Prospectus UBI Banca Covered Bond Programme

Prospectus
Finally the Prepayment Penalty Agreement sets out specific solutions with respect to hybrid rate loans which are
meant to apply to the hybrid rates the provisions, as more appropriate, relating respectively to fixed rate and
variable rate loans.
In relation to the provisions of the Prepayment Penalty Agreement, it is expected that further interpretative and
supplemental indications may be issued, the specific impact of which cannot be accurately anticipated at this
time.
The Bersani Decree moreover includes other miscellaneous provisions relating to mortgage loans which include,
inter alia, simplified procedures meant to allow a more prompt cancellation of mortgages securing loans granted
by banks or financial intermediaries in the event of a documented repayment in full by the debtors of the
amounts due under the loans. While such provisions do not impact on the monetary rights of the lenders under
the loans (lenders retain the right to oppose the cancellation of a mortgage), the impact on the servicing
procedures in relation to the applicable loan agreements cannot be entirely assessed at this time.
Italian Law Decree number 185 of 29 November 2009, as converted into law by the Italian Law number 2 of 28
January 2009 "Misure urgenti per il sostegno a famiglie, lavoro, occupazione e impresa per ridisegnare in
funzione anti-crisi sul quadro strategico nazionale" (the "Anti-crisis Decree") has provided for a number of
measures aimed at the alleviation of the effects of the global financial crisis on the Italian economy.
Under article 2 of the Anti-crisis Decree, the amount of the instalments payable during 2009 by borrowers under
mortgage loans granted prior to 31 October 2008 for the purchase, construction or renovation of their primary
residence (mutui prima casa) (other than for villas, castles, luxury residences and residences with specific artistic
or historical value (i.e. residences with cadastral code A1, A8 and A9)) is calculated by reference to the higher of
4 per cent. (without spread, expenses or any other form of margin) and the interest rate contractually agreed and
applicable on the date of execution of the relevant mortgage loan agreement. The difference, if any, between the
amount so calculated and the amount which would have been otherwise due according to the relevant mortgage
loan agreement (the "Difference") will be paid by the lending institution and ultimately borne by the Italian
State. Regulation number 117852 issued on 29 December 2008 by the Ministry of Economy and Finance has
clarified that, in case of mortgage loans which have been the subject of a securitisation or covered bond
transaction, such Difference shall be paid by the relevant seller or by the "soggetto incaricato della riscossione
dei crediti ceduti e dei servizi di cassa e pagamento" pursuant to the Italian Securitisation and Covered Bond
Law.
Regulation number 11434 issued on 13 February 2009 by the Ministry of Economy and Finance has clarified
that the Difference shall be paid on the date falling on the scheduled instalment date of the relevant mortgage
loan.
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