Kazakhstan Kagazy delays payment of 10th coupon and principal on bonds KZ2CKY05B448 (KKAGb1)

05.03.10 17:55
/KASE, March 5, 10/ - Kazakhstan Kagazy (Almaty oblast) informed Kazakhstan Stock Exchange (KASE) on delay of payment of the tenth coupon interest and the principal on bonds KZ2CKY05B448 (KKAGb1; KZT1, KZT4.0 bn; 18.02.05 - 18.02.10, semiannual coupon indexed to inflation rate, 10.10 % APR as for the last coupon period; 30/360). According to the prospectus Kazakhstan Kagazy had to pay the principal and the interest in the period February 18 through March 3, 2010. The prospectus specifies "in case the issuer defaults on payment or incompletely pays the coupon and/or the principal on bonds in the terms specified in the Prospectus a fine will be accrued in favor of bondholders for each day of delay, calculated on the basis of the official refinance rate of the Kazakhstan National Bank as on the day of compliance with money obligations or a part thereof". Kazakhstan Kagazy informed: Quotation begins Kazakhstan Kagazy informed at the time being the issuer has an outstanding debt on bonds with interest payment due: - KZ2CKY05B448: debt on the principal KZT3,302,020,000.00, and coupon interest KZT166,752,010.00. ... Currently the issuer is in talks with bondholders ... to agree changes in the bond issue prospectus. On the basis of the mentioned above the debt payment order will be agreed with bondholders. Ends The bonds were de-listed from KASE as circulation term expired February 18, 2010. Currently eleven companies listed on KASE informed of insolvency to fully or partially comply with obligations on their bonds. The list of listing companies, that admitted default on bonds, is available at the KASE website at section "Issuers" ("default") at http://www.kase.kz/en/emitters KASE reminds in accordance with the internal document "Rules on Release of Exchange Information" it does not assume responsibility for accuracy of the information it spreads in regard of KASE members and issuers listed on KASE, if such information is based on messages and documents, received from such members and issuers in pursuance with their obligations before the Exchange. At generation of such information KASE does not check accuracy of the messages and documents. The person, willing to disprove the information released in this message, must address to KASE with a corresponding official letter. [2010-03-05]