PF Finans / Clarinova

To manage the variation of cash flow in the portfolio and livety situation can differ from a theoretical statistical assumption, the Company will therfore set aside EUR 30 million to secure the premium payments for the SLS on a special account during a period of 2 years.

Additionally the Company will set aside EUR 30 million during a period of 2 years for securing coupon payments to Bondholders.

Based on assumptions from the Clayton Advisor Group Inc., the Company expects that portfolio will have a negative cashflow of maximum two years and premium costs during that period in the range of maximum EUR 30 million. During the maturity of the Bonds the Company will hold a substantial cash surplus. These funds will be invested in accordance with advise from the investment comittee and as well based on advise from independent investment advisors. The investments will be structured in such a way that returns and risks will meet obilgations for redemption and coupon of the Bonds. The Company has at present no binding asset management agreeements. These form investments of short term liquidity will be made in accordance to the Companys short term asset management policy

The Company is not planning to re-invest in new SLS portfolios during the maturity of the Bond issue.

USE OF PROCEEDS

The proceeds from the Issue will be used for investments in the SLS portfolio, set aside cash for securing the premium payments and interest as well as normal corporate expenses and investments. The cost for the issue is expected to an amount of EUR 24 million.

Trends etc

No known trends, uncertanties, demands, commitments or events that are resonably likely to effect on the issue´s prospects have occured during the current financial year.

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