The following are comments by European Central Bank President Jean-Claude Trichet on Thursday after the bank cut interest rates to an all-time low of 1.0 percent. ON BUYING COVERED BONDS "The Governing Council has decided in principle that the euro system will repurchase euro denominated covered bonds issued in the euro area. Details will be announced after the monetary policy meeting on June 4." ON CREDIT SUPPORT "In addition to the reduction in interest rates the Governing Council decided to proceed with its enhanced credit support approach in continuity and consistency with the operations we have undertaken since October 2008." ON LONG-TERM REFIS "In recognition of the central role played by the banking system in financing the euro area economy we will conduct liquidity providing longer term refinancing operations with a maturity of 12 months. The operations will be conducted at fixed rate tender procedures with full allotment." "The rate for the first of these operations will be announced on 23 June will be the rate on main refinancing operations at that time. Subsequently the fixed rate may include a premium to the rate on the main refin operation depending on circumstances at the time." ON RATE DECISION "Current key ECB interest rates are appropriate, taking into account all available information and analysis."

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