(NLG x 1,000)
Subordinated loans
The amount of NLG 318,860 is made up as follows:
Postbank
1.
92,292
2.
50,000
3.
142,292
1986
1985
AEGON
Other
Total
Total
123,068
215,360
135,000
50,000
100,000
3,500
3,500
173,068
3,500
318,860
135,000
Item 1
This loan, placed in 1986, (AEGON N.V NLG
123.1 million; Postbank N.V NLG 92.3 million) is
subordinated in such a manner that it can be
considered part of the capital base of the com
pany according to the standards applied by De
Nederlandsche Bank N.V, the claim of Postbank
N.V with respect to both principal and interest
being subordinate to that of AEGON N.V
The subordinated loans, at an interest rate
of 8%, are convertible into common stock. Repay
ment will take place as soon as AEGON N.V has
acquired the majority of the total of issued com
mon stock and cumulative preferred B stock and
in any case commencing not later than the
eleventh year following the payment date, having
due regard to the subordinated nature of the
loan. As long as AEGON N.V has not acquired
the said majority stockholding, conversion,
including partial conversion, will be allowed dur
ing a period of not more than ten years following
the payment date. The conversion price will be
determined by applying a formula as set forth on
page 7 and subsequent pages of the ’Statement of
April 25, 1986, in connection with the acquisi
tion by AEGON N.V and Postbank N.V
30
Notes to the Individual Consolidated Balance Sheet Items
