L'avevate letta??? ma qui solo SNS ha fatto il fosso ??????
CMZB - Delaware Court Opinion support some T1s
NOTIZIA DEL 19-03-2013
* A Delaware Supreme Court Decision published 19 March
yesterday drove levels of selected Commerzbank tier 1 bonds, as
an Opinion was published ahead of the final decision in the
Supreme court concluding that Commerzbank should pay two years
of historic coupons and elevate Commerzbank Trust II T1 (CMZB
5.905% perp-18) to LT2 alongside the DresCap Trust IV
Certificates (private placement) which was elevated to LT2s in
an amended Agreement in 2010.
* If the Supreme Court's final decision is taken in line
with this Opinion (no timing for final decision at this time) it
could have substantial implications for CMZB's T1s outstanding.
The Opinion discusses only two years of coupons with payments in
2009 and 2010 (for 2008 and 2009). Should the decision go
against CMZB, the bank may have to pay a third coupon, that of
2011 for 2010, and it is also possible that the coupon paid in
2012 for 2011 would be due on the 5.905% perp-18. Moreover, in
line with the conclusions published Tuesday, the Supreme Court
may also decide that the 5.905% perp-18 T1 would be elevated to
LT2 alongside the Drescap Trust IV Securities, and in that case
future coupons would clearly also be supported.
* An identical court case relating to the Commerzbank
Trust I T1 (CMZB 5.012% perp-16) is in stay in Delaware awaiting
the final decision on the Trust II security. We would expect
this court case to come to the same conclusion as the one
currently underway.
* We also note that Commerzbank has a Trust III T1
outstanding with similar documentation (FRN perp, EUR186m
currently outstanding, ISIN DE000CK45783). At present, the court
is not considering any case with regards to this bond, but it
would likely be treated similarly to the other T1s should a case
be brought.
* We also believe that the CMZB 5.321% 2016, CMZB 6.352%
perp-17 and the Eurohypo's tier 1s most likely will not be
affected regardless of the Delaware Court's final decision.