Realkredit Danmark will open two new mortgage covered bonds (SDRO) for the funding of FlexKort® as well as RD Cibor6® should the coupon rate of the existing covered bonds (DK0009296709 and DK0009296899) be floored at zero at the coming interest rate fixing as of 1 July 2015. This is due to technical issues making Realkredit Danmark unable to issue new loans in the above mentioned ISIN’s in this situation.
The new bonds will be opened with the following characteristics:
| CITA 6M |
11F |
0.05% |
0.50% |
01-07-2019 |
| CIBOR 6M |
12F |
0.10% |
0.10% |
01-07-2019 |
* The initial coupon applies until 1 January 2016
The bonds will be issued with an embedded interest rate floor of 0.00%.
Realkredit Danmark expects to be able to announce a future solution regarding negative coupons within three months time.
The Executive Board
Any additional questions should be addressed to Chief analyst, Hella Gebhardt Rønnebæk, phone +45 45 13 20 68.