Communication from the Ministry of Finance No 333 / 2005 Coll.
Communication from the Ministry of Finance determining the emission conditions of the Czech Debt, 2005 - 2020, 3.75%
Valid
Communication
Text versions:
02.09.2005
333
COMMUNICATION
Ministry of Finance
of 1 September 2005
determining the emission conditions of the Czech Debt, 2005 - 2020, 3,75%
The Ministry of Finance in accordance with § 25 of Act No. 190 / 2004 Coll., on Bonds, § 1 of Act No. 220 / 2003 Coll., on the State Debt Scheme for the Expenses related to the Construction of Motorway D 47, § 1 of Act No. 5 / 2005 Coll., on the State Debt Scheme to Repayment of Part of the Loss of the Czech Consolidation Agency, arising from the Recruitment of Non-Mortgage Assets from 1991 to 2003, § 1 of Act No. 172 / 2005 Coll., on the State Debt Fund of the Czech Republic for 2004 and on the Amendment to Act No. 353 / 2003 Coll., as amended by Act No. 479 / 2003 Coll., determines the Emission conditions of the Czech Debt Fund, 2005 - 2020, 3,75%:
1. Basic characteristics of bonds:
Issue: Czech Republic represented by Ministry of Finance
Name: Bonds of the Czech Republic, 2005 - 2020, 3.75%
Short name: Czech Republic, 3.75%, 20
Issue serial number: 46.
Nominal value: CZK 10 000
Form of the bond: bearer security
Debt form: book-entry security
Issuing date: 12 September 2005
Date of due date: 12 September 2020
Interest income: coupon at a fixed interest rate of 3,75% p.a.
Taxation of interest income: according to Czech legislation
ISIN: CZ0001001317
Coupon No 1, ISIN: CZ0000700679
Coupon No 2, ISIN: CZ0000700687
Coupon No 3, ISIN: CZ0000700695
Coupon No 4, ISIN: CZ0000700703
Coupon No 5, ISIN: CZ0000700711
Coupon No 6, ISIN: CZ0000700729
Coupon No 7, ISIN: CZ0000700737
Coupon No 8, ISIN: CZ0000700745
Coupon No 9, ISIN: CZ0000700752
Coupon No 10, ISIN: CZ0000700760
Coupon No 11, ISIN: CZ0000700778
Coupon No 12, ISIN: CZ0000700786
Coupon No 13, ISIN: CZ0000700794
Coupon No 14, ISIN: CZ0000700802
Coupon No 15, ISIN: CZ0000700810
Stranded principal, ISIN: CZ0000700661
2. The bonds are issued pursuant to § 1 of Act No. 220 / 2003 Coll., on the State bond programme to cover expenses related to the construction of the motorway D 47, § 1 of Act No. 5 / 2005 Coll., on the State bond programme to cover part of the loss of the Czech consolidation agency, arising from the takeover of non-financial assets between 1991 and 2003, § 1 of Act No. 172 / 2005 Coll., on the State bond programme to cover the principal of the state debt due in 2005 and 2006, § 1 of Act No. 313 / 2004 Coll., on the State bond programme to cover part of the budget deficit of the Czech Republic for 2004 and amending Act No. 353 / 2003 Coll., on excise taxes, as amended by Act No. 479 / 2003 Coll.
3. The bonds are referred to the bearer and are issued in a book form. Owners' records shall be kept by the Securities Centre.
4. Bonds may be acquired by legal and natural persons with their registered office or residence in the Czech Republic and abroad. Repatriation of income and paid-up nominal value abroad will be carried out according to Czech legislation.
5. Bonds shall be remunerated at a fixed interest rate of 3,75% p.a. Interest income shall be paid once a year on 12 September of the year concerned. If the day of payment of the income per day of work is the day of work, the payment shall be made on the first following working day without entitlement to the income for such deferral.
6. The operative date for the payment of the bond yield shall be one month before the maturity date of the bond yield. The date of the ex- coupon is the day following the operative day and is set at 13 August. Interest income shall always be received by the investor who owns the bond on 12 August of each year. Interest income for the first year shall be received by the investor who owns the bond on 12 August 2006.
7. The issuer will submit a proposal for the registration of bonds in the main market of the Prague Stock Exchange, a. s. Transferability of bonds in the Securities Centre begins with the date of debiting to the accounts of the first owners. The last day of the transfer of securities in the account of owners in the Securities Centre shall be 12 August 2020.
8. The calculation of the proportion of interest is based on one year of 360 days and 12 months after 30 days (BCK - standard 30E / 360). The proportion of interest income is included in the price of the bond from the issue date.
9. Bonds will be issued by individual parts (tranches). The primary sale will take the form of an American auction organised by the Czech National Bank for a group of direct participants. Other investors may participate in the auction through direct participants. The auction of the 1st tranche shall take place on 7 September 2005. The auction notice and the list of direct participants will be published in advance. The primary sale of further tranches will be carried out under the same conditions. The emission period shall expire on 12 August 2020.
10. The total estimated volume of bond issuance is CZK 55 000 000 000. Bonds may be issued in smaller or larger volumes in accordance with § 11 (1) of Act No. 190 / 2004 Coll., on Bonds, to the extent that they correspond to the development and structure of the financing of the State Budget deficit. The volume of emissions can be increased to a maximum of CZK 75,000 000 000.
11. A valid assessment of the financial capacity (rating) of long-term Crown liabilities was made and published by Standard & Poor's at level A.
12. The separation of the right to the yield of the bond, pursuant to § 18 of Act No. 190 / 2004 Coll., on bonds, is allowed.
13. The Ministry of Finance declares that it owes each bond holder the nominal value of the bond. The bonds will be repaid at nominal value on 12 September 2020. This day also ends the interest on bonds. The nominal value of the bond and the last interest income will be paid to the investor who owns the bond on 12 August 2020. If the repayment of principal is due on the day of work, the payment shall be made on the first following working day without entitlement to the proceeds for such deferral.
14. All rights associated with bonds and coupons issued to them shall be limited to 10 years from the date on which they could be exercised for the first time (Section 42 of Act No. 190 / 2004 Coll., on bonds).
15. The Ministry of Finance undertakes to ensure the payment of interest income on bonds and to repay the nominal value of bonds to their owners according to these emission conditions. The paying place is the Czech National Bank. The payment venue shall publish the way in which the coupon payment and repayment of the nominal value will be made.
16. Bonds are direct, unconditional and unsubordinated liabilities of the Czech Republic which are at the same level as all other existing and future direct, unconditional and unsubordinated liabilities of the Czech Republic.
17. The announcement to the public regarding these bonds will be published in the Economic Newspapers or other similarly targeted daily newspapers, commonly available in the Czech Republic and on the website of the Ministry of Finance.
18. These emission conditions may be translated into foreign languages. If there is a conflict between different language versions of emission conditions, the Czech version will be decisive.
Minister:
Sobotka v. r.
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Regulation Information
| Citation | Communication from the Ministry of Finance No. 333 / 2005 Coll., determining the emission conditions of the Czech Debt, 2005 - 2020, 3.75% |
|---|---|
| Regulation Type | Communication |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 02.09.2005 |
|---|---|
| Effective from | - |
| Effective until | - |
| Status | Valid |
Legal Areas:
Securities
Finance
The regulation text is for informational purposes only.
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