As provided for in Act No. 37/2016 on the treatment of króna-denomiated assets subject to special restrictions, which came into effect in May 2016, ISK balances that had been on escrow accounts since the partial payments to priority creditors of LBI ehf. (LBI) were made in 2011 were transferred to an account subject to special restrictions in August 2016.
LBI now intends to convert ISK balances on these accounts to EUR and subsequently pay out to individuals.
Pursuant to 9.1(c) of the Conditions, and in furtherance of the Payment Notice issued on the 5 December 2016, the Issuer hereby notifies the Noteholders that the final amount of Euro Equivalent Available Cash paid on the 15 December 2016 will be €238,538,233.
Terms defined in this notice shall be constructed in accordance with the conditions set out in the Schedule 1 to the Trust Deed, dated March 23rd, 2016 and made between the Issuer, the Trustee and the U.S. Trustee (the “Conditions“) (as amended in a noteholder meeting on 28 November 2016).
Pursuant to the Condition 9.1(b) of the Conditions, the Issuer hereby notifies the Noteholders of a payment which will be applied in partial redemption of the Notes on the Payment Date of 15 December 2016. The estimated Euro Equivalent Available Cash for this payment is € 238,884,851.
On 5 December 2016, Landsbankinn prepaid USD 41.0 million of Bond Series 2020. The total amount paid is USD 41.2 million, including accrued and unpaid interests (EUR 38.7 million at the exchange rate of 30 November 2016). The payment will be included in the Scheduled Payment on 15 December 2016.
A meeting of Bondholders on 28 November 2016 attended by 81.12% of bondholders approved to change the semi-annual scheduled principal payment dates of the LBI Convertible Notes to 15 June and 15 December. The next scheduled payment will consequently be 15 December 2016.
Minutes from the meeting are available here.