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Press release from Business Wire

$200 Million Mortgage Financing Program to Benefit Low and Moderate Income Utah Home Buyers

<p class='bwalignc'> <i>Utah Housing Corporation and UBS Bank USA Announce New Lending Program</i> </p>

Monday, September 17, 2012

$200 Million Mortgage Financing Program to Benefit Low and Moderate Income Utah Home Buyers10:15 EDT Monday, September 17, 2012 SALT LAKE CITY (Business Wire) -- The financial and housing crisis of the last few years created significant challenges for existing homeowners as well as those desiring to purchase a home. Fortunately, through the collaboration of Utah Housing Corporation (UHC) and UBS Bank USA, a creative new funding source has been established that allows for an expansion of affordable financing options. UBS Bank USA extended $200 million to UHC through an innovative financing structure that resulted in more affordable mortgages for credit worthy Utah homebuyers – and placed UHC at the forefront of mortgage finance innovation among housing agencies across the nation. “This relationship harnesses the strengths and assets of both organizations to help provide more affordable mortgage choices for low-to-moderate income homebuyers in Utah,” said Rosemary Berkery, Chair, UBS Bank USA and Vice Chair, UBS Wealth Management Americas. This innovative financial arrangement is an important vehicle to fund UHC's popular first-time homebuyer program, which has helped more than 65,000 families gain home ownership in Utah over the last 30 years, and will increase the availability of mortgages with lower payment options and down payment assistance. Combined with historically low interest rates and housing prices, the program is expected to help draw homebuyers back into the market and potentially help move Utah's economic recovery forward. “Our mission is to make housing affordable for Utahns through finance and innovation. The relationship with UBS Bank USA helps us do both,” said Grant Whitaker, President and Chief Executive Officer of UHC. “By increasing home ownership to credit-worthy homebuyers, we help create financial stability for Utah's families and the state overall. We are pleased that UBS Bank USA embraced our vision and strategy. An additional benefit to UHC is the potential to replicate this new and innovative finance structure as a model with other funding sources.” The size and nature of this new financing structure for UHC demonstrates UBS Bank USA's commitment to community development. "It is a cornerstone of the UBS mission to be a committed and active community member in those cities and towns in which we operate. This relationship with UHC will allow many Utah families to purchase affordable homes, and UBS is proud to be a part of this extremely worthwhile endeavor,” said Lee Carter, President and COO, UBS Bank USA. About UBS Bank USA UBS Bank USA is a Utah industrial bank regulated by the Federal Deposit Insurance Corporation (FDIC) and the Utah Department of Financial Institutions. Based in Salt Lake City, Utah, UBS Bank USA offers FDIC-insured deposit accounts, as well as credit cards, mortgages and securities backed loans. UBS Bank USA is a wholly-owned subsidiary of UBS AG, one of the largest asset managers globally. About UBS AG UBS AG draws on its 150-year heritage to serve private, institutional and corporate clients worldwide, as well as retail clients in Switzerland. Its business strategy is centered on its preeminent global wealth management businesses and its universal bank in Switzerland. Together with a client-focused Investment Bank and a strong, well-diversified Global Asset Management business, UBS will drive further growth and expand its premier wealth management franchise. UBS is present in all major financial centers worldwide. It has offices in 57 countries, with about 35% of its employees working in the Americas, 36% in Switzerland, 17% in the rest of Europe, the Middle East and Africa and 12% in Asia Pacific. UBS employs about 65,000 people around the world. Its shares are listed on the SIX Swiss Exchange and the New York Stock Exchange (NYSE). About Utah Housing Corporation Established by legislation in 1975 as an independent public corporation, Utah Housing Corporation is the leader in serving Utah's affordable housing needs. Working with the private sector, Utah Housing provides mortgages and down payment assistance to low and moderate-income home buyers, finances affordable rental properties, and develops special needs housing. At no cost to the state, Utah Housing has provided financing for more than 65,000 Utah home buyers, and 22,500 affordable rental units. Utahns can visit the UHC website at www.utahhousingcorp.org, call 801-902-8200, or talk to their realtor or lending institution about homes in their community or UHC mortgage options. Media InquiriesUtah Housing CorporationCleon Butterfield, +1-801-902-8291orUBSKarina Byrne, +1-212-882-5692