BANK CASPIAN JSC (Kazakhstan) changes terms of issue of its subordinate bonds of the 2nd issue

/KASE, October 2, 03/ - BANK CASPIAN JSC (Almaty) has presented to Kazakhstan stock exchange (KASE) documents, which confirm changes and additions in the Terms of the second issue of subordinate bonds of BANK CASPIAN JSC (Terms), which were registered by the National Bank of Kazakhstan on September 26 of 2003. Bonds (KZ2CKY07A743; KASE's official "А" listing category, CSBNb2; KZT3,100.0 m.; KZT20,000; May 28, 03 - May 28, 10; semi-annual coupon 9.5% APR, 30/360) are indexed on devaluation level of tenge to US dollar. In the former edition of the Terms a bondholder was protected from tenge revaluation only during repayment of the securities, i.e. while paying their indexed face value, which could not be less than face value. The included changes and additions protect investor from losses concerned with tenge revaluation while calculating coupon interest and accumulated interest. Thus, starting from September 26 of 2003 (since changes and additions registration date) system of accruing accumulated interest on these bonds is to be changed. Since this date coupon interest on the bonds is calculated as the product of security's face value, annual coupon of interest rate and number of days in the period of coupon accruing. Bond's indexed face value is calculated as the product of the face value (KZT20,000.00) and devaluation rate coefficient Kd = Xt/Xo, where Xt - weighted average rate of tenge to US dollar, which was determined at KASE's morning session on settlement date, and Xo - similar rate, which was in effect on bonds circulation start date (KZT150.43 for dollar). Changes and additions of the Terms, which are talked about, resulted in including of the phrase: If Xt is less than Xo, Kd =1, into the text of the Terms. [2003-10-02]