ON DECEMBER 22 SPECIALIZED TRADES ON PRIMARY FLOATATION OF 7TH ISSUE BONDS OF KAZAKHSTAN MORTGAGE COMPANY JSC WILL BE HELD AT KASE

21.12.04 11:08
/KASE, December 21, 04/ - Kazakhstan stock exchange (KASE) informs that on December 22, 2004 specialized trades on primary floatation of mortgage bonds of Kazakhstan Mortgage Company JSC (Almaty) of the seventh issue (KZ2CKY07B303, KASE's official "A" listing category, KZIKb7; KZT1, KZT5,000.0 m.; October 01, 04 - October 01, 11, indexed by the level of inflation semi-annual coupon, 30/360) will be held at KASE. The issuer plans to float bonds for the amount of nominal value KZT1,000. m., (20% from registered volume of emission). The specialized trades will be held in the KASE's trade system from 11:30 a.m. till 1:00 p.m. of Almaty time (ALT). Issuer should determine cut off price till 3:00 ALT on the day of carrying out trades. Security purchaser is obliged to secure transference of money for purchased securities to stock exchange's correspondent account before 1:00 p.m. of Almaty time on December 23, 2004 (T+1). Limited bids (competitive in GS market's terminology) and market (noncompetitive) bids are admitted to the trades. Stake of satisfaction of market bids equals to 70%. As price in bid should be written figure of fixed margin, expressed with accuracy of two decimal figures. This is the subject of trade. Total face value of securities in tenge divisible by one bond's face value is to be shown in bid as the number of financial instruments. According to the terms of bonds issue, which are published in Internet http://www.kase.kz/emitters/scan/kzik/kzikf7_7_2004.pdf, figure of its interest rate in the current coupon period is calculated from fixed margin and level of inflation in yearly meaning for the period November-2003 - November-2004 (6.8%). To get interest rate by the result of specialized trades the issuer calculates interest rates of each submitted bid based on margin and will carry out cutting off bids according to cutting off rate (actual - according to margin of cutting off).Step in determination of cutting off rate - one hundredth of the rate (actual - figure of margin). The issuer will satisfy all bids, where margin will be below of margin figure, selected by the issuer for determination of cutting off rate, and also all or part of bids, where margin will be equal to this figure. In latter case priority will be given to bids, submitted to KASE trade system earlier. Bids will be satisfied according to united price, which will be calculated by the issuer from yield of bonds to maturity, received, in its turn, from figure of cutting off rate (coupon interest rate for the first coupon period) according to algorithm [cutting off margin + 6.8%] and amount of accumulated interest from the beginning of bonds circulation (82 full days, including October 1, 2004 and excluding date of calculations by the results of specialized trades - December 23, 2004). Bids can be submitted only by KASE's members of "Р" category (right of participation in corporate emission securities trades, included in the official list of the exchange). Investors can submit their bids through these legal entities. Full list of KASE's members of "Р" category has been published on the exchange's web-site at http://www.kase.kz/kasemembers/. [2004-12-21]