Yesterday, September 30, Landsbankinn and LBI agreed to extend the deadline for completion of the extension and amendment of the Landsbankinn bonds to October 24, 2014.
LBI received a letter on September 30 from the CBI stating that they would not be able to provide a response to LBI’s conditions precedent to completion regarding certain exemptions to capital controls by the September 30 deadline.
Given the materiality of the Landsbankinn bonds and with reference to paragraph three in Article 103 of the Act on Financial Undertakings No. 161/2002, the Winding-up Board extended the deadline in order to discuss the circumstances and conditions related to the terms of the extension and amendment agreement at the next Creditors Meeting on October 23. According to revised terms if the transaction is not completed by October 24, the amendment agreement between LB and LBI will terminate.