Bankia will perform the 4:1 reverse split on 5 June

• The operation will make the Bankia share more liquid and less volatile
• The value of shareholders' holdings will not be affected

Bankia will carry out its reverse share split, in a ratio of four to one, on 5 June. This operation, known as a 'reverse split', is intended to improve the liquidity of the share while reducing volatility, since there is less relative fluctuation in the share price.

Today, the bank's board of directors agreed to execute the resolutions adopted by Bankia's General Shareholders' Meeting held on 24 March in Valencia.

The operation is scheduled to be carried out on 5 June, once the corresponding procedures have been completed. Accordingly, anyone that is a Bankia shareholder on 2 June will receive these new shares.

Shareholders that hold a number of shares that is not a multiple of four, may choose to either purchase or sell the necessary number of shares to bring the number of shares they hold to a multiple of four.

If a shareholder still holds a surplus number of shares on the day prior to the share swap, GVC Gaesco Beka will purchase the surplus at the closing share price on 2 June, at no cost to the shareholder, with the exception of any charges that may be made by their respective custodians. There will be no cost for shares deposited in Bankia.

This operation will have no impact on the total value of Bankia's capital, or on each shareholder's stake in the company's capital.

Once complete, the number of Bankia shares will be reduced from 11,517,328,544 to 2,879,332,136, but their price will be quadrupled. Taking today's closing price as an example, each Bankia share would increase in value from 1,102 euros to 4,408 euros.