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Company Circular No:

LCH.Clearnet LLC Circular No 34

Date:17 February 2014
To:All LLC Members

Updated - LCH.Clearnet LLC Acceptable Collateral Haircut Review

1. LCH.Clearnet LLC (LCH.Clearnet) has undertaken a review of the haircuts applied to member margin non cash collateral.

2. Changes to the haircuts resulting from this review will now be made effective from the close of business on 11 March 2014 and can be viewed by clicking here.

3. LCH.Clearnet continues to reserve the right to use its discretion in all circumstances and, in particular, around areas of specific concentration in securities received as margin collateral, including ‘wrong-way’ risk.

4. Details of the LCH.Clearnet Acceptable Collateral list can be found on the LCH.Clearnet website (www.lchclearnet.com) by selecting ‘Risk Management’ and ‘LCH.Clearnet LLC’. Details can then be found under the ‘Collateral Management’ section.

5. Clearing Members seeking further information in relation to this circular or confirmation of eligibility should contact the following:

CaLM Risk
Tel: +44 (20) 7426 7485/7905
E-mail: CaLRM@lchclearnet.com