Issue, circulation and repayment terms of bonds of Bank Caspian JSC of the fourth issue

09.06.04 21:16
/IRBIS, Sergey Yakovlev, June 9, 04/ - Below is characteristics of bonds of Bank Caspian JSC (Almaty) of the fourth issue in accordance with their including into Kazakhstan stock exchange's (KASE) "A" listing category. ------------------------------------------------------------------------------- Type of bonds: Indexed convertible bonds with floating coupon rate Type of debt: unsecured insubordinated Issue and servicing currency: Kazakhstan tenge (KZT) National identification number: KZ2CKY07A204 Issue number in state register: A20 Register maintenance: Registratorskaya sistema tcennih bumag CJSC (Almaty) Date of issue registration: May 15, 04 Bond's face value in issue currency: 20,000 Issue volume in KZT: 7,000,000,000.00 Issue volume in securities: 350,000 Date of circulation start (issue date): June 6, 04 Circulation term: 7 years Floatation term: within whole period of circulation Date of register fixation at maturity: June 2, 11 Maturity date: June 3, 11, callable by the issuer, convertible Interest rate 7.5% for the 1st coupon period, further - floating depending on inflation Dates of interest payment December 3 and June 3 of each year Time basis at all settlements 30/360 european method Register fixation dates for coupon payment: Dec 2 and June 2 annually ------------------------------------------- ----------------------------------- Date of admittance in trade lists of KASE: June 9, 04 Trade code of KASE: CSBNb4 Date of first trades: To be defined later Quoting at KASE In clean prices, expressed as percentage of face value Quotation accuracy 4 decimal points Market-maker at KASE: RG Securities LLP (Almaty) Minimal volume of compulsory quotation: 90 bonds ------------------------------------------- ----------------------------------- Credit ratings of the issue absent as at June 9, 04 Credit ratings of the issuer Moody's E+/Ba3/stable/NP Fitch В-/positive/В/5 ------------------------------------------------------------------------------- Annual coupon rate on bonds is calculated as follows. During calculation of each first coupon payment in a calendar year, CPI is taken for the first quarter of the year of payment to corresponding quarter of the previous year in Kazakhstan minus 100 plus 1. During calculation for each second payment of the coupon in calendar year, CPI for the third quarter of the year of payment to corresponding quarter of the previous year in Kazakhstan minus 100 plus 1. In 2004 coupon rate is calculated as it were for the second payment of coupon in calendar year. The rate is revised twice a year at each coupon payment in calendar year. In case coupon rate is changed and if the rate is neither higher than upper limit for the coupon payment nor lower than lower limit, accrual and actual payment of coupon by the Issuer on bonds from the moment of the last coupon rate revision till new time for coupon rate revision is made based on the rate of the last revision. The issuer publishes the rate for each next coupon period through Kazakhstan Stock Exchange not later than date of coupon payment for the current period. Upper limit for coupon rate (in annual percentage) is calculated as (average CPI for all previous coupon payments) minus 100 plus 4.5. Average CPI is calculated by dividing the sum of CPIs registered as of all previous coupon payments by the number of previous payments. The lower limit for coupon payment is set to 2%APR. In case if revised coupon rate exceeds the upper limit for coupon rate, then accrual and actual payment of the coupon by the Issuer is made based on the upper limit of the rate. Accordingly, in case if revised coupon rate is lower than established lower limit for a coupon rate, the Issuer pays coupon based on lower limit of the rate. Coupon payment is paid twice a year based on following time convention: "360 days in a year / 30 days in a month". Coupon is paid in tenge by transferring amounts at bondholders' current accounts. Only persons, who are included in the bondholders' list (register) as of the beginning of the last day of a period for which coupon is accrued, are eligible for receiving such payments. Coupon is calculated as multiplication of the face value and annual coupon rate and number of days in a period all divided by 360. The last coupon is paid along with principal. In case if date of coupon payment or principal repayment falls on week end, the payment is made in the first working day that follows such day. The holder must not demand a compensation for lost interest or any other fine for a delay. Bonds are repaid at face value. Bonds are callable. The whole issue or part of the issue can be repaid in advance or bought at market by the issuer. Advance repayment (call of bonds) is made at face value. Bonds repurchase from market is made at market value of bonds calculated on the basis of arithmetic average price of the demand for bonds for the last three months at KASE 20 calendar days in advance prior to repurchase date, but at cost not higher than face value. All interest accrued by the date of repurchase is paid along with price of repurchase. The Issuer must inform of upcoming advance repayment not later than 10 days prior to advance repayment. The statement is released through Kazakhstan Stock Exchange. If more investors are willing to redeem bonds than the issuer planned, the issuer will choose the applications that were submitted earlier. If investors presented not full volume of bonds announced to be repaid in advance, only the part of submitted demand will be redeemed. Moreover, in such case the issuer has a right to recall bonds for the rest amount from each investor proportionally. Advance repayment is made through transferring amounts to accounts of holders eligible to receive such payment. The date of advance repayment is the date when amounts are transferred to current accounts of holders. Principal repayment is made through transferring amounts at holders' current accounts. Bonds are convertible. Bonds can be converted into common shares of the issuer. Bonds converted are regarded as redeemed in advance. Detailed description of terms of the issue is included in the Prospectus of the bonds. Proceeds will be used to finance bank's clients. Comprehensive profile of securities and its issuer, including conclusion of stock exchange's listing commission, is available at: http://www.kase.kz/emitters/csbn.asp [2004-06-09]