Spanish Debt: go-live date confirmed

The Target solution will go live on Friday 9 March 2012.

The following service updates are described in the Service Description and Member report available here:

• The cut off for trade integration with next day settlement will move from 4:00 to 3:00 PM CET;
• A daily report showing the net settlement instructions will be available before 5:00 PM CET.

Launch preparation

Action: Clients have to provide their operational contact details (email and telephone number) for the launch to the product implementation manager by Wednesday 25 January.

Scenarii

The move to the target solution can be summed up into 5 cases:

1. For trades submitted before Friday 17 February, settlement instructions with value date equal or greater than Monday 12 March will be cancelled in Iberclear;
2. For trades submitted between Friday 17 February and Thursday 8 March, settlement instructions with value date equal or greater than Monday 12 March will be held by LCH.Clearnet;
   Note: In both cases the settlement instructions will be included in the net instructions as from Monday 12 March;
3. For trades submitted as of Friday 17 February until Friday 8 March, settlement instructions with value date between Friday 17 February and Thursday 8 March are sent using the current process;
4. For trades submitted before Friday 9 March, settlement instructions with value date equal to Friday 9 March are sent using the current process;
5. For trades submitted on Friday 9 March (first leg same-day repos), settlement instructions with value date equal to Friday 9 March will be sent by LCH.Clearnet on a gross basis on behalf of clients using the target process.

Planning

Friday 17 February:

• LCH.Clearnet will hold the sending of any new settlement instructions with value date equal or greater than Monday 12 March until Thursday 8 March;

• As of 17 February, clients (or their settlement agent) must not send settlement instructions with a value date equal or greater than Monday 12 March to Iberclear;

Monday 20 February:

• LCH.Clearnet will extract and send to clients’ operational contact(s) their list of settlement instructions with value date equal or greater than Monday 12 March;

• Clients will authorise LCH.Clearnet via email to cancel the listed settlement instructions at Iberclear;

• LCH.Clearnet will forward the provided confirmation to Iberclear who will cancel the settlement instructions with value date equal or greater than Monday 12 March;

Friday 9 March:

• between 3:00 and 5:00 PM CET, LCH.Clearnet will send the first net settlement instructions to Iberclear with value date equal to Monday 12 March.

Reminder

To benefit from the Spanish government bonds clearing service and key features of the Target solution, all clients are required to have a settlement solution in Iberclear via clients’ own proprietary accounts. Note that the Interim solution will not be maintained.

The EUA platform remains available for testing.

For further information, please contact:

Your LCH.Clearnet SA product implementation manager

Mykael Lemosle: +33 (0) 1 70 37 65 27
[email protected]

Or your account manager.

Michel Bokobza: +33 (0) 1 70 37 65 55
[email protected]

Mireille Van den Neucker: +32 (0) 2 274 55 10
[email protected]

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