Fernbank Partners LLC

www.fernbankpartners.com
info@fernbankpartners.com

PO Box 523714
Springfield, Virginia 22152
United States of America
775.468.8886

December 30, 2010

VIA ELECTRONIC MAIL

Finance Minister Giorgos Papakonstantinou

Hellenic Republic of Greece
Ministry of Finance
Kar. Servias 10
GR-101 80 Athens
gpapak@otenet.gr
minister@minfin.gr

RE: FINANCE M INISTRY SEEKING ADVICE DURING FIRST Q UARTER O F 2011 FO R (1)
INCREASING REVENUE, (2) REGULATING GAM ING AND (3) O PAP’S LICENSE

Dear Minister Giorgos Papakonstantinou:

Recent news states that the Hellenic Republic of Greece’s Government (the “Republic”) is considering the sale of its
ownership interest in the Greek Organization of Football Prognostics (“OPAP”). In an e-mail from your office, dated
December 16, 2010, it is stated that the Ministry is considering an extension of OPAP’s license agreement, which expires in
2020, and that there will be “an assessment of the best available options for the management” of this stake. Also, an e-mail
from your office, dated December 22, 2010, states that online gaming will be legalized and a Gambling Supervision
Commission (the “Commission”) will be set up in early 2011. We agree with the positions your office takes with regards to
(1) extending OPAP’s license agreement beyond 2020 and (2) legalizing online gaming in the Republic. However, regarding
the Republic’s sale of its stake in OPAP, there is a much more sensible approach that will generate far more capital for the
Republic, which would also allow the Republic, through the proposed Commission, to maintain the same, if not greater,
controls currently in place in the gaming industry. Furthermore, we propose a methodology, which if followed, will provide
the Republic an with option to significantly reduce the Republic’s debt either through increased earnings from its OPAP
holdings or through a sale of this holding at a price exponentially higher than today’s price. This methodology is set forth
below:

Instead of selling the Republic’s stake in OPAP for €1.4 billion right now, implement the steps proposed in this letter and
within a year the Republic can most likely sell its stake in OPAP for closer to €16 billion. Currently, OPAP sells for
approximately €4.08 billion, our proposals could increase this valuation to approximately €$47 billion based on our
estimated intrinsic value calculations.

First, your Ministry has the authority to make a simple change in the Republic’s license contract with OPAP that would have
the effect of increasing OPAP's value to roughly €25 billion, an increase of approximately €21 billion from today’s market
capitalization. This method is simple, OPAP has the license to operate as the exclusive gaming operator for legal gaming in
the Republic; however, this license is not perpetual and expires in 2020. From an investor’s perspective, this
 FERNBANK PARTNERS LLC

makes OPAP's future beyond 2020 unknown and assuming that OPAP will operate under similar conditions post-2020 is
imprudent. Meaning, OPAP should reasonably be thought of as a ten (10) year annuity paying out its earnings annually until
2020. This greatly reduces the underlying value that OPAP would command if it were allowed to operate as a going concern
into the distant future without the need to renew it's license every few years. If the Republic revises the license agreement
between the Republic and OPAP, to altogether eliminate the license's expiration, the Republic will immediately increase the
underlying value of OPAP by roughly six and a quarter (6.25) times, by extending the expected number of future cash flows
into the distant future. The Republic’s 34% investment in OPAP would therefore, correspondingly, increase from €1.4
billion to €8.5 billion.

Second, building upon the first value realizing step above, open the online gaming market to OPAP exclusively and
effectively in the Republic’s efforts to eliminate the illegal online gaming operators, OPAP's underlying value jumps, in our
estimation, from €25 billion (established in the prior paragraph) to nearly €47 billion, thereby increasing the Republic’s 34%
interest to €16 billion. If OPAP is allowed to capture the illegal online gaming market as well, through legalization by the
Republic, OPAP's value can reasonably be expected to nearly double due to the expected doubling in OPAP’s sales revenue
and corresponding increase in net income (Illegal gaming in the Republic is estimated to generate revenues of approximately
€5 billion, similar to OPAP’s current revenues). Furthermore, this will allow the Commission to more effectively regulate
the Republic’s gaming industry. Building upon the first step, this would increase value of the Republic’s stake in OPAP
from €8.5 billion to €16 billion.

This plan is ideal for several reasons. Namely, such a change would allow the Republic to maintain strict controls over the
gaming industry, which is vital, because a government must maintain adequate controls over certain “vice” industries.
Moreover, if the Republic were strong-headed in its desire to sell its ownership interests in OPAP, eliminating the expiration
of OPAP's license contract would allow the Republic to sell OPAP for a price that would yield the Republic up to €16
billion as opposed to the €1.4 billion likely realizable if sold as is today. This is a viable alternative to the current potential
sale of OPAP as reported by various media outlets, an alternative of significantly more value to the Republic. We hold no
illusions of the political hurdles in the Republic, the European Union and the International Monetary Fund, which must be
addressed to enact such a plan. All of these groups have a pecuniary interest in the Republic maximizing its income
potential in its OPAP holding, which in turn will accelerate the loan repayments of the Republic. After reading various
media reports and interviews you have conducted, we are confident that we are repeating to you a plan, which you most
likely already have conceived. However, we believe that a friendly reminder and the extra media attention will encourage
your colleagues in the Republic to adopt such a plan and help the Republic’s long-term interests.

We are happy to discuss this in greater detail, our contact information is provided in the letterhead.

Best Regards,
Matthew C. Pauls & Alex Tabatabai, Esq. // Fernbank Partners LLC

Disclosure: Fernbank Partners LLC manages Fernbank LLC, which owns shares in OPAP as a long-term investment.

Cc: Financials Times (London); Wall Street Journal (New York) (Copy to: Jason Zweig); International Times Herald
(New York); Bloomberg (New York); Naftemboriki (Athens); Imerisia (Athens); Kerdos (Athens); Isotimia
(Athens); Express (Athens); OPAP S.A. (Athens); Hellenic Republic of Greece’s Parliament (Athens); Prime
Minister of the Hellenic Republic, George Papandreou (Athens)