30 Capital Securities and Trust Preferred
Securities III to VI
Contents Management report Corporate governance Consolidated financial statements Financial statements Pillar 3
Capital Securities and Trust Preferred Securities III to VI can be
broken down as follows:
in millions of euros 2015 2014
Capital Securities 8,002 6,530
Trust Preferred Securities III to VI 1,131 1,043
Total Capital Securities and Trust
Preferred Securities III to VI 9,133 7,573
Capital Securities
All Capital Securities are perpetual and have no expiry date.
The distribution on Capital Securities per issue is as follows:
Equity instruments issued directly
Issue of EUR 1,500 million
The distribution is 5.5% per year and is made payable every six
months in arrears as of the issue date (22 January 2015), for the
first time on 29 June 2015.The Capital Securities are perpetual
and first redeemable on 29 June 2020.
Capital Securities are recognised as equity, as there is no
formal obligation to repay the principal or to pay the periodic
dividend.These Capital Securities comply with the current rules
i.e. CRD IV and CRR requirements, with regard to additional
tier 1 capital. The conditions include the requirement that the
securities must not pay starter interest and must absorb losses
if a certain trigger is reached. In that case, the relevant amount
will be debited from the principal. The debiting will occur
on a pro rata basis with other additional tier 1 instruments.
This instrument has two triggers: One at Rabobank Group level
and the other at the level of Rabobank with the local Rabobanks
(Local Rabobank Group). For Rabobank Group, the trigger is at
a common equity tier 1 ratio of 7%, and for the Local Rabobank
Group at 5.125% respectively; this series of Capital Securities
absorbs losses from that point onwards. As of 29 July 2020,
and subject to Capital Securities not being redeemed early,
the distribution is set for a further five-year period, but without
a step-up, based on the 5-year euro swap rate 5.25%.
Issue of USD 2,000 million
The distribution is 8.40% per year and is made payable every six
months in arrears as of the issue date (9 November 2011), for
the first time on 29 December 2011 .The Capital Securities are
perpetual and first redeemable on 29 June 2017. If the Capital
Securities are not redeemed early, the distribution is set for
a further five-year period, but without a step-up, based on the
USTreasury Benchmark Rate plus a 7.49% mark-up.
Issue of USD 2,000 million
The distribution is 8.375% per year and is made payable every
six months in arrears as of the issue date (26 January 2011), for
the first time on 26 July 2011As of 26 July 2016, and subject to
Capital Securities not being redeemed early, the distribution is
set for a further five-year period, but without a step-up, based
on the USTreasury Benchmark Rate plus a 6.425% mark-up.
Issue of EUR 500 million
The distribution is 9.94% per year and is made payable annually
in arrears as of the issue date (27 February 2009), for the
first time on 27 February 2010. As of 27 February 2019, the
distribution will be made payable every quarter based on the
three-month Euribor plus an annual 7.50% mark-up.
Issue of USD 2,868 million
The distribution is 11.0% per year and is made payable every
six months in arrears as of the issue date (4 June 2009), for the
first time on 31 December 2009 (long first interest period).
As of 30 June 2019, the distribution will be made payable every
quarter based on the three-month USD Libor plus an annual
10.868% mark-up.
Issue ofCHF 750 million
The distribution is 6.875% per year and is made payable
annually in arrears as of the issue date (14 July 2009), for the first
time on 12 November 2009 (short first interest period). As of
12 November 2014, the distribution will be made payable every
six months based on the six-month CFHF Libor plus an annual
4.965% mark-up. The issue was redeemed on the earliest
redemption date of 12 November 2014.
Issue of GBP 250 million
The distribution is 6.567% per year and is made payable every
six months in arrears as of the issue date (10 June 2008), for
the first time on 10 December 2008. As of 10 June 2038, the
distribution will be made payable every six months based on
the six-month GBP Libor plus an annual 2.825% mark-up.
Issue of CHE 350 million
The distribution is 5.50% per year and is made payable annually
in arrears as of the issue date (27 June 2008), for the first time on
27 June 2009. As of 27 June 2018, the distribution will be made
payable every six months on 27 June and 27 December based
on the six-month CFIF Libor plus an annual 2.80% mark-up.
233 Notes to the consolidated financial statements
