OREANDA-NEWS. June 28, 2010. JSC Temirbank announces that the expected FMSA regulation no. 39 dated 29 March 2010 (the FMSA Regulation) on the amendments to the relevant FMSA regulations has not yet been published and, therefore, the Bank assumes that it will not become effective before the Restructuring Date. (The FMSA Regulation, if in force on the Restructuring Date, would have dispensed with the requirement for submission by the Domestic Noteholders of recipient instructions for the purposes of distribution of the relevant Entitlements to the Domestic Noteholders.), reported the press-centre of Temirbank.   

Therefore, the Bank will not be able to distribute New Secured Domestic Notes and effect the modification of the terms of the Unsecured Domestic Notes (together, the New Notes) on the Restructuring Date unless it receives the following additional documents:

(a) in the case of Domestic Noteholders who hold their Domestic Notes directly, (a) undated instructions in the required form to the Independent Registrar to authorise the registration of New Notes to the account of that holder and (b) a power of attorney authorizing the Bank to date the instructions to the Independent Registrar and deliver the same to the Independent Registrar together with the Bank's own transfer instructions on the Restructuring Date (each of the instructions and the power of attorney in Russian, or with a notarised Russian translation and, if required, notarized and apostilled or legalised);

(b) in the case of Domestic Noteholders who hold their Domestic Notes through a nominee, must be accompanied by a copy of the instructions in the form required by the relevant nominee (with an original to be delivered no earlier than the date 2 days before the Restructuring Date and no later than the Domestic Distribution Submission Deadline (Initial) to the nominee through which it holds its Domestic Notes, authorizing the registration of the New Notes to the account of that holder in the nominal holding system of the relevant nominee);

(c) must be accompanied by an original extract from the Independent Registrar (in the case of Domestic Noteholders who hold their Domestic Notes directly) or the nominee (in the case of Domestic Noteholders who hold their Domestic Notes through nominees) evidencing the beneficial ownership of the relevant Domestic Noteholder as at midnight on the Business Day prior to the Restructuring Date (the Domestic Distribution Record Date), before 5 p.m. Almaty time on Tuesday 29 June 2010 (the Domestic Distribution Submission Deadline (Initial)) (being the Business Day immediately before the Restructuring Date).

The Bank asks the Domestic Noteholders to urgently provide the relevant undated instructions and, if applicable, a power of attorney as set out above.

Information for the Unsecured Domestic Noteholders:
The modification of the terms of the Unsecured Domestic Notes involves a redenomination of the nominal value of such Unsecured Domestic Notes to one tiyn (0.01 tenge) per Unsecured Domestic Note. The redenomination of the Unsecured Domestic Notes and the amendment of the other terms of the Unsecured Domestic Notes is required in order to effect the Restructuring Plan approved by the requisite majority of creditors of the Bank. As a result of such redenomination, the nominal value of the Unsecured Domestic Notes held by each Unsecured Domestic Noteholder will be reduced pro rata to such redenomination. Therefore, a transfer by the Bank to each Unsecured Domestic Noteholder of a corresponding number of New Unsecured Notes is required in order to reinstate the position of each Unsecured Domestic Noteholder. The redenomination itself does not have any adverse economic effect to the Unsecured Domestic Noteholders provided that each Unsecured Domestic Noteholder submits the documents requested above and the transfer of the New Unsecured Notes to the account of the relevant Unsecured Domestic Noteholder is effected.

The Entitlement of any Unsecured Domestic Noteholder who fails to submit the documents requested above before the Domestic Distribution Submission Deadline (Initial), shall be transferred to the Independent Holder. The Independent Holder will hold such Entitlements in custody until the FMSA Resolution becomes effective. After the FMSA Regulation becomes effective, the Bank will endeavour to transfer the Entitlements to such Unsecured Domestic Noteholder’s account on the basis of the Bank’s unilateral transfer instruction in accordance with the FMSA Regulation.

Information for the Secured Domestic Noteholders:
The Bank reminds Secured Domestic Noteholders that wish to receive New Secured Domestic Notes on the Restructuring Date that they must submit a Domestic Distribution Claim Form to the Bank before the Domestic Distribution Submission Deadline (Initial) to:

JSC Temirbank Capital Markets Department 68/74, Abay Avenue Almaty, 050008, Kazakhstan

The Entitlement of any Secured Domestic Noteholder who fails validly to submit a Domestic Distribution Claim Form complying with the requirements set out above before the Domestic Distribution Submission Deadline (Initial), shall be dealt with as set out in the Second Supplemental Information Memorandum.

Domestic Distribution Claim Forms for holders of Secured Domestic Notes are available to download from the Bank's website at http://en.temirbank.kz/ and from the Information Agent's website http://bonds.thomsonreuters.com/temirbank.

Queries:
Any queries in relation to the above should be referred to:
Tel: +7 727 2587873 (Capital Markets)
Email: ir@temirbank.kz

Restructuring Creditors may direct any other queries they have regarding the restructuring to either: The International Department of the Bank by email at ir@temirbank.kz or by telephone at +7 727 259 0528 or +7 727 258 7829; or

The Information Agent: Thomson Reuters by email at Disclosures_fisi@thomsonreuters.com or by telephone to any of Ellis Farrell + 44 207 542 8775, Christina Mermiga + 44 207 542 5836 or Melina Bobbio + 44 207 542 9013 or by post to Thomson Reuters, 30 South Colonnade, Canary Wharf, London, UKE14 5EP.