Finance Ministry changed emission parameters of MEOKAM issued in April

/IRBIS, Apr 11, 01/ - As IRBIS had informed before the government of Kazakhstan approved new wording of issue, floatation, circulation, redemption and servicing terms for government bonds (GB). New rules changed estimation basis for MEKAM, (MEKKAM, MEOKAM, MEAKAM, MEKAVM and MEIKAM) from Actual/364 to Actual/365. The amendments were enforced on April 02, 2001. In the respect, Finance Ministry reported new parameters of floated and announced emissions: Type of a bond MEOKAM-36 MEOKAM-24 MEOKAM-36 Previous NIN KZ53L0104A41 KZ52L1004A33 New NIN KZ53L0504A47 KZ52L1104A32 KZ52L1204A48 Trade code at KASE MOM036.034 MOM024.039 MOM036.035 Registering number of IRBIS 34/36 39/24 35/36 Face value, KZT 1,000.00 1,000.00 1,000.00 Date of auction Apr. 02, 01 Apr. 09, 01 Apr. 11, 01 Circulation date Apr. 05, 01 Apr. 12, 01 Apr. 12, 01 Maturity Apr. 04, 04 Apr. 12, 03 Apr. 11, 04 Coupon payments dates 1 Oct. 04, 01 Oct. 11, 01 Oct. 11, 01 2 Apr. 05, 02 Apr. 12, 02 Apr. 12, 02 3 Oct. 04, 02 Oct. 11, 02 Oct. 11, 02 4 Apr. 05, 03 Apr. 12, 03 Apr. 12, 03 5 Oct. 04, 03 Oct. 11, 03 6 Apr. 04, 04 Apr. 11, 04 Finance Ministry introduced new order of coupon interest payments for MEOKAM and MEAKAM in case if payments days fall on week-ends (this case is not stipulated by the rules that included only cases of pre-scheduled redemption). New order sets, if coupon payment falls on Saturday - coupon is repaid on previous day, if on Sunday, payments are made on next working day (there are no decisions on government Holidays). Thus, actual repayment days will be different from that stated in the table. For instance, KZ53L0504A47 emission will be redeemed (with coupon payment) on Apr. 05, 04. Fourth coupon will be paid on Apr. 04, 03, fifth - on Apr. 03, 03. As redemption date (with coupon) of MEOKAM-24 (KZ52L1104A32 emission) falls on Saturday (Apr. 12, 03), the issuer defined actual payment date - Apr. 11, 03 (this was the ground for appellation of a new NIN). This contradicts with existing rules that state "if the date prescheduled redemption or coupon payments falls on non-working day, then redemption is made on first working day next to non-working...." Nevertheless, the contradiction is eliminated by following notions "unless otherwise stipulated by the Finance Ministry of the Republic of Kazakhstan." Holders of KZ52L1204A48 bonds will receive nominal value of bonds and last coupon on Apr. 12, 04, fourth coupon - Apr. 11, 03, fifth coupon - Oct. 10, 03. IRBIS agency notes that yields of all Finance Ministry bonds (excluding National Saving Bonds) issued before Apr. 02, 01 are estimated using previous basis - Actual / 364. IRBIS agency became acknowledged that National Bank has not yet undertaken appropriate measures related to its binds - short-term notes. For instance, yield of 516th emission (KZ99K1306A18) floated on Apr. 10 is still estimated using Actual/364 basis. Nevertheless, it is still possible that NBK would shift to new system very soon.