Announcement
GENERAL: COO010: RBNZ Announcement on actions to support the banking system
09:07am
COO
06/04/2020 09:07
GENERAL
PRICE SENSITIVE
REL: 0907 HRS The Co-operative Bank Limited
GENERAL: COO010: RBNZ Announcement on actions to support the banking system
NZX Announcement
6 April 2020
RBNZ Announcement on actions to support the banking system
The Co-operative Bank notes the recent announcement made by the Reserve Bank
of New Zealand (RBNZ) that to support the financial system during the period
of economic uncertainty created by COVID-19, locally incorporated banks
should not redeem non-CET1 capital instruments. It has advised that this
restriction will remain in place until further notice, with the aim of
relaxing it when the economic outlook has sufficiently recovered.
The first early redemption date for the Co-operative Bank's $15 million of
Capital Notes is 26 July 2021. Early redemption can also occur on any
scheduled interest payment date subsequent to this date. Repayment is
subject to restrictions including regulatory approval from RBNZ. If RBNZ
does not change the position outlined above prior to July 2021, Co-operative
Bank expects that the RBNZ would not approve the redemption on the first
early redemption date (or on subsequent early redemption dates until such
time as the restriction is lifted).
The restriction on redemptions has no impact on interest payments on these
Capital Notes.
For further information please contact:
Jeremy Valentine
General Manager - Risk, Legal & Governance
The Co-operative Bank Limited
(04) 495 7588
ENDS
End CA:00351315 For:COO Type:GENERAL Time:2020-04-06 09:07:36
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