Österreichische Volksbanken-Aktiengesellschaft ... - Volksbank AG

issue price on the issue date compounded annually. Where such calculation is to be made
for a period of less than one year, it shall be made on the basis of the Day Count Fraction
(see item 25 of the Final Terms).
(10) Repurchase. The Issuer has the right to repurchase Notes in the market or otherwise at
each and every price. The Notes purchased by the Issuer may be held, resold or cancelled
by the Issuer upon its own discretion. The purchase of Subordinated Capital Notes, Short
Term Subordinated Capital Notes, Supplementary Capital Notes and Subordinated Supplementary
Capital Notes may only be effected in accordance with the mandatory regulatory
provisions.
§ 5
(Payments)
(1) Redemption currency. Payments of capital and interest are effected in the Specified
Currency (see item 8 of the Final Terms). In the case of dual currency Notes the repayment
may be effected upon the Issuer's decision either in the Specified Currency or in one
of the repayment currencies determined in the Final Terms (item 8), in which case the Issuer
will publish its decision pursuant to § 11 at the latest five Business Days prior to the
due date.
(2) Payments. Payment of capital and interest shall be made, subject to applicable fiscal and
other laws and regulations, via the Paying Agent(s) to the Clearing Systems or to their order
for credit to the relevant institution managing the account of the Noteholders. The Issuer
shall be discharged from its payment obligation vis-à-vis the Noteholders by payment
to, or to the order of, the Paying Agent(s) in the amount of payment effected. A
payment on the Notes is considered to be in time if it arrives on the due date of the respective
payment on the accounts of the Paying Agent(s). Payments on Notes which are
represented by a Temporary Global Note shall be made upon due certification as provided
for in § 1 para 4(b).
(3) Payments on Supplementary Capital Notes, Subordinated Supplementary Capital
Notes and Short Term Subordinated Capital Notes. In the case of Supplementary
Notes or Subordinated Supplementary Capital Notes, payments of interest shall only be
made if the amount of interest due is covered by annual profits of the previous financial
year prior to movement of reserves (the Annual Surplus) (sec 23 para 7 of the Austrian
Banking Act). If the Final Terms (item 15) specify that the Notes are "non-cumulative",
the right to receive such interest shall lapse in respect of the amount of interest not covered
by the Annual Surplus of the previous financial year. If the Final Terms (item 15)
specify that the Notes are "cumulative", the Issuer will defer payment of such interest (the
Deferred Interest) in respect of the amount of interest not covered by the Annual Surplus
of the previous financial year. Deferred Interest will be payable on each succeeding Interest
Payment Date to the extent the Annual Surplus exceeds the amount of scheduled interest
payable on such Interest Payment Date. Amounts of Deferred Interest will not bear
interest themselves.
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