PROMINENT CMBS CONDUIT NO. 2 LIMITED
incorporated in Jersey with limited liability under company number 97603 and registered in England and Wales under registered number FC 27583
£365,000,000 Class A Floating Rate Notes due 2019 (ISIN: XS0303848229)
£19,000,000 Class B Floating Rate Notes due 2019 (ISIN: XS0303848815)
£19,000,000 Class C Floating Rate Notes due 2019 (ISIN: XS0303849201)
£20,000,000 Class D Floating Rate Notes due 2019 (ISIN: XS0303849896)
£11,000,000 Class E Floating Rate Notes due 2019 (ISIN: XS0303850555)
£17,000,000 Class F Floating Rate Notes due 2019 (ISIN: XS0305344417)
Notification to the Noteholders of the existence of a Realised Loss Verification Report
The Issuer has been requested by the Swap Counterparty to publish this Notice on behalf of the Swap Counterparty. The Issuer has not been involved in the preparation of this Notice nor information contained herein and, in accordance with normal practices, expresses no opinion in respect of the information contained in this Notice. Furthermore, this Notice is issued without prejudice to any and all of the Issuer's rights under the Transaction Documents relating to the Notes, all of which are expressly reserved.
Directive 2003/6/EC of the European Parliament and of the Council of 28 January 2003 on insider dealing and market manipulation together with the Implementing Directive 2003/124/EC as implemented by the relevant member state requires disclosure of insider information relating to the Issuer.
This notice is solely directed to the holders of the Notes and should not be relied upon or used by any other person.
Words and expressions used in this notice and not defined herein shall have the meaning given to them in the Prospectus dated 29 June 2007.
Following the notice notifying noteholders of a Credit Event on the Roade One Reference Obligation on 10th August 2011, we have received confirmation from the Swap Counterparty supported by a notice from the Verification Agent, Deloitte LLP, which confirms that the Conditions to Credit Protection have been satisfied.
As such, the Credit Protection Payment Amount has been calculated by the Calculation Agent using the methodology set out under the Credit Default Swap between Bank of Scotland plc and Prominent CMBS Conduit No2 Limited.
The Credit Protection Payment Amount was determined to be £34.707m.
Please note there will be a further amount to be paid by the Swap Counterparty to the Issuer, between the date of this letter and the Cash Settlement Date which will constitute a Fixed Amount and will form part of the Premium Reimbursement. This does not form part of the Credit Protection Payment Amount specified above. Due to the variable nature of the Premium Reimbursement this cannot be fully calculated until the Calculation Date. This amount will be clarified on the Calculation Date prior to the relevant Cash Settlement Date, and at that time the Credit Payment Protection Amount will increase by this amount.
To confirm the accuracy of the calculation of the Credit Protection Payment Amount the Verification Agent was appointed to carry out the following procedures using calculations and documentation provided to them by Bank of Scotland:
Recalculate the Credit Protection Payment Amount relating to a Failure to Pay or Bankruptcy by carrying out the following calculations:
o Calculate the Net Recovery Amount by taking the Recovery Amount less the aggregate of the Enforcement Costs and the Premium Reimbursement.
o Subtract the Net Recovery Amount from the Swap Notional Amount on the Credit Event Date to calculate the Credit Protection Payment Amount.
o Note any differences and list the source documents provided.
The Verification Agent has verified this determination of Credit Protection Payment Amount and provided the Issuer with a copy of their report.
To obtain a copy of this report on a hold harmless basis, please contact ProminentConduit@Halifax.co.uk with a copy to email@example.com who will provide the terms on which such access can be arranged.
Prominent CMBS Conduit No. 2 Limited
35 Great St. Helens
Date: 17 August 2012
This announcement has been issued through the Companies Announcement Service of
the Irish Stock Exchange.