Notice Of Application Requirements, Interest Calculation, As Well As Coverage By The State's Expenditure For Management, Etc. At The State Capital Contributions Or Underwriting

Original Language Title: Bekendtgørelse om ansøgningskrav, renteberegning samt dækning af statens udgifter til administration m.v. ved statsligt kapitalindskud eller tegningsgaranti

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Read the untranslated law here: https://www.retsinformation.dk/Forms/R0710.aspx?id=124096

Overview (table of contents) Chapter 1 scope

Chapter 2 application for state capital

Chapter 3 application for issuance of a Government underwriting

Chapter 4 Content of the statement on developments in lending credit institution

Chapter 5 the organisation of State expenditure under the scheme

Chapter 6 entry into force

Annex 1

Annex 2 the full text notice on application requirements, interest calculation, as well as coverage by the State's expenditure for management, etc. at the State capital contributions or underwriting

Under section 5, paragraph 2, article 6, paragraph 3, article 8, paragraph 5, 6 and 8 of law No. 67 of 3. February 2009 of State capital to credit institutions shall be determined:

Chapter 1

The scope of the

§ 1. This Ordinance shall apply to credit institutions in Denmark, see. § 1 (1) and (3) of law No. 67 of 3. February 2009 of State capital to credit institutions applying for government capital injections in the form of hybrid core capital or whether Government underwriting of capital raising.

Chapter 2

Application for state capital

§ 2. To use for applying for state capital should it of economic and Business Affairs drew up the application form and datasheet are used. The application form and the datasheet can be found on the Ministry of economic and Business Affairs website or can be obtained by contacting the Ministry.

(2). The application must be submitted duly signed either electronically by using encrypted e-mail and electronic signature or by regular mail to economics and business.

(3). The application must, together with the completed application form include the following:





1) a revised annual report for 2008 and, if applying the 1. May 2009 or later, the latest quarterly accounts from 2009, which must also be revised.

2) A statement from the credit institution on the Institute's financial position and prospects. The statement must be approved by the Board of Directors, and the statement must contain references to the places in the annual report or quarterly financial statements, where the information referred to in paragraph 3 and paragraph 4, appears. The credit institution shall also come with any additional information about the changes that have importance in relation to the information contained in the annual report and quarterly financial statements. Information in accordance with paragraph 3 and paragraph 4, which do not appear in the annual report or quarterly financial statements, should be written into the statement. The statement shall contain the following information:





(a)) A description of the credit institution's financial position.

(b)) a reasoned statement of the expected economic development until 31 March 2006. December 2010 comprehensive operational and balance budgets and projections associated with the description of the main assumptions, explanatory notes, as well as stress testing of assumptions.

c) an assessment of the credit institution's prospects with information on what initiatives is expected to be carried out, taking into consideration the expected economic development as well as an assessment of the credit institution's liquidity situation with information about expected refinancing needs in 2009 and 2010 and policy for refinancing of the need.

d) an assessment of the impact of the capital injection, including in relation to profitability, efficiency, solvency and capital requirements.

e) an overview of the credit institution's lending and guarantees, broken down by types of borrowers, including private and corporate clients, industries, occupations, and geography, as well as on types of credit and loan sizes.

f) A description of the credit institution's lending policies, including changes in loan terms and conditions.

g) A description of the credit institution's earnings, costs, risks of loss, impairment and the general development of deposits and lending.

h) A description of how the repayment of the hybrid core capital is expected to take place.

in) A description of planned or approved transactions or the like that is likely to have a significant impact on the credit institution's current and future economic situation, including mergers, separation or divestiture of significant assets, other fund-raising or similar.

j) an overview of issued hybrid core capital and equity loan, including the total debt, the issue date, interest rate terms and any step-up clauses and latest rate recorded and effective interest rate, if the issue is listed on a regulated market.

k) information on potential risks, guarantees and other contingent liabilities, including significant litigation, taxation, unrealized loss of capital, currency, interest rate and exchange rate risks as well as other commitments that are not included in the credit institution's balance, etc.

l) a summary of the credit institution's assets by currency.

m) a statement of expected losses on loans and guarantees in 2009 and 2010.

n) an overview of the credit institution's holdings of securities by credit rating from rating agencies, shall issue and geography, including, where possible, with indication of book value and market price.

o) an overview of the credit institution's total holdings of structured products, which are financial instruments, consisting of two or more components, of which at least one of these is a financial instrument. If the inventory exceeds 0.5% of the credit institution's total assets shall be the subject of a summary breakdown by product type, credit rating and geography, including, where possible, with indication of book value and market price.

p) an overview of interest-bearing assets and liabilities broken down by residual maturity; less than 1 month 1-3 months to maturity, to decay, 3-12 months 1-5 years to decay, decay, more than 5 years to decay. The non-subordinated liabilities be divided into secured and unsecured items.

q) copy of the latest rating report from credit rating agencies which have credit rated credit institution, if such exists, as well as expectations for future credit ratings (ratings), and any future assessments (Outlook) from credit rating agencies.

r) organizational chart, business chart, applicable statutes, together written summary from the Danish Commerce and companies Agency, as well as indication of any agreed but not yet registered amendments thereto.





3) A statement of the credit institution's individual solvency needs with the underlying documentation. The statement must be carried out in accordance with Annex 1 of the FSA announcement on capital adequacy regulation. closer to the annex to executive order item 97-99.

4) An opinion of the Auditor, approved by the credit institution without prejudice. (5).

5) copy of the FSA last submitted reports or statements concerning large exposures, statement of cash flow, capital adequacy statement and statement of loans with loan impairment.

6) information about capital adequacy, including:





a) capital adequacy ratio before and after the injection of hybrid core capital.

b) core‐capital ratio before and after the injection of hybrid core capital.

(c)) the size of the institution's overall hybrid core capital is calculated as a percentage of the total core capital before and after the injection of hybrid core capital.

d) the credit institution shall explain the basis for the Declaration of capital coverage, including which method is used, the possible use of a standard methodology or more advanced methods (IRB, Value at risk, AMA, etc.), as well as the extent to which transitional arrangements as a result of the transition to the new capital adequacy rules limiting any decrease in capital requirement. In addition, the credit institution shall verify that the used basis are in accordance with FSA rules. In addition, the credit institution shall submit it used as the basis for the calculation of capital adequacy, including risk-weighted items, core capital, subordinated debt, deductions, etc.





7) Estimated information under nr. 6, points (a) to (c), with assessment date per 30. June 2009 and 31 December 2008. December 2009 with explanation of evolution.

8) a statement from the credit institution's Board about that in relation to the historical information presented in accordance with paragraph 28. 6, has been no significant changes in the institution's capital ratio or incidentally in the credit institution's financial situation, since the date of issuance of the annual report for 2008, respectively, the latest quarterly accounts for 2009, if searching the 1. May 2009 or later. If there are significant changes in the economic situation of the credit institution's capital ratio or, should such changes be specified, including stating the nature of the change and the consequences for the information supplied in accordance with paragraph 28. 6.






(4). The exposition of the basic regulation. paragraph 3, nr. 2, shall also include those in nr. 1-9 indicated economic ratios, in so far as it is relevant to the individual credit institution. The information shall be calculated respectively as at 31 December 2003. December 2008 and, if searching the 1. May 2009 or later, per the date of the most recent quarterly accounts as well as contain estimated data for the financial years 2009 and 2010 (both with and without the addition of hybrid core capital). Credit institutions classified in groups 3 and 4 of the Danish FSA can fail to produce estimates for 2010, if such estimates are not available. Pursuant to paragraph 8, also may be required estimates for 2010. The statement must include economic fundamentals (before and after the injection of hybrid core capital):





1) capital ratio: Equity as a percentage of total assets.

2) Lending plus write-downs in relation to deposits.

3) return on equity.

4) Earnings per cost Crown.

5) Lending and guarantees with impairment losses/provision in relation to total loans and guarantees.

6) the period's write-down percent.

7) impairment losses as percentage of lending with loan impairment.

8) sum of large exposures.

9) growth of loans and guarantees.





(5). Opinion of the auditor referred to in article 6. paragraph 3, nr. 4, must essentially be drawn up in accordance with the Declaration in annex 1. In addition, the auditor's statement on the period financial statements, see. paragraph 3, nr. 1, essentially be drawn up in accordance with the Declaration in annex 2.

(6). In so far as such in § 2, paragraph 3, nr. 2 (b) and (m), as well as in paragraph 4, the information referred to as available for 2011, they must also be provided in the application.

(7). If there is information that the credit institution cannot provide, or provided in any other way than that prescribed in the Ordinance due to the individual credit institution's individual circumstances, an institution must indicate this in the application with reasons of why the information cannot be provided or has been provided on that way.

(8). Economic and business affairs in the context of the examination of the application may require additional information and documentation provided by the credit institution.

§ 3. A credit institution which has one or more subsidiaries, shall make all information in section 2 for both the credit institution on a consolidated basis, even as it is to say including the institution's subsidiaries, in so far as the information to be consolidated in accordance with the Danish financial business Act.

(2). Information to be provided on both financial and non-financial subsidiaries.

(3). A credit institution which is a subsidiary undertaking must, in its application to include information about the ownership and group structure of the credit institution as well as the most recent consolidated annual report of the Institute's ultimate parent company. Economic and business affairs in the context of the examination of the application may require additional information depending on the credit institution's business conditions.

The conclusion of the agreement on government capital injections

§ 4. Economic and business affairs shall draw up standard terms and conditions (Term Sheet), which will form the basis of the concrete negotiations with the individual credit institution. The Minister for economic and business affairs can after these negotiations conclude final agreement with the individual credit institution.

(2). When the Minister for economic and business affairs and the credit institution has signed an agreement on capital deposits, shall be deemed to be the Minister for economic and business affairs to have submitted final commitments.

Conversion of capital deposits and cancellation of voting restrictions and ejerlofter, etc.

§ 5. Constitute a credit institution's hybrid core capital at the time of contract conclusion more than 35 per cent of the total core capital, the FSA require that part of the capital, which accounts for more than 35 per cent of the total core capital, turned into stock-guarantee-or cooperative capital, provided that the credit institution is in difficulties, in which the credit institution will no longer meet the solvency requirements of the Act, or where the FSA estimates that there are nearby threat thereof without prejudice to article. § 8, paragraph 6, of law No. 67 of 3. February 2009 of State capital to credit institutions.

(2). Hybrid core capital of a credit institution represents more than 35 per cent of the total core capital, at the time of contract conclusion, all voting restrictions and ejerlofter, etc. were repealed by the credit institution's general meeting of shareholders or regulators. 1 point applicable to all credit institutions covered by the Act on state capital contributions, see. section 1, paragraph 3, of law No. 67 of 3. February 2009 of State capital to credit institutions.

(3). The abolition of voting limits, and ejerlofter, etc. must be decided and registered at the Danish Commerce and companies agency before the agreement is concluded and shall have effect from the latest time of conversion, see. section 5, paragraph 2.

(4). Notwithstanding any statutory omsætteligheds limits can hybrid core capital, which is allocated to a credit institution freely sold and disposed of, see. § 8, paragraph 7 of law No. 67 of 3. February 2009 of State capital to credit institutions.

(5). At the request of a credit institution whose shares are admitted to trading on a regulated market, the Minister for economic and Business Affairs agree that the State's capital can be converted to equity, in the event that the credit institution's total hybrid core capital should come to represent more than 35 percent of the Bank's core capital. Any restrictions on voting rights provided for in ejerlofter and must be lifted and registered, see. (3).

(6). Conversion in accordance with paragraph 5 shall be carried out in the credit institution's request. Conversion can be done with 20 per cent of the original state capital deposits and can be repeated if the credit institution's overall hybrid core capital on new accounts for more than 35 per cent of the credit institution's core capital.

(7). Commission for the right to conversion in accordance with paragraph 5 shall be determined in the context of the conclusion of the agreement to that effect.

Undertaking commissions for government capital injections

§ 6. A credit institution which has entered into an agreement on the State's capital, have to pay commissions to the State undertaking. Undertaking the Commission payable for a period running from 30 calendar days after the date of the contractual process, see. section 4, paragraph 2, up to and including the date of issue or the date of the credit institution's message that the credit institution does not wish to make use of the capital injection.

(2). Undertaking commissions paid monthly in advance, calculated on a daily basis.

(3). Any overpaid undertaking commissions will be refunded.

(4). Undertaking the Commission is calculated as an interest rate (per annum) of the total amount thereof as follows: undertaking commissions = 0.40 x (fixed interest rate – RFR). The fixed rate is the agreed interest rate, see. § 7. RFR is the risk-free interest rate, to be determined as the 5-year-old Government zero coupon rate.

Calculation of interest payment to the State

§ 7. The credit institution must pay individually prescribed interest rates for the State, see. § 8, paragraph 2, no. 10 of law No. 67 of 3. February 2009 of State capital to credit institutions.

(2). Economic and Business Affairs sets out on the day of the conclusion of the agreement the interest rate individually for each credit institutions on the basis of their quality as measured by, among other things. capital shelter and risk profile. Placed in this context, the emphasis on the recognized credit rating agencies ' credit ratings. Credit institutions may be classified into the following categories:





1) Category i: Institutions that are assessed to have a good credit rating.

2) Category II: Institutions that are assessed to have an average credit rating.

3) Category III: Institutions that are assessed to have a lower credit rating.





(3). Credit institutions within the meaning of category II. (2). 2, will be divided into three more sub-categories that reflect the dispersion in quality and risk.

(4). Non-credit-rated credit institutions will be placed in one of the three categories by comparison with already credit rated institutions from a number of parameters, including the core capital ratio of private and foreign capital (leverage), certificates of deposits, cit, access to capital markets, liquidity risk, earnings, credit quality, ownership and institution type.

(5). Individually prescribed interest rates, see. (1) will be determined on the basis of a reference rate in the form of the State's 5-year zero coupon interest rate on the last trading day before the conclusion of the agreement, a permanent risk premium of 6 percent points, as well as one for each credit institution set out additional interest charges. Institutions in category II and III. (2). 2 and 3, will get an interest rate premium of 0.75 percent. points respectively and 2.25%. points in relation to institutions in category in, see. (2). 1. It will thus apply, for example, that with a reference interest rate of 3, the fixed rate for credit institutions in category 1 of the basic regulation. (2). 1, constitute 9 percent for credit institutions in category II, see. (2). 2, the fixed rate will represent respectively 9.375 PCT., 9.75% and 10.5% in the three subcategories, see. paragraph 3, and for credit institutions in category III. (2). 3, the fixed rate will amount to 11.25% Increase or decrease in the State's 5-year zero coupon finance will forward to the day of the contractual process result in corresponding changes in the prescribed interest rate.


(6). In cases where the hybrid core capital represents more than 35 per cent of the total core capital, at the time of contract conclusion and therefore can be converted, see. § 5, the individual interest will be set in such a way as to provide for a finance charge for that part of the hybrid core capital, which cannot be converted, and a finance charge for that part of the hybrid core capital, which can be converted.

Chapter 3

Application for placement of an Government underwriting

§ 8. To use for applying for Government underwriting to the Ministry of economic and business affairs application form and datasheet are used, in which the applicant must request an underwriting. The application form and the datasheet can be found on the Ministry of economic and Business Affairs website or can be obtained by contacting the Ministry.

(2). The application must be submitted duly signed either electronically by using encrypted e-mail and electronic signature, or by regular mail to economics and business.

(3). The application must, together with the completed application form include the following:





1) a revised annual report for 2008 and, if applying the 1. May 2009 or later, the latest quarterly accounts from 2009, which must also be revised.

2) A statement from the credit institution on the Institute's financial position and prospects. The statement must be approved by the Board of Directors, and the statement must contain references to the places in the annual report or quarterly financial statements, where the information referred to in paragraph 3 and paragraph 4, appears. The credit institution shall also come with any additional information about the changes that have importance in relation to the information contained in the annual report and quarterly financial statements. Information in accordance with paragraph 3 and paragraph 4, which do not appear in the annual report or quarterly financial statements, should be written into the statement. The statement shall contain the following information:





(a)) A description of the credit institution's financial position.

(b)) a reasoned statement of the expected economic development until 31 March 2006. December 2010 comprehensive operational and balance budgets and projections associated with the description of the main assumptions, explanatory notes, as well as stress testing of assumptions.

c) an assessment of the credit institution's prospects with information on what initiatives is expected to be carried out, taking into consideration the expected economic development as well as an assessment of the credit institution's liquidity situation, including cash-flow budget, with an indication of the expected refinancing needs in 2009 and 2010 and policy for refinancing of the need.

d) an assessment of the impact of the capital injection, including in relation to profitability, efficiency, solvency and capital requirements.

e) an overview of the credit institution's lending and guarantees, broken down by types of borrowers, including private and corporate clients, industries, occupations, and geography, as well as on types of credit and loan sizes.

f) A description of the credit institution's lending policies, including changes in loan terms and conditions.

g) A description of the credit institution's earnings, costs, risks of loss, impairment and the general development of deposits and lending.

h) A description of how the repayment of the hybrid core capital is expected to take place.

in) A description of planned or approved transactions or the like that is likely to have a significant impact on the credit institution's current and future economic situation, including mergers, separation or divestiture of significant assets or activities, fund-raising or other similar.

j) an overview of issued hybrid core capital and equity loan, including the total debt, the issue date, interest rate terms and any step-up clauses and latest rate recorded and effective interest rate, if the issue is listed on a regulated market.

k) information on potential risks, guarantees and other contingent liabilities, including significant litigation, taxation, unrealized loss of capital, currency, interest rate and exchange rate risks as well as other commitments that are not included in the credit institution's balance, etc.

l) a summary of the credit institution's assets by currency.

m) a statement of expected losses on loans and guarantees in 2009 and 2010.

n) an overview of the credit institution's holdings of securities by credit rating from rating agencies, shall issue and geography, including, where possible, with indication of book value and market price.

o) an overview of the credit institution's total holdings of structured products, which are financial instruments, consisting of two or more components, of which at least one of these is a financial instrument. If the inventory exceeds 0.5% of the credit institution's total assets shall be the subject of a summary breakdown by product type, credit rating and geography, including, where possible, with indication of book value and market price.

p) an overview of interest-bearing assets and liabilities broken down by residual maturity; less than 1 month 1-3 months to maturity, to decay, 3-12 months 1-5 years to decay, decay, more than 5 years to decay. The non-subordinated liabilities be divided into secured and unsecured items.

q) copy of the latest rating report from credit rating agencies which have credit rated credit institution, if such exists, as well as expectations for future credit ratings (ratings), and any future assessments (Outlook) from credit rating agencies.

r) organizational chart, business chart, applicable statutes, together written summary from the Danish Commerce and companies Agency, as well as indication of any agreed but not yet registered amendments thereto.

s) information on financial, legal or other advisors, as the credit institution uses in connection with the proposed funding.





3) A statement of the credit institution's individual solvency needs with the underlying documentation. The statement must be carried out in accordance with Annex 1 of the FSA announcement on capital adequacy regulation. closer to the annex to executive order item 97-99.

4) An opinion of the Auditor, approved by the credit institution without prejudice. (6).

5) copy of the FSA last submitted reports or statements concerning large exposures, statement of cash flow, capital adequacy statement and statement of loans with loan impairment.

6) information about capital adequacy, including:





a) capital adequacy ratio before and after the injection of hybrid core capital.

b) core‐capital ratio before and after the injection of hybrid core capital.

(c)) the size of the institution's overall hybrid core capital is calculated as a percentage of the total core capital before and after the injection of hybrid core capital.

d) the credit institution shall explain the basis for the Declaration of capital coverage, including which method is used, the possible use of a standard methodology or more advanced methods (IRB, Value at risk, AMA, etc.), and the transitional arrangements, as well as the extent to which transitional arrangements as a result of the transition to the new capital adequacy rules limiting any decrease in capital requirement. In addition, the credit institution shall verify that the used basis are in accordance with FSA rules. In addition, the credit institution shall submit the figures used in the calculations of capital adequacy, including risk-weighted items, core capital, subordinated debt, deductions, etc.





7) Estimated information under nr. 6, points (a) to (c), with assessment date per 30. June 2009 and 31 December 2008. December 2009 with explanation of evolution.

8) a statement from the credit institution's Board about that in relation to the historical information presented in accordance with paragraph 28. 6, has been no significant changes in the institution's capital ratio or incidentally in the credit institution's financial situation, since the date of issuance of the annual report for 2008, respectively, the latest quarterly accounts for 2009, if searching the 1. May 2009 or later. If there are significant changes in the economic situation of the credit institution's capital ratio or, should such changes be specified, including stating the nature of the change and the consequences for the information supplied in accordance with paragraph 28. 6.

9) Documentation in order to attract other investors.





(4). The exposition of the basic regulation. paragraph 3, nr. 2, shall also include those in nr. 1-9 indicated economic ratios, in so far as it is relevant to the individual credit institution. The information shall be calculated respectively as at 31 December 2003. December 2008 and, if searching the 1. May 2009 or later, per the date of the most recent quarterly accounts as well as contain estimated data for the financial years 2009 and 2010 (both with and without the addition of hybrid core capital). Credit institutions classified in groups 3 and 4 of the Danish FSA can fail to produce estimates for 2010, if such estimates are not available. Under paragraph 8 may be required also for 2010 estimates. The statement must include economic fundamentals (before and after the injection of hybrid core capital):





1) capital ratio: Equity as a percentage of total assets.


2) Lending plus write-downs in relation to deposits.

3) return on equity.

4) Earnings per cost Crown.

5) Lending and guarantees with impairment losses/provision in relation to total loans and guarantees.

6) the period's write-down percent.

7) impairment losses as percentage of lending with loan impairment.

8) sum of large exposures.

9) growth of loans and guarantees.





(5). Documentation in order to attract other investors, without prejudice. paragraph 3, nr. 9 shall consist of positive comments from other investors that they will be interested in investing in hybrid core capital in the form of bonds. The positive comments from other investors need not take the form of legally binding commitments. In addition, the credit institution shall enclose a detailed description of the proposed offering of bonds, including URf.eks. the size of the offering, expected timetable, expected credit rating, the market for debt securities, expected investors and interest rate indications given by such investors.

(6). Opinion of the auditor referred to in article 6. paragraph 3, nr. 4, must essentially be drawn up in accordance with the Declaration in annex 1. In addition, the auditor's statement on the period financial statements, see. paragraph 3, nr. 1, essentially be drawn up in accordance with the Declaration in annex 2.

(7). In so far as such in § 8, paragraph 3, nr. 2 (b) and (m), as well as in paragraph 4, the information referred to as available for 2011, they must also be provided in the application.

(8). If there is information that the credit institution cannot provide, or provided in any other way than that prescribed in the Ordinance due to the individual credit institution's individual circumstances, an institution must indicate this in the application with reasons of why the information cannot be provided or has been provided on that way.

(9). To use for the examination of an application of economic and business affairs can obtain any additional information considered to be relevant to the assessment of the credit institution and its application.

§ 9. A credit institution which has one or more subsidiary undertakings must submit all of the information in section 8 for both the credit institution on a consolidated basis, even as it is to say including the institution's subsidiaries, in so far as the information to be consolidated in accordance with the Danish financial business Act.

(2). Information to be provided on both financial and non-financial subsidiaries.

(3). A credit institution which is a subsidiary undertaking must, in its application to include information about the ownership and group structure of the credit institution as well as the most recent consolidated annual report of the Institute's ultimate parent company. Economic and business affairs in the context of the examination of the application may require additional information depending on the credit institution's business conditions.

The conclusion of the agreement for the Government underwriting

§ 10. Economic and business affairs shall draw up standard terms and conditions (Term Sheet), which will form the basis of the concrete negotiations with the individual credit institution.

(2). When economics and business and the credit institution has signed an underwriting agreement, economic and business affairs shall be deemed to have submitted final commitments.

(3). The credit institution shall as soon as possible within one of Economics and business time limit specified submit the expected timetable for the supply of economic and business affairs.

(4). The credit institution must offer the bonds to other investors within a certain time period.

(5). To the extent that all bonds not taken up by other investors, the Minister for economic and business affairs votes of underwriting could be triggered in accordance with agreement basis.

(6). The day of issue of the bonds shall be not later than 31 December 2006. December 2009. The Minister for economic and business affairs may lay down rules to the effect that the time limit for the issuance of 1. paragraph should be extended.

(7). The bonds shall, unless otherwise agreed, be offered other investors on identical terms to those contained in the agreement between the credit institution and of economic and business affairs.

§ 11. Economic and business affairs may, on request, and after discussion with the Danmarks Nationalbank make a Government underwriting of bond issues in other currencies than DKK, including URf.eks. Euro.

§ 12. The credit institution is fully and completely responsible for the implementation of the bond offering. The State or the State's consultants assume no and has no responsibility towards the credit institution, investors or others for the implementation of bond supply or the result thereof.

Underwriting commissions for Government underwriting

§ 13. The credit institution shall, during the period from 30 days after the date of contract conclusion and until the date of issue of the bonds, or the date of the credit institution's message that the credit institution does not want to use the drawing of guarantee, pay the underwriting commissions in accordance with the same principles that apply to the undertaking commissions, see. § 6.

Chapter 4

Content of statement on developments in lending credit institution

§ 14. A credit institution receiving government capital injections shall publish every six months a report on developments in the lending institution, without prejudice. § 8, paragraph 2, no. 2 of law No. 67 of 3. February 2009 of State capital to credit institutions. Statement shall consist of the following:





1) a statement of the institution's lending policy and changes in lending policy, including rates and terms.

2) A description of developments in corporate lending, including a breakdown of existing customers and new customers as well as an industry breakdown by enterprise customers, and lending to private customers, including a breakdown of existing customers and new customers as well as a breakdown of, respectively, housing finance and other consumer financing.

3) A description of the changes in practice with regard to the credit assessment of the credit institution's customers.





(2). Danish ship credit a/s must follow the same guidelines as set out in paragraph 1 shall draw up a statement that consists of the following:





1) an explanation of the company's overall lending policy and changes in lending policy.

2) A general description of the evolution of loans and breakdown of lending portfolio on a level.

3) A description of the changes in practice with regard to the credit rating of the company's customers.





(3). The statement shall be made public and submitted to the economic and business affairs at the end of each semester. The first statement must be made public and submitted to the economic and business affairs at the end of the first half after the payment of the State's capital.

Chapter 5

The Organization of the State's expenditure planned

§ 15. A credit institution which is introduced into the hybrid core capital or obtain government underwriting, in addition to the fees in accordance with sections 6 and 13 pay an individual instrument of commissions, which would cover all of the State's costs for preparation, planning and administration of the two application systems, including the use of external advisors. Articles of the Commission does not cover the ongoing administration of the scheme of the Economic Agency, since expenses are covered by the State. Articles of the Commission will consist of a basic amount and a supplementary amount which depends on the size of the State's capital, or of the Government underwriting.

(2). A credit institution who plan to apply for government capital injections or State underwriting, prior to submission of the application can obtain an indicative statement of the forecasted costs to be held across the State.

(3). In the event that there is too much in commissions, see incorporation. (1) in relation to the actual costs incurred, this will be refunded to the credit institutions.

(4). Articles of commissions, see. (1) payable to economics and business at the latest 1 week after contract conclusion.

Chapter 6

Date of entry into force of

§ 16. The notice shall enter into force on the 29th. March 2009.
Economic and business affairs, 26. March 2009 Lene Espersen/Jens lacle Annex 1

Independent auditor's opinion on the credit institution's future prospects and the estimation of the individual solvency need

(for IRB institutions)

For economic and business affairs

As part of the Department's application for economic and Business Affairs on government capital injections by # have the Foundation, see. notice of application requirements, interest calculation, as well as coverage by the State's expenditure for management, etc. at the State capital contributions or underwriting [§ 2, paragraph 3, point (b) of the total of no. 2, § 8, paragraph 3, nr. 2(b)] prepared a statement for the Department's expected economic developments, in terms of budget and projections for the period from 1 January. April 2009-31. December 2010 as well as an inventory of the Department's individual solvency needs.

Upon agreement we have examined the statement contained in the economic prospects for the comprehensive operational and balance budgets and projections associated with the description of the main assumptions, explanatory notes, as well as stress testing of assumptions. We have also examined the cash-flow situation of the credit institution with information about expected refinancing needs in 2009 and 2010.


The Institute's management is responsible for the information contained in the statement of prospects including budget and projections as well as for the listed prerequisites, as the statement is based on.

The Department's internal models for credit risk and market risk is reviewed and approved by the Danish financial supervisory authority for use by the materiality of the risk-weighted items (pillar 1 capital requirement) and is also subject to random checks by the Department's internal audit streams. Our review has covered models ' results and calculation assumptions in relation to the application for statement of need, but not solvency models ' Setup.

The Institute's management has the responsibility for determining the individual solvency need, including the prerequisites, which are the basis for determining the individual solvency need. Our responsibility is, on the basis of our studies is to express a conclusion on this matter.

The studies carried out

We have completed our investigations in accordance with the Danish auditing standard on the examination of prospective financial information. This standard requires that we plan and perform studies in order to obtain limited assurance that the assumptions used, including for credit risk and market risk, is justified and does not contain significant misinformation, as well as a high degree of assurance that the statement in the form of budget and projections and the solvency requirement statement is prepared on the basis of the assumptions. In addition, we have so far as concerns the institution's lending and guarantees, as well as holdings of securities [per 31 december 2008 or per 31 March 2009 depending on whether is sought before or after, there is a revised period accounts for 2009] organized and conducted our survey in order to obtain a high degree of assurance that the solvency requirement statement is based on [the audited annual report as at 31 december 2008 or the revised interim per 31 March 2009 depending on whether there be examined before or after, there is a revised period accounts for 2009].

Our studies have included a review of the exposition in order to assess whether the conditions set out by management are documented and justified. We have also verified whether the budget projections and the solvency requirement statement is prepared in accordance with the prescribed conditions, just as we have verified the internal numerical consistency in budget and projections as well as verified, that the Declaration of solvency need is taken into account the conditions laid down in the Ordinance on capital adequacy article 5, paragraph 1.

It is our opinion that the studies provide an adequate basis for our conclusion.

Conclusion

In our study, we have not been aware of the fact that that invalidates the assumptions provide a reasonable basis for the statement of the forecasted economic development as well as for solvency requirement statement. We are also not aware of any circumstances which invalidates, to the Board of directors stated assumptions are documented and justified. It is our opinion that budget projections and the solvency requirement statement is prepared on the basis of the stated assumptions and that the Declaration of solvency need is taken into account the conditions laid down in the Ordinance on capital adequacy article 5, paragraph 1. In addition, it is our opinion that the solvency requirement statement with regard to the institution's lending and guarantees, as well as holdings of securities, is based on [the audited annual report as at 31 december 2008 or the revised interim per 31 March 2009 depending on whether is sought before or after, there is a revised period accounts for 2009].

We need additional state that the actual results and solvency requirement for the Institute is likely to deviate from the expected, since presumed events rarely occur as expected, and the differences can be significant.

#, [date]

Audit Company XX

State-authorised audit company

Not for IRB institutions

For economic and business affairs

As part of the Department's application for economic and Business Affairs on government capital injections by # have the Foundation, see. notice of application requirements, interest calculation, as well as coverage by the State's expenditure for management, etc. at the State capital contributions or underwriting [§ 2, paragraph 3, point (b) of the total of no. 2, § 8, paragraph 3, nr. 2(b)] prepared a statement for the Department's expected economic developments, in terms of budget and projections for the period from 1 January. April 2009-31. December 2010 as well as an inventory of the Department's individual solvency needs.

Upon agreement we have examined the statement contained in the economic prospects for the comprehensive operational and balance budgets and projections associated with the description of the main assumptions, explanatory notes, as well as stress testing of assumptions. We have also examined the cash-flow situation of the credit institution with information about expected refinancing needs in 2009 and 2010.

The Institute's management is responsible for the information contained in the statement of prospects including budget and projections as well as for the listed prerequisites, as the statement is based on.

The Institute's management has the responsibility for determining the individual solvency need, including the prerequisites, which are the basis for determining the individual solvency need. Our responsibility is, on the basis of our studies is to express a conclusion on this matter.

The studies carried out

We have completed our investigations in accordance with the Danish auditing standard on the examination of prospective financial information. This standard requires that we plan and perform studies in order to obtain limited assurance that the assumptions used, including for credit risk and market risk, is justified and does not contain significant misinformation, as well as a high degree of assurance that the statement in the form of budget and projections and the solvency requirement statement is prepared on the basis of the assumptions. In addition, we have so far as concerns the institution's lending and guarantees, as well as holdings of securities [per 31 december 2008 or per 31 March 2009 depending on whether is sought before or after, there is a revised period accounts for 2009] organized and conducted our survey in order to obtain a high degree of assurance that the solvency requirement statement is based on [the audited annual report as at 31 december 2008 or the revised interim per 31 March 2009afhængigt of whether there be examined before or after, there is a revised period accounts for 2009]

Our studies have included a review of the exposition in order to assess whether the conditions set out by management are documented and justified. We have also verified whether the budget projections and the solvency requirement statement is prepared in accordance with the prescribed conditions, just as we have verified the internal numerical consistency in budget and projections as well as verified, that the Declaration of solvency need is taken into account the conditions laid down in the Ordinance on capital adequacy article 5, paragraph 1.

It is our opinion that the studies provide an adequate basis for our conclusion.

Conclusion

In our study, we have not been aware of the fact that that invalidates the assumptions provide a reasonable basis for the statement of the forecasted economic development as well as for solvency requirement statement. We are also not aware of any circumstances which invalidates, to the Board of directors stated assumptions are documented and justified. It is our opinion that budget projections and the solvency requirement statement is prepared on the basis of the stated assumptions and that the Declaration of solvency need is taken into account the conditions laid down in the Ordinance on capital adequacy article 5, paragraph 1. In addition, it is our opinion that the solvency requirement statement with regard to the institution's lending and guarantees, as well as holdings of securities, is based on [the audited annual report as at 31 december 2008 or the revised interim per 31 March 2009 depending on whether is sought before or after, there is a revised period accounts for 2009]

We need additional state that the actual results and solvency requirement for the Institute is likely to deviate from the expected, since presumed events rarely occur as expected, and the differences can be significant.

#, [date]

Audit Company XX

State-authorised audit company Annex 2

The independent auditor's statement concerning the period financial statements

For economic and business affairs

We have audited the financial statements of the period 1 period. January-31. March 2009 comprehensive key figures and ratios, income statement, balance sheet, statement of changes in equity, cash flow statement and notes. Period financial statements presented in accordance with [IAS 34 ' interim financial reporting ', as adopted by the EU and additional Danish disclosure requirements for publicly traded financial companies/financial business Act].

We have also revised the [institution's/group's] recognition and measurement of loans, guarantees and securities as at 31 December 2003. March 2009 in accordance with [IFRS as adopted by the EU/financial business Act].

Management's responsibility for the period financial statements


The management shall be responsible for preparing and reporting period accounts, including to ensure proper recognition and measurement of loans, guarantees and securities as at 31 December 2003. March 2009, in accordance with [IAS 34 ' interim financial reporting ', as adopted by the EU and additional Danish disclosure requirements for publicly traded financial companies/financial business Act]. This responsibility includes designing, implementing and maintaining internal controls relevant to the preparation and reporting a period accounts without significant error information, regardless of whether the misstatement whether due to fraud or error, as well as the choice and application of appropriate accounting policies and accounting estimates, the exercise of which is affordable as appropriate.

Auditor's responsibility and the performed audit

Our responsibility is to express a conclusion on the period financial statements, including the recognition and measurement of loans, guarantees and securities as at 31 December 2003. March 2009, on the basis of our audit. We have performed our audit in accordance with Danish auditing standards. These standards require that we live up to the ethical requirements and plan and perform the audit in order to achieve a high degree of assurance that the financial statements do not contain significant misinformation period.

An audit includes actions to achieve audit evidence of the amounts and information specified in the period financial statements. The selected actions depend on the auditor's assessment, including assessment of the risks of material misstatement in the period financial statements, regardless of whether the misstatement whether due to fraud or error. In the risk assessment considering auditor internal controls relevant to the entity's preparation and presentation of an accounting period, in order to design audit procedures that are appropriate in the circumstances, but not with the ability to express a conclusion on the effectiveness of the entity's internal control. An audit also includes position on whether the accounting policies applied by the management is appropriate, whether the leadership exercised by the accounting estimates are reasonable and an assessment of the overall presentation of the financial statement period.

It is our understanding that the audit evidence obtained is sufficient and suitable as the basis for our conclusion.

The audit has not given rise to any reservations.

Conclusion

It is our view that




– Period accounts for the period from 1 January. January-31. March 2009 is carried out in accordance with [IAS 34 ' interim financial reporting ', as adopted by the EU and additional Danish disclosure requirements for interim financial reporting for listed financial companies/financial business Act].

– Recognition and measurement of loans, guarantees and securities as at 31 December 2003. March 2009 is in accordance with [IFRS as adopted by the EU/financial business Act].



Office place, date

Audit firm [XX], State-authorised audit company

STATE AUTHORISED PUBLIC ACCOUNTANT