100/2011 Sb.



The COMMUNICATION FROM the



The Ministry of finance



of 18 July 2003. February 2011,



which specify the conditions of the bond of the Czech Republic, 2011-2023,

VAR%



The Ministry of Finance issued State bonds in accordance with § 25 of the Act No.

190/2004 Coll. on bonds, as amended, (hereinafter referred to as

"the law on bonds") and specifies the terms and conditions of the bond of the Czech

Republic 2011-2023, VAR,%:



1. basic characteristics of the bonds:



Issuer: Czech Republic represented by the Ministry of finance



Name: Bond of the Czech Republic, 2011-2023, VAR,%



Abbreviated name: the CZECH REPUBLIC, VAR%, 23



Serial number issue: 63.



Nominal value: EUR 10 000



Form of a bond: a valuable paper bearer



Form of a bond: zaknihovaný paper



Date of issue: 18. April 2011



Due date: 18. April 2023



Interest income: coupon with floating interest rate



The taxation of interest income: according to the legislation of the Czech Republic



ISIN: CZ0001003123



2. Bonds are within the meaning of § 25 paragraph. 2 of the Act on bonds issued

on the basis of special laws, which allow the issue of government bonds.



3. the following bearer Bonds and are issued in book-entry form.

The register of the owners of leading central securities depository, and s.

(hereinafter referred to as "central depository").



4. Bonds may be legal and natural persons established or

resident in the territory of the Czech Republic and abroad. Repatriation of proceeds and

paid-up nominal values abroad will be carried out according to the legal

the laws of the Czech Republic.



5. the issuer shall submit a proposal for the adoption of the bonds to trading on the

market of the Prague stock exchange, and, and the RM-system, the Czech stock market

the Securities and.



6. Bonds are interest-bearing variable interest rate. Interest rate

for one period is 12 m PRIBOR plus a margin (spread) in the

of 65 basis points. Interest income is paid once a year,

and this to 18. April of the year concerned. If the date of payment of the proceeds on

the day is not a working day, payment will be made the first

the following working day without the right to return for the transferring.



7. For the first period, the interest rate will be determined on the day of the auction.

The yield for the following period will be the interest rate fixed 2 work

days before the start of a new period of revenue growth and on the day of the

published.



8. The decisive date for the payment of the proceeds of the bond is preceded by one month

day maturity yield from the bond. Ex-coupon date is the day following

After the closing down and laid down on the 19. March. Interest income received

always an investor who is the owner of the bond 18. March of each year.



9. Transferability bonds in the Central Depositary, begins on the day

crediting of the bonds on the accounts of the first owners. On the last day, when the

no transfers of bonds on the accounts in the Central Depositary, is 18.

March 2023.



10. calculation of aliquot interest takes place based on one year of 360

days and the actual number of days in the period (BCK-standard act/360). The relative

part of the interest income is added to the price of a bond calculated from the date of issue.



11. Bonds to be issued after the individual sections (tranches).

The primary sale of 1. tranche will be made in the form of American auction organized by

The Czech National Bank for a group of direct participants in the auctions of State

bonds of 13 June 2005. April 2011. Other investors may participate in the auction

by direct participants in the auctions of government bonds. The notice of

the auction will be published in advance. The primary sale of other tranches will be

carried out under the same conditions. The emission period ending on 18. March 2023.



12. Each order passed in the direct participants of the auction auctions

Government bonds are gradually being met from the highest offered

the prices. If the progressive satisfaction of orders with a specific

push the price of the "volume of orders exceeded the volume of bonds,

which the issuer sells are of the order with the price offered

met only in part. The bonds are sold at

the offered prices.



13. The total volume of bond issue is 100 0000 0000 0000 Czk.

The bonds may be issued in a smaller volume in accordance with section 11 of the Act on

bonds, the extent of which will correspond to the development and structure of the

the financing of the national debt.



14. The valid assessment of financial eligibility (rating) of long-term

on CZK-denominated liabilities at the date of issue of these emission conditions made

by Standard Poor's & is level and +, by Moody's on

level A1 and by Fitch Ratings on the level of A-.



15. the law on the yield of a bond pursuant to section 18 of the Act on bonds

It is not allowed.



16. The Ministry of finance claims that she owes to each owner

Bond nominal value of the bond. The bonds will be repaid in

the nominal value on the day of the 18. April 2023. From this day ends with the remuneration

bonds. The nominal value of the bond, together with the last interest

the proceeds will be paid to the investor, which is the owner of the bond of the day

March 18, 2023. If the day of the repayment of principal on a day which is not a

working day, payment will be made the first following working day

without the right to return for the transferring.



17. all rights associated with the bonds and coupons issued to them in

pursuant to section 42 of the Act on the bonds expire on the expiry of 10 years from the

the day could be invoked first.



18. The Ministry of finance is committed to secure the payment of interest

the proceeds of the bonds and repay the nominal value of the bonds of their

According to the owners of these emission conditions. The place of payment is

the National Bank. Coupons and the principal of the bonds are paid non-cash

transfer or in cash, according to the instructions of the owner of the bond.

Payment instead of publish, how the payment of coupon and redemption

the principal made.



19. Bonds are direct, unconditional obligations of the Czech and nepodřízenými

the Republic, which are on the same level with all the other existing

and future direct, unconditional obligations of the Czech and nepodřízenými

of the Republic.



20. notice to the general public on these bonds will be

published in collection of laws, on the website of the Ministry of

Finance and other ways to allow remote access.



21. These conditions can be translated into foreign languages. If there is a

the discrepancy between the different language versions of the emission conditions, will

the Czech version.



Minister:



Ing. K in r.