10 NOVEMBER 2009

Committee of Inspection

A meeting of the Committee of Inspection was held on 5 November 2009. Minutes of the meeting will be posted on this website as soon as they have been agreed. Among the matters discussed was the strategy for ongoing communication with creditors. Following on from that discussion, and given the additional information which is now available from the Administrators of KSFUK, we will shortly be releasing an indicative distribution schedule and updating our estimate of the final outcome.

Kaupthing hf

A meeting of creditors was held on 20 October to discuss the extension of the moratorium and proposals regarding New Kaupthing, which was created to run the group's domestic Icelandic banking business. The relevant documents can be downloaded from www.kaupthing.com

Parental Guarantee

The Winding up Committee of Kaupthing hf have indicated that claims against them must be made by 30 December 2009. We will be making a claim on the basis of the parental guarantee for the shortfall in the company's assets. It should be noted that neither the Winding up Committee nor the Resolution Committee of Kaupthing hf have indicated an estimated return to creditors, and it may be some time before this information becomes available. I have received a number of queries from creditors who have asked whether they should submit claims individually. The Winding up Committee have stated that it is their opinion that only the Joint Liquidators of KSFIOM can make a claim on the basis of the guarantee as KSFIOM was the recipient of the guarantee, not individual creditors. I understand that creditors of Landsbanki Guernsey have made individual claims against their parental guarantee, however, I also understand that the wording of their guarantee is different to that of KSFIOM.


The Administrators of KSFUK have announced that they estimate their ultimate distribution to unsecured creditors should be in the range of 60% to 75%. This is dependent on the realisation of assets and is not guaranteed. They have also indicated that they will pay a second distribution of not less than 7% in December 2009.

Agreement of creditors' claims

The following statistics show the current position regarding the agreement of creditors' claims:

Creditor Stats 10 Nov 09

The DCS claims which have been approved have all been advised to the administrators of the DCS, and the relevant first distribution payments have been made to them (approximately £62.8 m). Any DCS claimants who have not yet received their payment from the DCS should contact:

Isle of Man Depositors' Compensation Scheme
41 Athol Street
Isle of Man
IM99 1HN


+44 1624 625 680 (UK office hours only)

Any creditors who have not yet submitted a claim, either directly or through the Depositors Compensation Scheme, are asked to submit their claims as soon as possible to ensure that they receive the distributions to which they are entitled.

Second distribution

I can confirm that it is our intention to pay a second distribution in December 2009. The amount of dividend cannot yet be confirmed, however it is expected to be in the region of 14%. The amount will be confirmed in early December when the amount of cash available for distribution is known.


As previously, the best way to make contact is to write to the bank or email branch@singers.co.im. If you need to telephone the bank, please use the main switchboard number +44 1624 699222.


Mike Simpson

Joint Liquidator