Communication from the Ministry of Finance No 373 / 2012 Coll.
Communication from the Ministry of Finance determining the emission conditions for the Reinvestment savings bond of the Czech Republic. 2012 - 2017 II, FIX%
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Communication
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14.11.2012
373
COMMUNICATION
Ministry of Finance
of 1 November 2012
determining the terms and conditions of the issue for the Reinvestment savings bond of the Czech Republic, 2012 - 2017 II, FIX%
The Ministry of Finance issues government bonds to the extent provided for by the Special Act and determines their emission conditions in accordance with the provisions of Section 26 of Act No. 190 / 2004 Coll., on Bonds, as amended, hereinafter referred to as the "Bonds Act '. These emission conditions define the rights and obligations of the issuer and bondholders as well as information on the issue of bonds and the requirements of the Reinvestment savings bond of the Czech Republic, 2012 - 2017 II, FIX%.
1. Basic description of bonds:
Issuing: Czech Republic - Ministry of Finance ("Ministry ')
Name: Reinvestment savings bond of the Czech Republic, 2012 - 2017 II, FIX%
Short name: SSD-R CR, FIX%, 17 II
Issuing serial number: 75.
Nominal value: CZK 1, - (in words: one crown Czech)
Emission rate: 100% (in words: 100%) of nominal value
Form of the bond: bearer security
Debt form: book-entry security
Currency in which bonds are denominated: Czech crown (CZK)
Start date of the deadline for subscription: 5.11.2012
Date of expiry of the deadline for subscription: 12.12.2016
Issuing date: 12.12.2012
Date of due date: 12. 12. 2017
Debt yield: fixed interest rate fixed
for the first yield period
from 12.12.2012 to 12.12.2013
| ve výši | 1,00 % p. a. |
for the second yield period
from 12 December 2013 to 12 December 2014
| ve výši | 2,00 % p. a. |
for the third yield period
from 12. 12. 2014 to 12. 12. 2015
| ve výši | 3,00 % p. a. |
for the fourth yield period
from 12. 12. 2015 to 12. 12. 2016
| ve výši | 4,50 % p. a. |
for the fifth yield period
from 12.12.2016 to 12.12.2017
| ve výši | 6,00 % p. a. |
ISIN: CZ0001003792
2. The bonds are issued pursuant to the provisions of Section 25 (2) of the bond law on the basis of the special laws on the government bond programme, which allow the issue of government bonds. The issue of bonds is guaranteed by the Ministry.
3. The bonds belong to the bearer, are issued in a book-entry form and are recorded in a separate register, which he keeps pursuant to the provisions of § 35 (1) (d) of Act No. 218 / 2000 Coll., on budgetary rules and amending certain related laws (budgetary rules), as amended, by the Ministry, (hereinafter referred to as "the Ministry's records').
4. Bonds can only be subscribed by:
(a) a natural person;
(b) a civil association or an affiliation society;
(c) trade union or employers' organisations;
(d) the Foundation or the Foundation;
(e) a community of general interest;
(f) registered church or religious society, church association or religious society,
(g) the State Chamber or Professional Organisation;
(h) a school legal person not established by the Ministry, Region, Municipality or Association of Municipality within the meaning of § 124 (2) of Act No. 561 / 2004 Coll., on Pre-school, Basic, Medium, Higher Vocational and Other Education (Education Act), as amended,
i) Economic Chamber of the Czech Republic or Agrarian Chamber of the Czech Republic established by Act No. 301 / 1992 Coll., on the Economic Chamber of the Czech Republic and the Agrarian Chamber of the Czech Republic, as amended,
j) a public university established within the meaning of Act No. 111 / 1998 Coll., on higher education institutions and amending and supplementing other laws (Act on higher education), as amended,
(k) a public research institution established under Act No. 341 / 2005 Coll., on Public Research Institutions, as amended,
l) Czech Television established by Act No. 483 / 1991 Coll., on Czech Television, as amended, Czech Radio established by Act No. 484 / 1991 Coll., on Czech Radio, as amended, or Czech Press Office established by Act No. 517 / 1992 Coll., on Czech Press Office, as amended,
m) General Health Insurance Company of the Czech Republic established by Act No. 551 / 1991 Coll., on General Health Insurance Company of the Czech Republic, as amended, or Employee Insurance Company established under Act No. 280 / 1992 Coll., on departmental, branch, corporate and other health insurance companies, as amended,
(n) the local authorities and the higher local authorities of the Czech Republic or the capital of Prague,
o) Association of Cities and Municipality of the Czech Republic, Association of Local Government of the Czech Republic or Association of Regions of the Czech Republic,
(p) the association of owners of units within the meaning of Act No. 72 / 1994 Coll., which regulates certain joint ownership relations with buildings and certain ownership relationships with apartments and non-residential premises and complements certain laws (the Housing Act), as amended,
or
(q) a foreign legal person having a similar activity to one of the persons referred to in points (b) to (h);
(also known as "subscriber 'or" subscriber').
5. As an issuer, the Ministry does not intend to apply for the admission of bonds to trading on a European regulated market or in a multilateral trading system located in a Member State of the European Union. The trading of bonds at those transfer points is excluded.
6. The expected total nominal value of the bond issue is CZK 10 000 000 000 (in words: 10 billion CZK). The bonds may be issued in less than or greater than the expected nominal value of the bond issue in accordance with the provisions of Section 7 of the bond law. The possible extent of the increase in the volume of bond issuance is CZK 50 000 000 000 (in words: CZK 50 billion).
7. Debt issues may be issued gradually within the subscription period (in tranches).
8. The bonds will be offered by the issuer for subscription in the Czech Republic in the form of a public offer, with the exception of the bonds referred to in point 11. The activities related to the subscription of bonds are provided by the Ministry and the persons entrusted with such activities ("distributors' or" distributor ', as appropriate). Distributors at the date of determination of these emission conditions are Česká spořitelna, a.s., Czechoslovak Commercial Bank, a. s., J & T BANKA, a.s., and Komerční banka, a.s. Bonds will also be subscribed at selected branches of the Czech Post Office, s.p. The current list of distributors and individual distribution sites will be published on the Ministry's website.
9. The subscribers referred to in point 4 of these emission conditions shall submit an application for the subscription of bonds to the relevant tranche via a distributor. One subscriber may subscribe through one application for a bond subscription of at least 1 000 units (in words: one thousand). The subscribers shall, when applying for a bond subscription to the distributor, certify in a credible manner that they belong to the persons referred to in point 4 of these emission conditions. The bond subscription price is the total nominal value of bonds subscribed by one subscriber multiplied by their issue rate. The subscriber is obliged to pay the price of the bond subscription within five working days of the end of the subscription period of the respective tranche. At the time of payment of the subscription price by the subscriber to the distributor's account, the subscription request becomes binding and cannot be cancelled by the subscriber. From the date of payment of the bond subscription price to the date of issue of the relevant bond tranche, this amount shall not be remunerated. After the date of the end of the subscription period of the respective bond tranche, the bonds of the respective tranche cannot be subscribed. In the event that the expected nominal value of the issue of bonds is reached or exceeded in accordance with point 6 of these terms of issue, the Ministry may decide to reduce the number of units of subscribed bonds according to the applications for subscription of bonds submitted by the date of completion of the subscription period of the respective tranche of bonds. The unsatisfied or partially satisfied subscribers shall be reimbursed the price paid by them for the subscription of bonds which have not been subscribed, without undue delay, by a cash transfer to the payment account from which the funds were placed in the distributor's account or in the payment account indicated in the application for the subscription of bonds in the event of payment of the price of the subscription of bonds in cash.
10. The subscription period of the first tranche of the bonds shall end on 30.11.2012 or on a date to be determined by the issuer, whichever date is earlier.
11. The issue of bonds in other tranches of bonds shall take the form of a reinvestment of the yield of bonds issued in previous tranches under point 14 of these emission conditions, with the exception of the last bond yield, at the date of the reinvestment of the bond yield.
12. The issuer may decide to issue bonds in any subsequent tranches except those referred to in points 10 and 11 of these emission conditions and to determine the date of the start and end of the subscription period of the respective tranche. Notice of any further tranches shall be published on the Ministry's website.
13. An application for the transfer of bonds shall be made via a distributor. Bonds are transferred without settlement. The transfer of bonds is limited in accordance with Section 26 (6) of the bond law. The transfer of bonds shall be permitted only between the persons referred to in point 4 of these emission conditions. The person to whom the bonds are transferred shall, when applying for the transfer of the bonds to the distributor, certify in a credible manner that they belong to the persons referred to in point 4 of these emission conditions. Transferability of bonds is excluded after 12.11.2017.
14. The yield of the bond shall be determined at a fixed interest rate at the rate that increases for each yield period in accordance with point 1 of these emission conditions (hereinafter referred to as "yield 'or" yield' respectively). The proceeds shall be reinvested once a year, on 12 December starting from 2013, except for the last yield to be paid to the bond holder, together with the repayment of the nominal value of the bonds at the maturity date of the bonds, unless the bond holder applies for the reinvestment of the last return and the nominal value of the bonds in accordance with point 24 of these emission conditions.
15. Reinvestment of proceeds means that, at the date of reinvestment of the proceeds, bonds of the same issue at the total nominal value are credited to the property account of the owner of the same issue, which corresponds to the amount of the return on all the bearer bonds of the same issue for the relevant yield period. If the reinvestment date of the proceeds per day is not a working day, the relevant bonds will be credited to the owner's property account on the first following working day. For the purposes of reinvestment, the total amount of the yield on all the owner's bonds of the same issue for the relevant return period shall be rounded up to the full crown. The reinvestment of the yield increases the number of units of the owner's bonds and the total nominal value of the issue. The total amount of the last yield on all the debtors of the owner of the issue paid to the owner, unless the bond holder applies for the reinvestment of the last yield and the nominal value of the bonds according to point 24 of these emission conditions, shall be rounded to the nearest cent.
16. The proceeds referred to in paragraphs 14 and 15 of these emission conditions shall always be received by the person who owns the bonds at the date of 12.11 starting from 2013. The proceeds for the first yield period from the date of issue until 12 December 2013 shall be received by the person who holds the bonds on 12 November 2013.
17. The rate of return shall be calculated on the basis of the actual number of calendar days per year and the actual number of days in the relevant yield period. The revenue period shall be the relevant yield period referred to in point 1 of these emission conditions. The proportional return shall be included in the price of the bond from the date of issue and shall be calculated as the yield multiplied by the proportion of the actual number of days from the date of commencement of the relevant yield period to the date of calculation of the proportional return and the actual number of days of the relevant yield period. The total amount of the proportional return on all the bond holders' bonds of this bond issue shall be rounded to the nearest cent in order to calculate the proportional return.
18. The separation of the bond yield right from the bond is excluded.
19. Taxation of the bond yield is carried out according to the applicable legislation of the Czech Republic. For interest income on bonds issued before the date of entry into force of Article III (6) of Act No. 192 / 2012 Coll. the provisions of Section 36 (3) of Act No. 586 / 1992 Coll., on income taxes, as effective before the date of entry into force of Article III (6) of Act No. 192 / 2012 Coll.
20. The Ministry as an issuer shall not be entitled to early repayment of bonds issued before the due date unless it applies for early repayment of bonds by the holder in accordance with point 21 of these emission conditions. The Ministry is entitled to acquire bonds into its assets within the meaning of Article 15 (4) of the bond law. Own bonds acquired by the issuer before their maturity date shall not be extinguished unless the issuer decides otherwise.
21. A bond holder shall have the right to apply to the Ministry as an issuer through a distributor for early repayment of all or part of the bonds held by him according to the following timetable:
| Datum prvního možného podání žádosti o předčasné splacení | Datum posledního možného podání žádosti o předčasné splacení | Datum předčasného splacení |
|---|---|---|
| 2. 9. 2013 | 28. 11. 2013 | 31. 12. 2013 |
| 2. 12. 2013 | 27. 2. 2014 | 31. 3. 2014 |
| 3. 3. 2014 | 29. 5. 2014 | 30. 6. 2014 |
| 2. 6. 2014 | 28. 8. 2014 | 30. 9. 2014 |
| 1. 9. 2014 | 27. 11. 2014 | 31. 12. 2014 |
| 1. 12. 2014 | 26. 2. 2015 | 31. 3. 2015 |
| 2. 3. 2015 | 28. 5. 2015 | 30. 6. 2015 |
| 1. 6. 2015 | 28. 8. 2015 | 30. 9. 2015 |
| 1. 9. 2015 | 27. 11. 2015 | 31. 12. 2015 |
| 1. 12. 2015 | 26. 2. 2016 | 31. 3. 2016 |
| 1. 3. 2016 | 27. 5. 2016 | 30. 6. 2016 |
| 1. 6. 2016 | 30. 8. 2016 | 30. 9. 2016 |
| 1. 9. 2016 | 29. 11. 2016 | 30. 12. 2016 |
| 1. 12. 2016 | 27. 2. 2017 | 31. 3. 2017 |
| 1. 3. 2017 | 30. 5. 2017 | 30. 6. 2017 |
The bond holder shall be entitled to the appropriate proportional return for the period from the date of commencement of the relevant yield period to the early repayment date. The proportional return for the period from the date of commencement of the relevant return period to the date of early repayment and the nominal value of the relevant bonds shall be paid to the person who holds the bonds on the first working day following the relevant date of the last possible application for early repayment. An application for early repayment shall be submitted by the bond holder through a distributor. As from the time of the application for early repayment, bonds in the number of units in which the application for early repayment was submitted may not be transferred. At one early repayment date, one bond-holder may apply for early repayment of at least 1 000 units (in words: 1 000) on one early repayment application. At one early repayment date, one bond owner may apply for an early repayment of 100% (in words: one hundred percent) of its own bonds up to and including 500 000 (in words: five hundred thousand) and up to and including 50% (in words: fifty percent) of its own bonds over 500 000 (in words: five hundred thousand). Bonds by early repayment shall cease at the same time as the owner's right to return. The amount corresponding to the nominal value of the owner's bonds and the corresponding proportional return shall be paid to the owner on early repayment by an uncash transfer to a payment account held in domestic currency in the home country, which the holder of the bond is obliged to provide when the bond is subscribed, transferred or transferred. Any change to the payment account shall be notified by the bond holder through the distributor. The total amount of the pro rata return on the number of units in which the application for early repayment has been lodged paid to the owner for the period from the date of commencement of the relevant yield period to the date of early repayment shall be rounded to the nearest cent.
22. Bonds shall be repaid at nominal value on 12 December 2017, unless the bond-holder applies for early repayment in accordance with point 21 of these terms of issue or the owner applies for the reinvestment of the last yield and the nominal value of those bonds in accordance with point 24 of these terms of issue. This date concludes the interest on bonds. The issuer, within the meaning of Article 17 of the bond law, has decided that the right to repayment of bonds is conferred on the person who is entitled to exercise the rights associated with the bonds on 12 November 2017. The nominal value of all the bearer bonds shall be repaid together with the payment of the last yield to the person who holds the bonds on 12 November 2017. If the date of repayment of the nominal value of the bonds and the payment of the last yield is not a working day, they shall be made on the first following working day without entitlement to payment of the yield for such deferral.
23. The issuer undertakes to ensure the repayment of the nominal value of the bonds, together with the payment of the last yield to the holders of the bonds under these emission conditions. The Czech National Bank and the Ministry are involved in ensuring the repayment of bonds and the payment of revenues. The contract to ensure the repayment of the bond and the payment of the return is available on request to the issuer. The nominal value of the bonds shall be repaid together with the payment of the last yield by a cash-free transfer to a payment account held in domestic currency by the holder of the bonds, which shall not be required to submit a request for the reinvestment of the last return and the nominal value of those bonds in accordance with point 24 of these emission conditions. Any change to the payment account shall be notified by the bondholder to the Ministry through the distributor.
24. The bond owner shall be entitled to ask the Ministry, as an issuer, through a distributor to reinvest the last yield and the nominal value of all or part of the bonds it owns of that bond issue. In such a case, the holder of the bonds shall not be paid the last return and the total nominal value, or the relevant part thereof, by a cash transfer to the payment account in accordance with point 23 of these emission conditions, but shall be reinvested in the issuer's pre-determined bonds in the amount requested by the holder. The notification of the date from which the request for reinvestment of the last yield and the nominal value of the bonds can be submitted and the bonds in which the last return and the nominal value of the bonds can be reinvested shall be published in good time on the Ministry's website. The reinvestment of the last yield and the nominal value of all or part of all of the bonds held by it shall be requested by the bond holder by the submission of a request for reinvestment of the last yield and the nominal value of the bonds through the distributor. The total amount of the owner's bond yield in the number of units in which the request for reinvestment of the last yield and the nominal value of the bonds has been made shall be rounded upwards for the purpose of reinvestment of the last yield and the nominal value of the bonds in the whole crown. The last day for the submission of an application for reinvestment of the last yield and the nominal value of the bonds is 11.11.2017.
25. The valid assessment of the financial eligibility (rating) of long-term Crown liabilities at the date of determination of these emission conditions by Standard & Poor's is at AA level, Moody's at A1 level and Fitch Ratings at AA- level.
26. Bonds are direct, unconditional and unsubordinated liabilities of the Czech Republic, which are at the same level with all other existing and future direct, unconditional and unsubordinated liabilities of the Czech Republic.
27. Any rights associated with bonds shall be limited to 10 years from the date on which they could be exercised for the first time, in accordance with Article 42 of the bond law.
28. These emission conditions are announced by the Ministry in the Collection of Laws. The notice to the public concerning these bonds shall be published on the Ministry's website.
29. The operating rules of the Ministry's separate government bond records are binding on all bond owners and distributors and are published on the Ministry's website.
30. The Ministry reserves the right to perform all acts related to the management of the Ministry's records, the subscription of bonds, the early repayment of bonds, the reinvestment of the last yield and the nominal value of the bonds, the entries in the Ministry's records, changes in data and other related activities as defined in the Ministry's Operational Code of the Separate Accounting of Government Bonds.
31. These emission conditions may be translated into foreign languages. If there is a conflict between different language versions of emission conditions, the Czech version decides.
Minister:
Ing. Kalousek v. r.
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Regulation Information
| Citation | Communication from the Ministry of Finance No. 373 / 2012 Coll., determining the emission conditions for the Reinvestment savings bond of the Czech Republic. 2012 - 2017 II, FIX% |
|---|---|
| Regulation Type | Communication |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 14.11.2012 |
|---|---|
| Effective from | - |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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