21 APRIL 2016

Cash Position

Attached is the summary of cash balances held at 31 March 2016.

PDF Cash Position

Cash balances decreased by approximately £0.4 million during the quarter. Loan repayments, interest and other income totalled £70,000. Catch up dividend distributions totalled £89,000. Liquidators' fees were approximately £324,000 and other liquidation expenses totalled £64,000.

Loan Book

Attached is the summary of the loan book position at 31 March 2016.

PDF Loan Book

During the quarter to March 2016, there were no repayments to any of the outstanding facilities.

The loan tables shown have been converted to Sterling using exchange rates as at 31 March 2016.

Parental Guarantee claim

KSF, in the early stages of the liquidation, submitted a claim against Kaupthing under the Parental Guarantee. The claim was a shortfall claim, meaning that as the shortfall for creditors in KSF has been reduced by the recovery of assets, the value of the claim has fallen. The value of the claim has now been agreed at £3.2m.

Kaupthing have now agreed a composition with their creditors, whereby creditors will get 30% of the value of their agreed claims. They will get this as follows:

Cash 8.3%
Shares in Kaupthing 0.5%
Kaupthing convertible notes 21.2%

Accordingly we should shortly receive cash, shares and notes with a total face value of £960k. The intention is that the shares and notes will then be sold in the short term in order to realise value for creditors.

Contacts

The best way to make contact is to write to the bank at PO Box 197, Third Floor, Sixty Circular Road, Douglas, Isle of Man, IM99 1SN, or email ksf@iom.pwc.com . If you need to telephone the bank, please use the number +44 1624 699222. All other numbers in previous use are now switched off or auto-forward to +44 1624 699222. Please be aware that all telephone calls are recorded for security purposes.


Mike Simpson
Liquidator