Genesis Power Limited Capital Bonds-Release of Explanatory Notes and Minimum Rate

IRG

Saturday 8th June 2013

Following its announcement on 30 May 2013, Genesis Power Limited (trading as Genesis Energy) today advises it has released the Explanatory Notes which details the modifications to its Capital Bonds and the process by which existing investors can retain their investment in the Capital Bonds.

Genesis Energy has also announced that the Interest Rate on the modified Capital Bonds until the First Reset Date (now 15 July 2018) will be the higher of 5.80% per annum and the five year swap rate on 10 July 2013 plus the margin of 2.15%.

The Explanatory Notes will be shortly posted to the registered address of each bondholder whose name appeared on the register on 6 June 2013. New Zealand bondholders will also be sent an Election Notice. If after reading the Explanatory Notes New Zealand bondholders wish to retain
all or some of their modified Capital Bonds, or apply for additional Capital Bonds, then they must complete and return an Election Notice by no later than 5pm on Wednesday 3 July 2013.

Bondholders that do not wish to continue holding the Capital Bonds do not need to do anything. These bondholders, along with those that hold Capital Bonds through a registered address outside New Zealand on 6 June 2013, will have all of their Capital Bonds automatically purchased by Genesis Energy on 15 July 2013 for $1.00 plus accrued interest (less any applicable withholding taxes).

Timetable:

31 May 2013 - Trading Halt commenced for the Capital Bonds.

6 June 2013 - Record Date.

7 June 2013 - Election period commences.

Election Notice and Explanatory Notes made available to the market on here.

3 July 2013 (or such later date as notified by Genesis Energy) - Date by which New Zealand bondholders wishing to remain invested in the modified Capital Bonds must have returned their duly completed Election Notices.

10 July 2013 - Rate set date on which the interest rate applicable to the modified Capital Bonds is determined and announced to NZX.

15 July 2013

Interest Payment Date.
Modifications to the Capital Bonds will take effect.
Trading in modified Capital Bonds expected to resume.
Genesis Energy purchases Capital Bonds not being retained by existing bondholders.

Genesis Energy is a state enterprise under the State Owned Enterprises Act. The Crown does not guarantee the Capital Bonds or any other obligations of Genesis Energy.

Genesis Energy has lowered their capital bonds interest, however, Infratil still offer you 6.85% p.a. for 9 years in their 2022 infrastructure bonds.

Read the Simplified Disclosure Statement (SDP) of Infratil 2022 Infrastructure Bonds carefully before you decide whether to apply for the bonds. Please find the SDP Here.
After reading the SDP, if you decide to apply please Click Here to register your firm investment amount.

To discuss or ask questions on the Infratil 2022 infrastructure bonds, please contact 0800 474 669 or offer@irg.co.nz

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