ON MAY 28 SPECIALIZAED TRADES ON ADDITIONAL FLOATATION OF MUNICIPAL BONDS OF ATYRAU OBLAST OF THE 4TH ISSUE WILL BE HELD AT KASE

26.05.03 00:00
/KASE, May 26, 03/ - Kazakhstan stock exchange (KASE) informs that on May 28 of 2003 in KASE's Trade system specialized trades on primary additional floatation of municipal bonds of Atyrau oblast of the fourth issue will be held. The securities' issuer is domestic executive body (akimat) of Atyrau oblast. The issuer's financial consultant is TuranAlem Securities LLP (Almaty). Juridical consultant of the issuer and the issue is White & Case LLP (Almaty). The issuer's financial agent is Kazakhstan stock exchange CJSC (Almaty). Register on bonds is maintained by Central depository of securities CJSC (Almaty). Status of bonds' market-maker at KASE has been assigned to TuranAlem Securities LLP. At present the issuer has long-term rating Ba2 on borrowings in domestic and foreign currencies from rating agency Moody's Investors Service. The bonds have been admitted for circulation at the stock exchange by the decision of KASE's Council dated May 8 of 2003. During primary floatation of bonds, which was held at KASE on May 14, the issuer floated 23,530,000 bonds with the yield 8.50% APR to the amount of KZT2,353,000,000.00 that was 69.2% of the planned issue volume. Below are the issue's parameters, which have been announced by the issuer and his financial consultants, and also main parameters of the additional floatation. --------------------------------------------------------------------------------- Type of security inscribed coupon bond indexed on changing of the rate of KZT relative to USD Ordinal number of the issue 4 NIN KZЕ4KY050046 KASE trade code ART060.004 Issue currency KZ tenge Servicing currency KZ tenge Type of indexation face value on changing of the rate of KZT to USD of the National Bank of Kazakhstan Par value KZT100 Circulation starting date May 16, 03 (accumulated interest charging) Maturity date (planned / actual) May 13, 08 Circulation term 1,825 days (5 years) Type of coupon semi-annual Coupon rate (interest rate) 8.50% APR Dates of coupon payments (planned/actual) 1 Nov 13, 03 / Nov 13, 03 2 May 14, 04 / May 14, 04 3 Nov 12, 04 / Nov 12, 04 4 May 14, 05 / May 16, 05 5 Nov 12, 05 / Nov 14, 05 6 May 14, 06 / May 15, 06 7 Nov 12, 06 / Nov 13, 06 8 May 14, 07 / May 14, 07 9 Nov 12, 07 / Nov 12, 07 10 May 13, 08 / May 13, 08 Register fixation term at coupon payment 2 working days Register fixation term at redemption 3 working days Announced issue volume, KZT 3,400,000,000.00 Settlement basis Actual/365 Rate on circulation starting date (USD/KZT) 151.40 -------------------------------------------- ------------------------------------ Date of specialized trade conducting May 28, 03 Time for bids submitting to the trades 10:00a.m. - 1:00p.m. ALT Payment date (till 4:00 p.m. ALT) May 29, 03 (Т+1) Floatation volume, KZT 1,047,000,000.00 Accumulated interest on settlements date 0.326027% of the face value Rate on additional floatation date (USD/KZT) 150.80 --------------------------------------------------------------------------------- Indexed par value is calculated as product of the par value shown in the table (in KZT), and devaluation/revaluation rate coefficient (Kd), which is calculated as ratio of official US dollar rate set by the National Bank of Kazakhstan towards KZ tenge (Xt) on current date, to similar rate (Xo) on bonds' circulation starting date (Kd=Xt/Xo, Хо=151.40). Interest rate charging on bonds starts since the date, which follows the day of money transfer by the financial agent for the bonds, which were purchased by buyers at primary floatation to the issuer's account (May 16, 03), and is made during the whole circulation term, including maturity day. The issuer has the right for prescheduled redemption of bonds with interest payment for the time of their actual being in circulation in the next period of interest rate charging. Bonds are offered at prices, which are shown in submitted bids, in presence of fixed coupon interest rate. Subject of haggling is clean price, which is entered into KASE's trade system without accumulated interest in percentage towards indexed face value with accuracy of four decimal figures. Number of bonds in bid is to be equal to total indexed face value of securities in tenge, which is divisible by indexed face value of one bond. Satisfying of bids for bonds purchasing is made by the issuer by the results of specialized trades after conducting of cutting-off procedure with the step of one ten-thousandth of the price. Bids, in which prices are less than cutting-off price, are cut off. All bids, which are submitted at the price that is equal or more than cutting-off price, are satisfied at the shown in the bid price. The issuer may satisfy all or a part of bids, in which prices are equal to cutting-off price. In this case bids are satisfied in submitted order. Only limited (competitive) bids are admitted to the specialized trades. Bids may be submitted only by KASE members of "К" category (the right to participate in trades in government securities, which are admitted for circulation at the stock exchange). Investors may present bids through broker-dealer companies, which are KASE members of this category. The full list of KASE members of "К" category has been published in the stock exchange's site in the Internet (http://www.kase.kz/kasemembers/). Municipal debt liabilities may be bought by pension assets management companies (PAMC) at the expense of pension funds' assets only in presence of necessary permission of the National Bank of Kazakhstan, which is given for each separate issue. At present KASE has not the corresponding document concerning bonds of Atyrau oblast of the fourth issue. The decision, which the National Bank makes about it will be announced later. [2003-05-26]