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Name | Symbol | Market | Type |
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Sthn.pac.c'a'39 | LSE:AE66 | London | Bond |
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RNS Number:2521H Southern Pacific Securities C PLC 7 February 2003 NOTICE OF MEETING OF NOTEHOLDERS #301,530,000 Class A Mortgage Backed Floating Rate Notes due 2039 #28,350,000 Class M Mortgage Backed Floating Rate Notes due 2039 and #20,120,000 Class B Mortgage Backed Floating Rate Notes due 2039 issued by Southern Pacific Securities C plc Southern Pacific Securities C plc (the "Issuer") hereby gives notice to the holders (the "Noteholders") of #301,530,000 Class A Mortgage Backed Floating Rate Notes due 2039 (the "Class A Notes"), #28,350,000 Class M Mortgage Backed Floating Rate Notes due 2039 (the "Class M Notes") and #20,120,000 Class B Mortgage Backed Floating Rate Notes due 2039 (the "Class B Notes") issued by Southern Pacific Securities C plc (the "Notes") that, pursuant to Condition 11 of the Notes and the provisions of Schedule 3 of the Trust Deed dated 15 November 2001 (the "Trust Deed") relating to the Notes and made between the Issuer and Capita IRG Trustees Limited (the "Trustee") as trustee for the Noteholders, a meeting of the Noteholders will be held at the offices of Clifford Chance Limited Liability Partnership, 200 Aldersgate Street, London EC1A 4JJ on 4 March 2003 at the times referred to below for the purposes of considering and, if thought fit, passing the following resolutions which will be proposed as Extraordinary Resolutions in accordance with the provisions of the Trust Deed. EXTRAORDINARY RESOLUTIONS First Extraordinary Resolution "THAT this Meeting of the holders of the #301,530,000 Class A Mortgage Backed Floating Rate Notes due 2039 issued by Southern Pacific Securities C plc constituted in relation to the Trust Deed hereby: (1) assents to the modification of the Terms and Conditions of the Notes and the Trust Deed as set out below: That Condition 5(e) (Redemption for Tax Reasons) be amended such that the Issuer can only redeem the Notes pursuant to Condition 5(e) if the Trustee is of the opinion that such changes giving rise to the redemption would have a material adverse effect on the Noteholders and that the Trustee, in exercising its discretion, may (but need not be required to do so) seek the approval of the Most Senior Class of Noteholders. As amended Condition 5(e) will read as follows: "(e) Redemption for Tax Reasons If (a) the Issuer at any time satisfies the Trustee immediately prior to the giving of the notice referred to below that either (i) on the next Interest Payment Date the Issuer would be required by reason of a change in law, or the interpretation or administration thereof to deduct or withhold from any payment of principal or interest on the Notes (other than in respect of default interest), any amount for or on account of any present or future taxes, duties, assessments or governmental charges of whatever nature imposed, levied, collected, withheld or assessed by the United Kingdom or any political sub- division thereof or any authority thereof or therein or (ii) on the next Interest Payment Date the Issuer or the Hedge Counterparty would be required by reason of a change in law, or the interpretation or administration thereof to deduct or withhold from any payment under the Hedge Agreement, any amount for or on account of any present or future taxes, duties, assessments or governmental charges of whatever nature imposed, levied, collected, withheld or assessed by the United Kingdom or any political sub-division thereof or any authority thereof or therein or (iii) the total amount payable in respect of interest in relation to any of the Mortgages during an Interest Period ceases to be receivable (whether by reason of any Borrower being obliged to deduct or withhold any amount in respect of tax therefrom or otherwise, and whether or not actually received) by the Issuer during such Interest Period and (b) the Trustee _______________ (who may (but not required to do so) seek the approval of the Most Senior Class _____________________________________________________________________________ of Noteholders (as defined below)) is of the opinion that such changes would _____________________________________________________________________________ have a material adverse effect on the Noteholders, then the Issuer may, having _________________________________________________ given not more than 60 nor less than 30 days' written notice to the Trustee and the Noteholders in accordance with Condition 14, redeem all (but not some only) of the Notes on any Interest Payment Date at their Principal Amount Outstanding provided that, prior to giving any such notice, the Issuer shall have provided to the Trustee; (a) a certificate signed by two directors of the Issuer to the effect that it will have the funds, not subject to the interest of any other person, required to redeem the Notes as aforesaid and (b) if appropriate a legal opinion (in form and substance satisfactory to the Trustee) from a firm of lawyers in England (approved in writing by the Trustee) opining on the relevant change in tax law (or interpretation or administration thereof). Any certificate and legal opinion given by or on behalf of the Issuer may be relied on by the Trustee and shall be conclusive and binding on the Noteholders, Receiptholders and Couponholders and the Trustee shall have no liability for acting on such reliance. "Most Senior Class of Noteholders" means the A Noteholders whilst the A Notes _____________________________________________________________________________ remain outstanding and thereafter the M Noteholders whilst the M Notes remain _____________________________________________________________________________ outstanding and thereafter the B Noteholders whilst the B Notes remain _____________________________________________________________________________ outstanding." ______________ (2) sanctions every abrogation, modification, compromise or arrangement in respect of the rights of the Noteholders against the Issuer involved in or resulting from the modifications referred to in paragraph (1) of this Resolution; (3) authorises and instructs the Trustee to concur in the modifications referred to in paragraph (1) of this Resolution and, in order to give effect thereto, forthwith to execute a Supplemental Trust Deed in the form of the draft produced to this Meeting and for the purpose of identification signed by the Chairman thereof with such amendments (if any) thereto as the Trustee shall require; (4) declares that the Trustee shall not have any liability to the Noteholders in relation to such of the acts or omissions made by it as required by this First Extraordinary Resolution and acknowledges that the Trustee shall not owe any responsibility to the "Noteholders for the terms of this First Extraordinary Resolution and the exercise by the Most Senior Class of Noteholders of their rights in relation thereto; and (5) acknowledges and agrees that the First Extraordinary Resolution will not be deemed to have been passed unless the Second Extraordinary Resolution is passed. The meeting of the Class A Noteholders will commence at 2pm (London time). Second Extraordinary Resolution "THAT this Meeting of the holders of the #301,530,000 Class A Mortgage Backed Floating Rate Notes due 2039, #28,350,000 Class M Mortgage Backed Floating Rate Notes due 2039 and #20,120,000 Class B Mortgage Backed Floating Rate Notes due 2039 issued by Southern Pacific Securities C plc constituted in relation to a Trust Deed dated 15 November 2001 hereby: (1) assents to the modification of the Terms and Conditions of the Notes and the Trust Deed as set out below; (a) that Condition 4(c) (Rate of Interest) be amended such that there will be no increase in the Relevant Margin for each Interest Period after the Interest Payment Date falling in September 2008. As amended, the definition of Relevant Margin in Condition 4(i) will read as follows: " the "Relevant Margin" shall be: (1) for each Interest Period (DELETE ending on or before the Interest Payment Date falling in September 2008, DELETE) 0.44 per cent. per annum for the Ordinary A Coupons in respect of the A Notes, 1.40 per cent. per annum for the M Notes, and 2.75 per cent. per annum for the B Notes; and (DELETE (2) for each Interest Period after the Interest Payment Date falling in September 2008, 0.88 per cent. per annum for the Ordinary A Coupons in respect of the A Notes, 2.80 per cent. per annum for the M Notes, and 3.75 per cent. per annum for the B Notes; and" DELETE) (b) that Condition 4(c)(iv) be amended such that the Detachable A Coupons will only bear interest up to and including the Interest Payment Date in June 2004. As amended, the Condition 4(c)(iv) shall read as follows: " that part of the interest on the A Notes as is represented by the Detachable A Coupons (which only apply to Interest Payment Dates up to and including the ____________________________________________________________________ Interest Payment Date in June 2004) shall be 2 per cent, per annum." ___________________________________ (c) that a new Condition 4(c)(v) be inserted in Condition 4. Condition 4(c)(v) shall read as follows: (v) on the Interest Payment Date falling in March 2003, the Issuer shall make an ________________________________________________________________________________ additional payment of interest in respect of the Ordinary A Coupons equal to ________________________________________________________________________________ 0.11% and calculated on the Principal Amount Outstanding of the A Notes on such ________________________________________________________________________________ date (for the avoidance of doubt the Principal Amount Outstanding of the A Notes ________________________________________________________________________________ will be calculated after any Note Principal Payments are distributed on such ________________________________________________________________________________ date). #99,225 in respect of the B Notes and #80.480 in respect of the M Notes ________________________________________________________________________________ (each such payment being referred to as an "Additional Interest Payment"). For ________________________________________________________________________________ avoidance of doubt the Additional Interest Payment shall be paid only on the ________________________________________________________________________________ Interest Payment Date falling in March 2003." ______________________________________________ (d) that the option to redeem the Notes on the Interest Payment Date falling in September 2008 and any Interest Payment Date thereafter will be deleted from Condition 5(d) (Optional Redemption). As such the following paragraph will be deleted from Condition 5(d): "On the Interest Payment Date falling in September 2008 and on any interest Payment Date thereafter, and upon giving not more than 60 nor less than 30 days' written notice to the Trustee and the Noteholders in accordance with Condition 14, the Issuer may redeem all (but not some only) of the Notes at their Principal Amount Outstanding provided that prior to giving any such notice, the Issuer shall have provided to the Trustee a certificate signed by two directors of the Issuer to the effect that it will have the funds, not subject to any interest of any other person, required to redeem the Notes as aforesaid." (2) sanctions every abrogation, modification, compromise or arrangement in respect of the rights of the Noteholders against the Issuer involved in or resulting from the modifications referred to in paragraphs (a) and (b) of this Resolution and the terms of the First Resolution; (3) authorises and instructs the Trustee to concur in the modifications referred to in paragraphs (a), (b) and (c) of this Resolution and, in order to give effect (hereto, forthwith to execute a Supplemental Trust Deed in the form of the draft produced to this Meeting and for the purpose of identification signed by the Chairman thereof with such amendments (if any) thereto as the Trustee shall require; (4) declares that the Trustee shall not have any liability to the Noteholders in relation to such of the acts or omissions made by it as required by this Second Extraordinary Resolution and acknowledges that the Trustee shall not owe any responsibility to the Noteholders for the terms of this Second Extraordinary Resolution and the exercise by the Noteholders of their rights in relation thereto; and (5) acknowledges and agrees that the Second Extraordinary Resolution will not be passed unless each class of Noteholders has voted in favour of it and the First Extraordinary Resolution has been voted in favour of. The Second Extraordinary Resolution will be considered by separate meetings of each class of Noteholders. The meeting of the Class A Noteholders will commence at 2.45pm (London Time). The meeting of the Class M Noteholders will commence at 3.30pm (London Time). The meeting of the Class B Noteholders will commence at 4.15pm (London Time). Background and reasons for meeting Southern Pacific Mortgages Limited has requested that the transaction be restructured in order to achieve off balance sheet treatment for the Notes under US Generally Accepted Accounting Principles. The Issuer has accordingly convened the Meeting of Noteholders by the above Notice to request the agreement of the Class A Noteholders by Extraordinary Resolution to the matters contained in the First Extraordinary Resolution and to request the agreement of all Noteholders by Extraordinary Resolution to the matters contained in the Second Extraordinary Resolution. The attention of Noteholders is particularly drawn to the quorum required for the Meeting and for an adjourned Meeting which is set out in paragraph 2 of "Voting and Quorum" below. Copies of the Trust Deed, the Terms and Conditions of the Notes, an Explanatory Letter for the Noteholders (setting out the proposed resolutions), and the draft Supplemental Trust Deed in substantially the same form as it is proposed it shall be executed (if the Extraordinary Resolutions set out above are passed) are available for inspection at the offices specified below of JPMorgan Chase Bank (the "Principal Paying Agent"). In accordance with normal practice the Trustee expresses no opinion on the merits of the proposed modifications but has authorised it to be stated that it has no objection to the Extraordinary Resolutions being submitted to relevant Noteholders for their consideration. Voting and Quorum 1. A Noteholder wishing to attend at the Meeting in person must produce at the Meeting either the Note(s), or a valid voting certificate issued by a Paying Agent relating to the Note(s) in respect of which he wishes to vote. A Noteholder not wishing to attend and vote at the Meeting in person may either deliver his Note(s) or valid voting certificate(s) to the person whom he wishes to attend on his behalf or give a voting instruction form (on a voting instruction form obtainable from the specified offices of the Paying Agents set out below) instructing a Paying Agent to appoint a proxy to attend and vote at the Meeting in accordance with his instructions. Notes may be deposited with any Paying Agent or (to the satisfaction of such Paying Agent) held to its order or under its control by Clearstream Banking, societe anonyme or the Operator of the Euroclear System or any other person approved by it, for the purpose of obtaining voting certificates, or, not later than 48 hours before the time appointed for holding the Meeting giving voting instructions in respect of the relative Meeting. Notes so deposited or held will not be released until the earlier of the conclusion of the Meeting and the surrender of the voting certificate(s) or, not less than 48 hours before the time for which the Meeting is convened, the voting instruction receipts) issued in respect thereof. 2. The quorum for the First Extraordinary Resolution shall be 2 or more persons present in person holding Notes, voting certificates or being proxies and holding or representing not less than 51 per cent. of the aggregate principal amount of the Notes for the time being outstanding, not being Notes which are beneficially held or on behalf of the Issuer. Southern Pacific Mortgage Limited or the Administrator (being Southern Pacific Mortgage Limited, or any of its successors in the role of Administrator) or any of their respective subsidiaries or holding companies and not yet cancelled. The quorum for the Second Extraordinary Resolution shall be 2 or more persons present in person holding Notes, voting certificates or being proxies and holding or representing not less than 75 per cent. of the aggregate principal amount of the Notes for the time being outstanding, not being Notes which for the time being held by or on behalf of the Issuer, Southern Pacific Mortgage Limited or the Administrator or any of their respective subsidiaries or holding companies and not yet cancelled. 3. Every question submitted to the Meeting will be decided on a show of hands unless a poll is duly demanded by the Chairman of the Meeting, the Issuer, the Trustee or by one or more voters holding or representing not less than one fiftieth of the aggregate principal amount of the Notes for the time being outstanding. On a show of hands every voter who is present in person and produces a Note or voting certificate or is a proxy shall have one vote. On a poll every voter who is so present shall have one vote in respect of each #10,000 in aggregate face amount of the outstanding Notes so produced or represented by the voting certificate so produced or in respect of which he is a proxy. 4. To be passed, the First Extraordinary Resolution requires a majority in favour consisting of not less than three-quarters of the votes cast, save that the First Extraordinary Resolution will not be deemed to have been passed unless the Second Extraordinary Resolution is passed. If passed, the Extraordinary Resolution will be binding on all the Noteholders of each class of Notes outstanding, whether or not present at such Meeting and whether or not voting, and upon all the holders of the coupons relating to the Notes. To be passed, the Second Extraordinary Resolution requires a majority in favour consisting of not less than three-quarters of the votes cast, save that the Second Extraordinary Resolution will not be passed unless each class of Noteholders has voted in favour of it and the First Extraordinary Resolution has been voted in favour of. If passed, the Second Extraordinary Resolution will be binding on all the Noteholders of each class of Notes outstanding, whether or not present at such Meeting and whether or not voting, and upon all the holders of the coupons relating to the Notes. Principal Paying Agent JPMorgan Chase Bank Trinity Tower 9 Thomas More Street London E1W 1YT Noteholders should contact Milind Chaukar at Lehman Brothers International (Europe) on +44 207 256 4531 with any questions relating to the matters contemplated by the Extraordinary Resolutions. Capitalised words and expressions used in this notice shall, unless otherwise defined herein, have the meaning ascribed to them in the Offering Circular and the Terms and Conditions of the Notes. This information is provided by RNS The company news service from the London Stock Exchange END MSCBLGDDGUGGGXR
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