OREANDA-NEWS. March 17, 2010. Kazakhstan Kagazy (Almaty Region) informed Kazakhstan Stock Exchange (KASE) by the official letter on delay of the third coupon interest on bonds KZ2C0Y05D117 (KASE official list Non-rated Debt Securities first subcategory; KKAGb4; KZT100, KZT12.0 bn; August 29, 08 - August 29, 13, the semi-annual coupon 12.00 % APR; 30/360), reported the press-centre of KASE.

According to these bonds issue prospectus Kazakhstan Kagazy was to pay this interest on March 1-10, 2010. The prospectus specifies that "in case of default on payment or incomplete payment at fault of the Issuer of coupon interest and/or the principal in the terms set with the Prospectus, the Issuer shall pay bondholders fines for each day of delay, on the basis of the official refunding rate of the National Bank of the Republic of Kazakhstan as of the day of money obligation or its part fulfillment".

In the letter Kazakhstan Kagazy informed that:

Kazakhstan Kagazy informs that at present the issuer on bonds of issue NIN KZ2C0Y05D117 has an unpaid debt on coupon interest in the size of KZT329,435,166.67 the payment date of which occurred.

... At present the issuer negotiates with bonds holders the change in debt securities issue terms.
 
Based on the above said and considering complicated financial status of the issuer, the order and terms of repayment will be agreed on with bonds holders.

At present twelve companies, securities of which are present in KASE official list, informed on inability to fully or partially fulfill their obligations on bonds. Listed companies defaulted payment on bonds is available on KASE website in section "Issuers" ("default") at address http://www.kase.kz/en/emitters