Specifics of the trading modes "Bonds D"

Rules of listing admission of securities to placement and trading on CJSC "MICEX Stock Exchange" effective from July 01, 2009 (further the Listing Rules) stipulate the default situation on bonds admitted to trading on the Exchange. By the Rules such defaults situation may occur, if the following event takes place:

• there is a delay in fulfillment of obligations to pay a regular bond coupon by more than 7 days or refusal to fulfill the said obligation;
• there is a delay in fulfillment of the obligation to repay the bond par value by more than 30 days or refusal to fulfill the said obligation;
• there is a delay in fulfillment of the bond purchase obligation (the "buy-back") by more than 1 day or refusal to fulfill the said obligation.

In the event of default situation on a bond issue as it is determined in the Listing rules, a decision may be adopted on limiting the list of allowed trading modes with regard to such bond issue or all bond issues of the relevant issuer by the following trading modes:

• Trading mode "Bonds D – Main trading mode" and/or
• Trading mode "Bonds D – Negotiated trades mode".

Specific features of submitting orders and executing trades in the trading mode "Bonds D – Main trading mode":

In this trading mode trades are executed during a trading session based on limit and market orders placed by the Trading members.

Specific features of submitting orders and executing trades in the "Bonds D – Main trading mode": are similar to those applied to the Main trading mode.

Specific features of submitting orders and executing trades in the trading mode "Bonds D – Negotiated trades mode":

In the trading mode "Bonds D – Negotiated trades mode" trades are executed based on direct orders in the "Negotiated trades mode" placed by the Trading members.

Specific features of submitting orders and executing trades in the "Bonds D – Negotiated trades mode" are similar to those applied to the "Negotiated trades mode".  

* - considering specific features of submitting orders and executing trades for each particular security.