the Issue Date. As set out above, the yield is calculated at the Issue Date on the basis of the Issue Price. It is not an indication of future yield.]

OPERATIONAL INFORMATION

ISIN Code: XS0169781753 Common Code: 016978175 Any clearing system(s) other than Not Applicable Euroclear Bank S.A./N.V. as operator of the Euroclear System and Clearstream Banking, société anonyme and the relevant identification number(s): Delivery: Delivery [against/free of] payment

76 Names and addresses of additional [ ] Paying Agent(s) (if any): Intended to be held in a manner which [Applicable/NA] would allow Eurosystem eligibility [The Pfandbriefe are intended upon issue to be deposited with one of the ICED’s common safekeepers, this does not necessarily mean that the Pfandbriefe will be recognised as eligible for Eurosystem either upon or at any time during their life. Such recognition will depend upon satisfaction of the Eurosystem eligibility criteria]

GENERAL

Applicable TEFRA exemption: C Rules

77

EUROHYPO Europäische Hypothekenbank S.A.

Incorporation, Registered Office, Duration and Object

The Issuer was incorporated in Luxembourg as a “société anonyme” on 24 April 1989, with the name “Europäische Hypothekenbank der Deutschen Bank”. The incorporation is published in the Memorial C, Recueil des Sociétés et Associations, N°200 of 20 July 1989.

Following a decision of the Extraordinary General Meeting held on 8 November 1990, the name was changed to “Europäische Hypothekenbank S.A.”, published in Mémorial C, Nr. 484 of 28 December 1990.

Following a decision of the Extraordinary General Meeting held on 28 March 2003, the name was changed to “EUROHYPO Europäische Hypothekenbank S.A.”, published in Mémorial C, Nr. 509 of 10 May 2003. Its commercial name is Eurohypo Lux.

The Issuer is incorporated for an unlimited period of time.

It is registered in the Register of Commerce and Companies in Luxembourg (www.rcsl.lu) under the Number B 30469.

The address of its registered office is 5, rue Heienhaff, L-1736 Senningerberg, Luxembourg. Tel: +352 26 34 55-1.

The object of the Issuer is to conduct all business which a Pfandbrief bank is allowed to conduct pursuant to the law of 5 April 1993 on the financial sector, as amended (Loi du 5 avril 1993 sur le secteur financier, telle que modifiée). Since September 1999, the Issuer is in possession of a specialized banking license pursuant to the Luxembourg law concerning mortgage banks dated November 21, 1997, which became part of the law of 5 April 1993 as Art. 12-1 to Art. 12.-9. As a result of that, it is authorized to issue Lettres de gage (Pfandbriefe) according to Luxembourg law in order to refinance its lending activities which are possible as mortgage secured lending or public sector secured lending as main business and to do related and ancillary business. Before September 1999 it had a licence for general banking business. The Issuer had a branch in Dublin, Ireland, which has ceased its activities on 31 July 2006 and has been closed.

Share capital and Shareholders

At 31 December 2005 the Issuer’s ordinary share capital amounted to € 234,631,000 divided into 234,631 registered shares in the denomination of € 1,000 each. EUROHYPO AG, Eschborn, which was created in 2002 by the merger of the mortgage bank subsidiaries of Deutsche Bank AG, Dresdner Bank AG and Commerzbank AG, holds all but one of the shares in the Issuer.

78 There has been a significant change in the shareholder structure of EUROHYPO AG (as described below).

Capitalisation

The following table sets forth the capitalisation (unaudited) of the Issuer as of 31 December 2005 in comparison to the capitalisation (unaudited) of the Issuer as of 31 December 2004.

As of As of

31 31 December December 2004 2005

(in EUR (in EUR millions) millions)

Liabilities Liabilities to banks Registered public Pfandbriefe issued ...... 5.0 5.0 ...... Liabilities to customers Registered public Pfandbriefe issued ...... 1,088.3 1,112.2 ...... Liabilities in certificate form Public Pfandbriefe ...... 8,786.9 13,237.9 ...... Other bonds...... 191.6 191.6 ...... Total liabilities...... 10,071.8 14,546.7 ......

Capital and reserves Subscribed capital ...... 234.6 234.6 ...... Reserves ...... 15.9 19.5 ...... Total capital and reserves ...... 250.5 254.1 ...... Total capitalisation ...... 10,322.3 14,800.8 ......

Save as disclosed herein, there has been no material change in the capitalisation of the Issuer since 31 December 2005

Management

The composition of the Board of Directors and the General Management is as follows:

79 Board of Directors:

Henning Rasche Chairman Member of the Board of Managing Directors of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Dirk Wilhelm Schuh Vice Chairman Deputy Chairman of the Board of Managing Directors of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Reinolf Dibus Member of the Board of Managing Directors Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Wolfgang Groth Head of Treasury of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Hermann Vogt Head of Public Finance of EUROHYPO AG, Frankfurt am Main Professional address: Helfmann Park 5 D-65760 Eschborn Germany

Managing Directors

Reinolf Dibus, Treasury and Credits Member of the Board of Directors Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

80

Walter Siemann, Internal Organisation Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Jean-Luc Spetz, Credit Risk Management, Legal, Compliance, Loan Administration Professional address: Airport Center 5, rue Heienhaff L-1736 Senningerberg Luxembourg

Conflict of Interests

There are no potential conflicts of interests between any duties owed by the members of the Board of Directors and the members of the General Management to the Issuer and any private interests or other duties which such person may have.

Special Auditor (Treuhänder)

PricewaterhouseCoopers S.à.r.l., 400, route d’Esch, L-1471 Luxembourg, Luxembourg, is the special auditor monitoring the Issuer’s collateral pool for Pfandbriefe (Lettres de Gage).

Auditors

KPMG Audit Réviseurs d’Entreprises, 31, Allée Scheffer, L-2520 Luxembourg, Luxembourg, member of the Luxembourg “Institut des Réviseurs d’Entreprises” are the Issuer’s independant auditors. They have audited the financial statements of the Issuer for the years 1999 until 2005 and have issued their unqualified opinion in each case.

Annual Meetings

The annual meeting of the shareholders takes place on 15 April of each year at the Issuer’s registered office or any other place in Luxembourg specified in the invitation to the shareholders.

Financial Year

The financial year of the Issuer is the calendar year.

Business Overview

Founded in 1989 in Luxembourg with a licence for general banking business, the Issuer initially conducted only public sector financing and mortgage banking business.

The Issuer exchanged its licence for general banking business in September 1999 for a specialised licence as a Pfandbriefbank (banque d’émission de lettres de gage) and is since then authorised to issue Pfandbriefe in accordance with the Luxembourg Pfandbrief Law.

In line with this law the Issuer is allowed to do as principal business public sector and property lending and issue Pfandbriefe which are covered respectively by public sector or mortgage loans. However, the Issuer focuses on public sector finance in EU and OECD countries with the exception of Turkey, Mexico and 81 South Korea as set out in its Articles of Association. To fund these lending activities the Issuer issues Pfandbriefe depending on market conditions and investor interest (i.e. fixed rate, floating rate, currency, term) and does repo business (repurchase transactions) with banks. On 31 December 2005 the Issuer had 38 employees. The Issuer’s branch office in Ireland, EUROHYPO Europäische Hypothekenbank S. A., Dublin Branch has ceased its activities on 31 July 2006 and has been closed. Principal activities The Bank is a specialist provider of financing for the public sector markets. It focuses on public sector financing activities and raises funding for this business activity through the issuance of public Pfandbriefe and repo business (repurchase transactions). Principal markets According to the Luxembourg Pfandbrief law the Issuer is allowed to do business in all OECD and EU countries. However in its Articles of Association it has restricted itself by not doing business in Turkey, Mexico and South Korea. The Issuer’s principal geographical markets are Continental Europe, the United Kingdom, the United States of America, Canada and Japan. Description of the group The Issuer is part of Commerzbank Group. Since 31 March 2006 Commerzbank Group owns 98 per cent. of Eurohypo AG which in turn holds all but one share of the shares in the Issuer. Major Shareholdings

The Issuer holds a 33 per cent. interest in the capital of EUROHYPO Investment Banking Limited, London (formerly Deutsche Equus Limited, London).

Recent Development and Outlook

The newly restructured public finance division launched on 1 January 2005 with its central portfolio has already produced impressive results in its first year. The Issuer’s new commitments in public sector finance totalled € 9.7 billion in 2005, compared with € 2.8 billion in the previous year. During the financial year 2005, issuing activities totalled a volume of € 6.8 billion, compared with € 2.2 billion in 2004. A major individual transaction was the first issue in domestic Canadian dollars, a 10-year bond for 250 million Canadian dollars. This was aimed at spreading the existing investor base still further. On 4 April 2006 the Issuer received from Eurohypo AG subordinated capital in form of a loan of € 100,000,000. The Issuer remains the top issuer in the Luxembourg Pfandbrief (Lettres de Gage) market and increased its market share to 56 per cent. at the end of the year, as shown by statistics the Issuer compiles for itself and the other Pfandbriefbanks in Luxembourg with regard to the nominal amount of Pfandbriefe outstanding. As a result of these significant growth rates, the Issuer is today among the top ten Luxembourg banks in terms of total assets. KPMG in its analysis of the Luxembourg banking market (Luxembourg Banks - Insights 2006) and the Luxembourg newspaper “d’Wort” in its comparison of the banks in Luxembourg (classement des banques), both referring to the financial statements as of 31 December 2005, allocate in terms of total assets position 8 to the Issuer. Eurohypo Group has assigned to the Issuer the responsibility for direct acquisitions in France, Belgium, Luxembourg and Switzerland.

82 The business model for public sector finance business which was introduced across the Group in 2005 will be consistently implemented. As in the previous year, the Issuer will be taking a prominent role in the context of the new business activities for the Eurohypo Group and contributing the expertise and experience in the public sector gained since its establishment, making best use of the special potential offered under Luxembourg law. In terms of issuing business, the Issuer will be using its excellent positioning in the various markets and high level recognition and visibility in international investor circles to develop a thriving issuing operation in various currencies and to respond to the challenge of market leadership for Pfandbriefe (Lettres de Gage Publiques) in Luxembourg’s financial centre.

Significant change in the Issuer’s financial position The Issuer achieved growth unequalled in its history. Total assets were up 43 per cent. from € 16.7 billion at 31 December 2004 to € 23.8 billion at the end of 2005. For the first time ever, the financial year ended with a profit after tax of more than € 20 million. This increase to 21.3 million from € 15.1 million the previous year represents growth of 36.3 per cent. ROE of 10.1 per cent. after tax means that Eurohypo Luxembourg has already achieved the 9 per cent. target in 2005, which the parent company had set for the financial year 2007.

Cash flow statement The Issuer is a specialist provider for financing in the public sector. It engages solely in public sector financing activities and funds these activities primarily through the issuance of public Pfandbriefe (Lettres de Gage Publiques) and repo business (repurchase transactions). The entire nominal value of Pfandbriefe in issue must be secured fully and at all times by appropriate cover collateral. The outstanding Pfandbriefe are covered by all collateral assets registered in the cover register. Claims are not allocated to a specific Pfandbrief or Series. The pool of claims is not static, but characterized by a constant flow of incoming and outgoing items. The Luxembourg Pfandbrief law states that Pfandbriefe in circulation and the assets that cover them, including the respective hedge derivatives, are not affected in case of the bank’s bankruptcy or a moratorium, but are treated as special funds. The final maturity and current servicing of Pfandbriefe are thus not influenced by bankruptcy of the issuing bank. Hence, cash flow statements are not pertinent for Holders of Pfandbriefe. A Holder is mainly interested in the quality and the value of the assets in the collateral pool. An overview of the composition of the collateral pool is stated in the annual report (pages 48 and 49 in the Annual Report for 2004 and pages 52 and 53 in the Annual Report for the year 2005). In order to provide high transparency the Issuer provides on its regularly updated website “www.eurohypo.lu” comprehensive information about its business development and about the composition of the collateral.

Important Events There has been a significant change in the shareholder structure of EUROHYPO AG, the Issuer’s shareholder. The previous shareholder structure was the following: Deutsche Bank Group 28% Commerzbank Group 49%

83 Allianz Group 21% Free Float 2%

Since 31 March 2006 Commerzbank Group owns 98 per cent. of Eurohypo AG’s share capital.

A reorganisation of activities has taken place in the Ireland branch as part of the staff reduction measures at Group level. In this context, all claims and liabilities as at 1 November 2005 have been transferred to the office in Luxembourg and at the same time, the scope of the branch office has been restricted to that of an origination platform only. During the course of these changes, 12 employees were made redundant. The Dublin branch has ceased its activities on 31 July 2006 and has been closed. Trend information The Issuer anticipates positive returns and a moderate increase in volumes for the financial year 2006 compared to the exceptional growth in 2005 as well as cost and income synergies from the acquisition of Eurohypo AG by Commerzbank, which are likely to generate dynamic momentum for the Bank and its business development. Statement of “No Material Adverse Change” There has been no significant change in the prospects of the Issuer since the date of its last published audited financial statements.

84 FINANCIAL INFORMATION CONCERNING THE ISSUER INCORPORATED BY REFERENCE

1. Annual reports for the two last financial years (comprising the audit report, the balance sheet, the profit and loss account and the notes to the financial statements);

2. Undertaking that the financial statements have been verified; and

3. Description of the significant changes in the issuer’s financial position.

Any information not listed in the cross reference list but included in the documents incorporated by reference is given for information purposes only.

Annual Report for the year 2004 Annual Report for the year 2005

Notes to the page 42 to 59 pages 46 to 63 financial statements

Audit report page 37 page 41

Balance sheet pages 38 and 39 pages 42 and 43

Profit and loss pages 40 and 41 pages 44 and 45 account

Undertaking page 37 (auditor’s report) page 41 (auditor’s report) that the financial statements have been verified

Description of page 32 to 36 (management report) pages 34 to 41 (management report) the significant changes in the issuer’s financial position

85

TAXATION

The statements herein regarding taxation in Luxembourg are based on the laws in force in Luxembourg as of the date of this Base Prospectus and are subject to any changes in law. The following summary does not purport to be a comprehensive description of all the tax considerations which may be relevant for a decision to purchase, own or dispose of the Pfandbriefe. Each prospective Holder or beneficial owner of the Pfandbriefe should consult its tax advisor as to the Luxembourg tax consequences of the ownership and disposition of the Pfandbriefe.

Tax Residency

A Holder will not become resident, or be deemed to be resident, in Luxembourg by reason only of the holding of the Pfandbriefe, or the execution, performance, delivery and/or enforcement of the Pfandbriefe.

Withholding tax

Under Luxembourg tax law currently in effect and with the possible exception of interest payable to individual Holders, there is no withholding tax for Luxembourg resident and non-resident Holders of the Pfandbriefe on payments of interest (including accrued but unpaid interest). There is also no Luxembourg withholding tax, with the possible exception of payments made to individual Holders, on payments received upon redemption, repayment of the principal or upon an exchange of the Pfandbriefe.

Luxembourg non-resident individuals

Under the Luxembourg law dated 21 June 2005 implementing the European Council Directive 2003/48/EC on the taxation of savings income (the “Savings Directive”), and several agreements concluded between Luxembourg and certain dependent territories of the European Union, a Luxembourg based paying agent (within the meaning of the Savings Directive), is required since 1 July 2005 to withhold tax on interest and other similar income paid by it to (or under certain circumstances, to the benefit of) an individual resident in another Member State, unless the beneficiary of the interest payments opts for the exchange of information procedure or for the tax certificate procedure. The same regime applies to payments to individuals resident in certain EU dependent territories.

The withholding tax rate is initially 15 per cent., increasing steadily to 20 per cent. and to 35 per cent. The withholding tax system will only apply during a transitional period, the ending of which depends on the conclusion of certain agreements relating to information exchange with certain other countries.

Luxembourg resident individuals

A 10 per cent. withholding tax has been introduced, as of 1 January 2006, on interest payments made by Luxembourg paying agents (defined in the same way as in the Savings Directive) to Luxembourg individual residents. Only interest accrued after 1 July 2005 falls within the scope of the withholding tax.

Taxation of Luxembourg non-resident Holders of the Pfandbriefe

Holders who are non-residents of Luxembourg and who do not hold the Pfandbriefe through a permanent establishment or a fixed place of business in Luxembourg are not liable for any Luxembourg income tax, whether they receive payments of principal, payments of interest (including accrued but unpaid interest), payments received upon redemption, repurchase or exchange of the Pfandbriefe, or realize capital gains on the sale of any Pfandbriefe.

Taxation of Luxembourg resident Holders of the Pfandbriefe

General 86 Holders who are residents of Luxembourg, or non-resident Holders who have a permanent establishment or a fixed place of business in Luxembourg with which the holding of the Pfandbriefe is connected, will not be liable to any Luxembourg income tax on repayment of principal.

Luxembourg resident individuals

The 10 per cent. Luxembourg withholding tax (see the above section “Withholding tax”) represents the final tax liability for the Luxembourg individual resident taxpayers, receiving the payment in the framework of their private estate. Other Luxembourg individuals must include, for income tax purposes, any interest received in their taxable income. The withholding tax will be credited against their income tax liability.

Luxembourg resident individual Holders are not subject to taxation on capital gains upon the disposal of the Pfandbriefe, unless the disposal of the Pfandbriefe precedes the acquisition of the Pfandbriefe or the Pfandbriefe are disposed of within six months of the date of acquisition of these Pfandbriefe. Upon a repurchase, redemption or sale of the Pfandbriefe, interest (including accrued but unpaid interest) is subject to the 10 per cent. withholding tax. This interest must also be included in the taxable income of Luxembourg resident individuals receiving the income as business income, with a credit for the withholding tax.

Luxembourg resident companies

Luxembourg resident companies (sociétés de capitaux), Holders or foreign entities of the same type which have a permanent establishment in Luxembourg with which the holding of the Pfandbriefe is connected, must include in their taxable income any interest (including accrued interest) as well as the difference between the sale or redemption price (including accrued but unpaid interest) and the lower of the cost or book value of the Pfandbriefe sold, redeemed or exchanged.

Luxembourg resident companies benefiting from a special tax regime

Holders which are holding companies subject to the law of 31 July 1929 as amended by the Law of 21 June 2005 or undertakings for collective investment subject to the law of 20 December 2002 are tax exempt entities in Luxembourg, and are thus not subject to any Luxembourg tax (i.e. corporate income tax, municipal business tax and net wealth tax) on income received on the Pfandbriefe or gains realised upon their transfer other than the subscription tax calculated on their share capital or net asset value.

Net Wealth Tax

Luxembourg net wealth tax will not be levied on a Holder, unless (i) such Holder is a fully taxable Luxembourg resident company or (ii) such Pfandbriefe are attributable to an enterprise or part thereof which is carried on by a non-resident company through a Luxembourg permanent establishment.

VAT

There is no Luxembourg value added tax payable in respect of payments in consideration for the issuance of the Pfandbriefe or in respect of the payment of interest or principal under the Pfandbriefe or the transfer of the Pfandbriefe.

Other Taxes

There is no Luxembourg registration tax, stamp duty or any other similar tax or duty payable in Luxembourg by Holders of the Pfandbriefe as a consequence of the issuance of the Pfandbriefe, nor will any of these taxes be payable as a consequence of a subsequent transfer, repurchase or redemption of the Pfandbriefe, unless the documents relating to the Pfandbriefe are voluntarily registered in Luxembourg.

87 No inheritance tax is levied on the transfer of the Pfandbriefe upon death of a Holder in cases where the deceased was not a resident of Luxembourg for inheritance tax purposes. No Luxembourg gift tax is levied on the transfer of the Pfandbriefe by way of gift unless the gift is registered in Luxembourg.

88 GENERAL INFORMATION

Pfandbriefe and the Mortgage Banking Sector in Luxembourg

Overview

The legal framework for mortgage banks under Luxembourg law is the “Loi du 21 novembre 1997 relative aux banques d’émission de Iettres de gage” which entered Luxembourg’s general banking law as Articles 12-1 to 12-9. Key elements are certain restrictions on lending which, in principle, is restricted to granting loans to the public sector or loans secured by mortgages (specialized bank principle), a privileged status of Pfandbrief Holders in case of bankruptcy, which gives them a privilege statutory claim to the cover stock (cover principle and bankruptcy privilege). The volume of Pfandbriefe in issue is limited to 60 times capital and reserves. Finally, Luxembourg banks eligible to issue Pfandbriefe are also subject to special supervision.

As of 10 July 2000 the Luxembourg law concerning Pfandbrief banks has been amended. The changes relate mainly to the protection of creditors in the case of a bank’s bankruptcy and to several clarifications on the inclusion of derivatives as hedge instruments in the cover stock. Besides the features of Luxembourg law which are comparable to laws in neighbouring countries, there are also deviations in several areas which permit the banks operating in Luxembourg to pursue a more international strategy.

Business areas and specialized bank principle

In Luxembourg, as in Ireland and France, the specialized bank principle applies, i.e. only certain banks subject to special supervision (Banques d’émission de lettres de gage) are entitled to issue Pfandbriefe. In contrast to Germany, mixed-purpose banks in Luxembourg are not entitled to issue Pfandbriefe. To reduce the risks of other business activities, the lending business of these institutions is limited to granting mortgage loans and loans to the public sector. Banking and financial business extending beyond these activities is only admissible in so far as it has ancillary or auxiliary character.

Ancillary and auxiliary transactions mentioned in the law as typical of such business concern activities relating to real estate, the acquisition of property (to prevent losses or to meet the bank’s own requirements), the purchase and sale of securities for third parties as well as the custody of such securities or their use as security for credits. Surplus funds may be invested at suitable banks or in fixed-income securities and fund units (bond funds). Equity holdings may only be acquired if they serve the above mentioned business activities. For funding purposes, uncovered bonds – besides Pfandbriefe – may be issued in all currencies, and funds from outside sources and (secured) loans may be used. Here, deals to hedge exchange rates and interest rate positions (swaps) are also permitted. The volume of a mortgage bank’s Pfandbriefe in issue is limited in principle to 60 times capital and reserves.

Cover stock, cover principle and statutory bankruptcy privilege

The Luxembourg law prescribes for Mortgage (Hypotheken-) Pfandbriefe (lettres de gage hypothécaires) and Public Sector (Öffentliche) Pfandbriefe (lettres de gage publiques) separate cover pools with separate cover registers, in which the collateral has to be entered separately. Within the two cover registers, separate cover stocks must be kept for ordinary cover and substitute cover. Ordinary cover collateral are, in case of mortgage Pfandbriefe, claims secured by mortgages and, in case of public sector Pfandbriefe, claims against the public sector. Bonds, besides loans, are also deemed to be fundable claims. This includes bonds which have been issued by banks or public-law

89 corporations, which satisfy the requirements of Article 22 (4) of the UCIT Directive and are covered by property rights/real collateral or by claims against the public sector, e.g. Pfandbriefe from Denmark, Germany, France and Austria as well as covered bonds from Spain are also considered as fundable claims. Derivatives concluded to hedge interest rate and/or currency risks in the collateral pool must in principle be included in the respective cover pool and rank pari passu with claims of the Holders of the Pfandbriefe.

The entire nominal value of Pfandbriefe in issue must be secured fully and at all times by appropriate cover collateral. The outstanding Pfandbriefe are covered by all collateral assets registered in the respective cover register, and claims are not allocated to a specific Pfandbrief or Series. The pool of claims is not static, but characterized by a constant flow of incoming and outgoing items.

Öffentliche Pfandbriefe (public sector Pfandbriefe)

The granting of loans to the public sector is restricted in geographical terms to the member states of the EU, EEA and the remaining countries in the OECD. Beyond that, there is no quantitative statutory restriction on specific countries or groups of countries. The public sector for the purposes of the law is deemed to comprise the OECD member states (plus Liechtenstein), their entities and institutions, central administrative entities, regional and communal authorities as well as the other public agencies, organisms and corporations of member states. In this sector, the Luxembourg Pfandbriefbanks have a greater scope in lending business than for example German mortgage banks.

OECD-Countries and Ratings

S&P Moody's Fitch IBC A LC (1) FC (2) LC (1) FC (2) FC (2)

Australia AAA AAA Aaa Aaa AA+ Austria AAA AAA Aaa Aaa AAA Belgium AA+ AA+ Aa1 Aa1 AA+ Canada AAA AAA Aaa Aaa AAA Cyprus A A A2 A2 A+ Czech Republic A A- A1 A1 A Denmark AAA AAA Âaa Aaa AAA Estonia A A A1 A1 A Finland AAA AAA Aaa Aaa AAA France AAA AAA Aaa Aaa AAA Germany AAA AAA Aaa Aaa AAA Greece A A A1 A1 A Hungary A- A- A1 A1 BBB + Iceland AA+ AA- Aaa Aaa AA- Ireland AAA AAA Aaa Aaa AAA Italy AA- AA- Aa2 Aa2 AA Japan AA- AA- A2 Aaa AA Latvia A- A- A2 A2 A- Liechtenstein AAA AAA - - - Lithuania A A A3 A3 A-

90 Luxembourg AAA AAA Aaa Aaa AAA Malta A A A3 A3 A Netherlands AAA AAA Aaa Aaa AAA New Zealand AAA AA+ Aaa Aaa AA+ Norway AAA AAA Aaa Aaa AAA Poland A- BBB+ A2 A2 BBB + Portugal AA- AA- Aa2 Aa2 AA Slovakia A A A2 A2 A Slovenia AA AA Aa3 Aa3 AA- Spain AAA AAA Aaa Aaa AAA Sweden AAA AAA Aaa Aaa AAA Switzerland AAA AAA Aaa Aaa AAA U.S.A. AAA AAA Aaa Aaa AAA United Kingdom AAA AAA Aaa Aaa AAA

______

(1) LC = Local currency (2) FC = Foreign currency

As set out in the table above, the OECD countries include States with only moderate creditworthiness. lt may be assumed that some mortgage banks in Luxembourg will voluntarily restrict their business activities on certain country risk. The cover stock transparency achieved by publication in the Internet means that compliance with a self given higher quality standard will be verifiable.

Mortgage Pfandbriefe

Property rights and real collateral as weIl as bonds covered by such assets are eligible as cover for mortgage Pfandbriefe. The property rights include rights of ownership, use and long-term lease. Real collateral comprises mortgages and mortgage contracts for possession and beneficial use (antichresis). In principle, payments must have priority ranking. In geographical terms, the acquisition of claims secured by mortgages is limited to the EU and OECD region, as for Pfandbriefe secured by claims against the public sector. To reduce the risk of fluctuation in the market values of property and real estate, there is a loan-to-value ceiling of a maximum of 60 per cent.; a basically cautious calculation of the underlying market value is prescribed.

Substitute cover

The Luxembourg Pfandbrief banks may include assets eligible as substitute cover up to a limit of 20 per cent. in the cover stock. This corresponds to the limit in France, while in Germany the valid limit is 10 per cent. Assets eligible as substitute cover are:

– cash,

– balances with banks or central banks in the EU and OECD, and

– all other bonds which meet the requirements of Article 22 (4) of the UCITS Directive.

Statutory bankruptcy privilege

As in France and Germany, the Holders of Luxembourg Pfandbriefe have a statutorily privileged claim to the cover stock in case of payment difficulties on the part of the issuing Pfandbriefbank. Irrespective of issue date, maturity and volume, all issued Pfandbriefe have the same ranking here.

91 The recent adjustments to Luxembourg Pfandbrief law also ensure that Pfandbriefe in circulation and the assets that cover them, including the respective hedge derivatives, are not affected in case of the bank’s bankruptcy or a moratorium, but are treated as special funds. Should an issuer get into difficulties meeting its payment obligations, administration of the Pfandbriefe and the collateral assets is taken over by the Luxembourg Supervisory Commission for the Financial Sector (Commission de Surveillance du Secteur Financier) (CSSF). The CSSF can transfer the administration of the portfolios on the basis of a service contract to another admitted and regulated mortgage bank in the EU and OECD. A definitive transfer of the whole unit is possible if disadvantages for Pfandbrief Holders are excluded. The final maturity and current servicing of Pfandbriefe are thus not influenced by bankruptcy of the issuing bank. The share of loans from countries in which the statutory bankruptcy privilege title to the cover stock is not recognized or guaranteed is not restricted in Luxembourg.

Supervision

The Luxembourg Pfandbrief banks are subject to special supervision by the Luxembourg CSSF. At the same time, they must appoint a special auditor (Réviseur Spécial) who has the qualifications of an auditor (Wirtschaftsprüfer), but is not identical with the company’s auditor and who reports to the CSSF. The special auditor must be independent at all times. It represents neither Pfandbrief Holders nor the issuing bank and can be replaced at any time by the CSSF. The main task of the special auditor is to confirm the legal existence of the claims and to duly monitor registration and deletion of collateral assets in the cover register. Beyond that, the special auditor checks that derivatives used to maintain proper cover are being used for that purpose.

A full text version of the Luxembourg Pfandbrief Law can be found on the Internet page of the Issuer: www.eurohypo.lu.

92

Clearing Systems

The Pfandbriefe will be accepted for clearance through one or more Clearing Systems as specified in the applicable Final Terms. These systems will include those operated by Clearstream Banking, société anonyme, 48, Avenue J-F Kennedy, L-1855 Luxembourg, Luxembourg (“CBL”) and Euroclear Bank S.A./N.V., as operator of the Euroclear System, Brussels, 1, Boulevard du Roi Albert II, B-1210 Brussels, Belgium (“Euroclear”) or any other clearing system (including CBF, Euroclear France, SIS SegaInterSettle AG).

Selling Restrictions General

Each Dealer has agreed and each further Dealer appointed under the Programme will be required to agree, that it will comply with all applicable securities laws and regulations in force in any jurisdiction in which it purchases, offers, sells or delivers Pfandbriefe or possesses or distributes the Base Prospectus and will obtain any consent, approval or permission required by it for the purchase, offer, sale or delivery by it of Pfandbriefe under the laws and regulations in force in any jurisdiction to which it is subject or in which it makes such purchases, offers, sales or deliveries.

Neither the Issuer nor any Dealer has represented and nor any further Dealer appointed under the Programme will be required to represent that Pfandbriefe may at any time lawfully be sold in compliance with any applicable registration or other requirements in any jurisdiction, or pursuant to any exemption available thereunder, or assumes any responsibility for facilitating such sale. With regard to each Tranche, the relevant Dealer will be required to comply with such other additional restrictions as the Issuer and the relevant Dealer shall agree and as shall be set out in the applicable Final Terms.

United States of America

The Pfandbriefe have not been and will not be registered under the Securities Act, and, except as provided in the relevant Final Terms with respect to Pfandbriefe with a maturity on the issue date of one year or less, may not be offered, or delivered within the United States or to, or for the account or benefit of, U.S. persons except in accordance with Regulation S under the Securities Act or pursuant to an exemption from the registration requirements of the Securities Act.

Each Dealer has acknowledged and agreed and each further Dealer appointed under the Programme will be required to acknowledge and agree that the Pfandbriefe in bearer form are subject to U.S. tax law requirements and may not be offered, sold or delivered within the United States or its possessions or to a United States person, except in certain transactions permitted by U.S. tax regulations. Terms used in this paragraph have the meanings given to them by the U.S. Internal Revenue Code and regulations thereunder.

Except as provided in the relevant Final Terms with respect to Pfandbriefe with a maturity on the issue date of one year or less, each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that it has not offered, sold or delivered any Pfandbriefe, and will not offer, sell or deliver any Pfandbriefe (i) as part of their distribution at any time and (ii) otherwise until 40 days after the completion of the distribution of all Pfandbriefe of the Tranche of which such Pfandbriefe are a part, as determined and notified as provided below, except in accordance with Rule 903 or Rule 904 of Regulation S under the Securities Act.

Accordingly, each Dealer has further represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that neither it, its affiliates nor any persons acting on its or their behalf have engaged or will engage in any directed selling efforts with respect to any

93 Pfandbrief, and it and they have complied and will comply with the offering restrictions requirement of Regulation S.

Each Dealer who has purchased Pfandbriefe of a Tranche hereunder (or in the case of a sale of a Tranche of Pfandbriefe issued to or through more than one Dealer, each of such Dealers as to the Pfandbriefe of such Tranche purchased by or through it or, in the case of a syndicated issue, the relevant Lead Manager) shall determine and notify to the Fiscal Agent the completion of the distribution of the Pfandbriefe of such Tranche. On the basis of such notification or notifications, the Fiscal Agent has agreed to notify such Dealer/Lead Manager of the end of the restricted period with respect to such Tranche. Each Dealer has also agreed and each further Dealer appointed under the Programme will be required to agree that, at or prior to confirmation of any sale of Pfandbriefe, it will have sent to each distributor, dealer or person receiving a selling concession, fee or other remuneration that purchases Pfandbriefe from it during the restricted period a confirmation or notice to substantially the following effect:

“The Securities covered hereby have not been registered under the U.S. Securities Act of 1933, as amended, (the “Securities Act”) and no Dealer (or persons covered by Rule 903 (c) (2) (iv)) may offer, or deliver any Pfandbriefe constituting part of its allotment within the United States or to, or for the account or benefit of, U.S. persons except in accordance with Rule 903 or Rule 904 Regulation S under the Securities Act. Terms used above have the meanings given to them by Regulation S.”

Terms used in the above paragraph have the meanings given to them by Regulation S.

Each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that it has not entered and will not enter into any contractual arrangement with respect to the distribution or delivery of Pfandbriefe, except with its affiliates or with the prior written consent of the Issuer.

Pfandbriefe, other than Pfandbriefe with an initial maturity at original issue of one year or less, will be issued in accordance with the provisions of United States Treasury Regulation § 1.163-5 (c) (2) (i) (D) (the “D Rules”), or in accordance with the provisions of United States Treasury Regulation § 1.163-5 (c) (2) (i) (C) (the “C Rules”), as specified in the applicable Final Terms.

In addition, in respect of Pfandbriefe issued in accordance with the D Rules, each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that:

(a) except to the extent permitted under U.S. Treas. Reg. Section 1.163-5 (c) (2) (i) (D), (i) it has not offered or sold, and during the restricted period will not offer or sell, Pfandbriefe in bearer form to a person who is within the United States or its possessions or to a United States person, and (ii) such Dealer has not delivered and will not deliver within the United States or its possessions definitive Pfandbriefe in bearer form that are sold during the restricted period;

(b) it has and throughout the restricted period will have in effect procedures reasonably designed to ensure that its employees or agents who are directly engaged in selling Pfandbriefe in bearer form are aware that such Pfandbriefe may not be offered or sold during the restricted period to a person who is within the United States or its possessions or to a United States person, except as permitted by the D Rules;

(c) if such Dealer is a United States person, it has represented that it is acquiring the Pfandbriefe in bearer form for purposes of resale in connection with their original issuance and if such Dealer retains Pfandbriefe in bearer form for its own account, it will only do so in accordance with the requirements of U.S. Treas. Reg. Section 1.163-5 (c) (2) (i) (D) (6); and

94 (d) with respect to each affiliate that acquires from such Dealer Pfandbriefe in bearer form for the purposes of offering or selling such Pfandbriefe during the restricted period, such Dealer either (i) has repeated and confirmed the agreements contained in sub-clauses (a), (b) and (c) on such affiliate’s behalf or (ii) has agreed that it will obtain from such affiliate for the benefit of the Issuer the agreements contained in sub-clauses (a), (b) and (c).

Terms used in the above paragraph have the meanings given to them by the U.S. Internal Revenue Code and regulations thereunder, including the D Rules.

In addition, where the C Rules are specified in the relevant Final Terms as being applicable to any Tranche of Pfandbriefe, Pfandbriefe in bearer form must be issued and delivered outside the United States and its possessions in connection with their original issuance. Each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that it has not offered, sold or delivered, and will not offer, sell or deliver, directly or indirectly, Pfandbriefe in bearer form within the United States or its possessions in connection with the original issuance. Further, each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree in connection with the original issuance of Pfandbriefe in bearer form, that it has not communicated, and will not communicate directly or indirectly, with a prospective purchaser if such purchaser is within the United States or its possessions and will not otherwise involve its U.S. office in the offer or sale of Pfandbriefe in bearer form. Terms used in this paragraph have the meanings given to them by the U.S. Internal Revenue Code and regulations thereunder, including the C Rules.

Each issue of index-, commodity- or currency-linked Pfandbriefe shall be subject to such additional U.S. selling restrictions as the Issuer and the relevant Dealer may agree as a term of the issue and purchase of such Pfandbriefe, which additional selling restrictions shall be set out in the Final Terms. Each Dealer has agreed that it shall offer, sell and deliver such Pfandbriefe only in compliance with such additional U.S. selling restrictions.

United Kingdom of Great Britain and Northern Ireland (“United Kingdom”)

Each Dealer has represented and agreed and each further Dealer appointed under the Programme will be required to represent and agree that:

(a) in relation to any Pfandbriefe which have a maturity of less than one year, (i) it is a person whose ordinary activities involve it in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of its business and (ii) it has not offered or sold and will not offer or sell any Pfandbriefe other than to persons whose ordinary activities involve them in acquiring, holding, managing or disposing of investments (as principal or as agent) for the purposes of their businesses or who it is reasonable to expect will acquire, hold, manage or dispose of investments (as principal or agent) for the purposes of their businesses where the issue of the Pfandbriefe would otherwise constitute a contravention of Section 19 of the FSMA by the Issuer;

(b) it has only communicated or caused to be communicated and will only communicate or cause to be communicated an invitation or inducement to engage in investment activity (within the meaning of Section 21 of the FSMA) received by it in connection with the issue or sale of any Pfandbriefe in circumstances in which Section 21(1) of the FSMA does not apply to the Issuer; and

(c) it has complied and will comply with all applicable provisions of the FSMA with respect to anything done by it in relation to any Pfandbriefe in, from or otherwise involving the United Kingdom.

European Economic Area

95 In relation to each Member State of the European Economic Area which has implemented the Prospectus Directive (each, a “Relevant Member State”), each Dealer has represented and agreed, and each further Dealer appointed under the Programme will be required to represent and agree, that with effect from and including the date on which the Prospectus Directive is implemented in that Member State (the “Relevant Implementation Date”) it has not made and will not make an offer of Pfandbriefe to the public in that Relevant Member State, except that it may, with effect from and including the Relevant Implementation Date, make an offer of Pfandbriefe to the public in that Relevant Member State:

(a) in (or in Germany, where the offer starts within) the period beginning on the date of publication of a Prospectus in relation to those Pfandbriefe which have been approved by the competent authority in that Relevant Member State or, where appropriate, approved in another Member State and notified to the competent authority in that Relevant Member State, all in accordance with the Prospectus Directive and ending on the date which is 12 months after the date of such publication;

(b) at any time to legal entities which are authorised or regulated to operate in the financial markets or, if not so authorised or regulated, whose corporate purpose is solely to invest in securities;

(c) at any time to any legal entity which has two or more of (1) an average of at least 250 employees during the last financial year; (2) a total balance sheet of more than €43,000,000 and (3) an annual turnover of more than €50,000,000, as shown in its last annual or consolidated accounts; or

(d) at any time in any other circumstances which do not require the publication by the Issuer of a prospectus pursuant to Article 3 of the Prospectus Directive.

For the purposes of this provision, the expression an “offer of Pfandbriefe to the public” in relation to any Instrument in any Relevant Member State means the communication in any form and by any means of sufficient information on the terms of the offer and the Pfandbriefe to be offered so as to enable an investor to decide to purchase or subscribe the Pfandbriefe, as the same may be varied in that Member State by any measure implementing the Prospectus Directive in that Member State and the expression “Prospectus Directive” means Directive 2003/71/EC and includes any relevant implementing measure in each Relevant Member State.

Japan

The Pfandbriefe have not been and will not be registered under the Securities and Exchange Law of Japan (Law No. 25 of 1948) (as amended) (the "Securities and Exchange Law“). Accordingly, each of the Dealers has represented and agreed, and each further Dealer appointed under the Programme will be required to represent and agree, that it has not, directly or indirectly, offered or sold and will not, directly or indirectly, offer or sell Pfandbriefe in Japan or to, or for the benefit of, any resident in Japan (which term as used herein means any person resident in Japan, including any corporation or other entity organised under the laws of Japan) or to others for re-offering or re-sale, directly or indirectly, in Japan or to, or for the benefit of, any resident of Japan, except pursuant to an exemption from the registration requirements of, and otherwise in compliance with, the Securities and Exchange Law and other relevant laws and regulations of Japan.

Use of Proceeds

In the case of Public Pfandbriefe, the net proceeds will be used for financing loans to or guaranteed by public sector entities and in the case of Mortgage Pfandbriefe the net proceeds will be used for financing mortgage loans which qualify as collateral in accordance with the Luxembourg Mortgage Bank Act.

96 Listing Information

Luxembourg Stock Exchange

Application has been made to list and trade the Pfandbriefe to be issued under the Programme on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission. So long as the Pfandbriefe are listed on a market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission, the Issuer will maintain at least one paying agent in Luxembourg.

However, Pfandbriefe may be issued pursuant to the Programme which will not be listed on the Luxembourg Stock Exchange or any other stock exchange or which will be listed on such stock exchange as the Issuer and the relevant Dealer(s) may agree.

The above-mentioned documents are available for inspection at the head office of the Paying Agent in Luxembourg, Deutsche Bank Luxembourg S.A., 2 Boulevard Konrad Adenauer, L-1115 Luxembourg.

Each Paying Agent shall have available at its specified office a copy of the Amended and Restated Dealer Agreement dated 30 August 2006 (the “Dealer Agreement”) and of the Amended and Restated Fiscal Agency Agreement dated 30 August 2006 (the “Fiscal Agency Agreement”) and shall make available the inspection of these documents free of charge during normal business hours. Each Final Terms relating to the Pfandbriefe which shall be listed and traded on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commissions may be obtained from the Paying Agent in Luxembourg.

The Luxembourg Stock Exchange has allocated to the Programme the No. 12595 for listing purposes.

Undertaking

The Issuer has undertaken, in connection with the listing of the Pfandbriefe, that if, while Pfandbriefe are outstanding and listed and traded on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission, there shall occur any adverse change in the business, financial position or otherwise of the Issuer that is material in the context of issuance under the Programme which is not reflected in the Base Prospectus (or any of the documents incorporated by reference in the Base Prospectus) it will prepare or procure the preparation of a supplement to the Base Prospectus or, as the case may be, publish a new Base Prospectus for use in connection with any subsequent offering of Pfandbriefe to be listed and traded on the market of the Luxembourg Stock Exchange appearing on the list of regulated markets issued by the European Commission.

If the Terms and Conditions of the Pfandbriefe (as set out in the Base Prospectus) are modified or amended in a manner which would make the Base Prospectus, as amended or supplemented, inaccurate or misleading, a new Base Prospectus will be prepared to the extent required by law.

The Issuer will, at the specified offices of the Paying Agents, provide, free of charge, upon the oral or written request therefor, a copy of the Base Prospectus (or any document incorporated by reference in the Base Prospectus). Written or oral requests for such documents should be directed to the specified office of any Paying Agent or the specified office of the Listing Agent in Luxembourg.

The Issuer does not intend to provide post issuance information in relation to the underlying.

Authorisation

The establishment of the Programme was authorised by the competent representatives of the Issuer on 24 July 2001. The update of the Programme and the increase of the Programme amount to EUR 10,000,000,000 was authorised by the competent representatives of the Issuer on 18 November

97 2002. The update of the Programme for an unlimited amount was authorised by the competent representatives of the Issuer on 20 July 2005.

The issue of the first Tranche of Jumbo Pfandbriefe was authorised by the competent representatives of the Issuer on 20 May 2003.

Documents on display

During the life of this Base Prospectus, the following documents may be inspected without charge at the head office of the Paying Agent in the city of Luxembourg:

(1) verified financial statements for the last two financial years; and

(2) the articles of incorporation of the Issuer.

Representation of the Holders of Pfandbriefe

No representatives have been appointed for the time being. The general rules provided for in the Luxembourg law of 10 August 1915 on commercial companies, as amended will apply.

Issuer’s Website

The Issuer’s internet website can be accessed at: www.eurohypo.lu; however, no information published on the website shall be deemed to be incorporated herein by reference.

Legal and arbitration proceedings

The Issuer is not nor has during the last 12 months been engaged in any governmental legal or arbitration proceedings which may have or have had during such period a significant negative impact on the Issuer’s financial position, nor, as far as the Issuer is aware, are any such litigation or arbitration proceedings pending or threatened.

Material Change

Save as disclosed herein, there has been no material adverse change in the financial position of the Issuer since the publication of its most recent financial statements as of 31 December 2005 for which either audited financial information or interim financial information have been published.

98 NAMES AND ADDRESSES

Issuer

EUROHYPO Europäische Hypothekenbank S.A. Airport Center 5, rue Heienhaff L-1736 Senningerberg

Arranger

Deutsche Bank Aktiengesellschaft Grosse Gallusstrasse 10–14 D-60272 Frankfurt am Main

99 Dealers

ABN AMRO Bank N.V. Barclays Bank PLC 250 Bishopsgate 5 The North Colonnade London EC2M 4AA Canary Wharf London E14 4BB

Bayerische Hypo- und Vereinsbank AG Citigroup Global Markets Limited Arabellastr. 12 Citigroup Centre D-81925 München Canada Square Canary Wharf London E14 5LB

Commerzbank Aktiengesellschaft Credit Suisse Securities (Europe) Limited Mainzer Landstrasse 153 One, Cabot Square D-60327 Frankfurt am Main London E14 4QJ

Deutsche Bank Aktiengesellschaft Dresdner Bank Aktiengesellschaft Grosse Gallusstrasse 10-14 Juergen-Ponto-Platz 1 D-60272 Frankfurt am Main D-60301 Frankfurt am Main

DZ BANK AG Deutsche Zentral- Eurohypo Aktiengesellschaft Genossenschaftsbank, Frankfurt am Main Helfmann-Park 5 Platz der Republik D-65760 Eschborn D-60265 Frankfurt am Main

Goldman Sachs International HSBC Bank plc Peterborough Court 8, Canada Square 133 Fleet Street London E14 5HQ London EC4A 2BB

J.P. Morgan Securities Ltd. Morgan Stanley & Co. International Limited 125 London Wall 25 Cabot Square London EC2Y 5AJ Canary Wharf London E14 4QA

Nomura International plc Royal Bank of Canada Europe Limited Nomura House 71 Queen Victoria Street 1 St Martin’s-le-Grand London EC4V 4DE London EC1A 4NP

The Toronto-Dominion Bank UBS Limited Triton Court 1 Finsbury Avenue 14/18 Finsbury Square London EC2M 2PP London EC2A 1DB

100 Lead Managers (in connection with the issue of Jumbo Pfandbriefe)

Barclays Bank PLC 5 The North Colonnade Canary Wharf London E14 4BB

Dresdner Bank Aktiengesellschaft Juergen-Ponto-Platz 1 D-60301 Frankfurt am Main

Dealers (in connection with the issue of Jumbo Pfandbriefe)

Bayerische Hypo- und Vereinsbank AG Arabellastr. 12 D-81925 München

CDC IXIS Capital Markets, Frankfurt Branch Bockenheimer Landstrasse 51 –53 D-60325 Frankfurt am Main

Citigroup Global Markets Limited Frankfurt Branch Reuterweg 16 D-60323 Frankfurt am Main

Commerzbank Aktiengesellschaft Mainzer Landstrasse 153 D-60327 Frankfurt am Main

Deutsche Bank Aktiengesellschaft Grosse Gallusstrasse 10 – 14 D- 60272 Frankfurt am Main

Fiscal Agent

Deutsche Bank Aktiengesellschaft Corporate Trust & Agency Services Operations Frankfurt Grosse Gallusstrasse 10–14 D-60272 Frankfurt am Main

Listing and Paying Agent in Luxembourg

101

Deutsche Bank Luxembourg S.A. 2, Boulevard Konrad Adenauer L-1115 Luxembourg

Legal Adviser to the Lead Managers and to the Dealers as to Luxembourg law

Linklaters Loesch 35, avenue John F. Kennedy B.P. 1107 L-1011 Luxembourg

Auditors to the Issuer

KPMG Audit Réviseurs d’Entreprises 31, Allée Scheffer L-2520 Luxembourg

Special Auditor (Treuhänder)

PricewaterhouseCoopers S.à.r.l. 400, route d’Esch L-1471 Luxembourg

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