To
OMX The Nordic Exchange Copenhagen
Executive Board
Parallelvej 17
DK-2800 Kgs. Lyngby
www.rd.dk
Telephone +45 7012 5300
4 December 2007
Announcement number 56 - 2007
Auctions of bond series 10D
Realkredit Danmark holds an auction on mortgage bonds (RO) in series 10D. The
auction will be on mortgage bonds (RO) to fund loans to subsidized housing,
which on the basis of current legislation are not allowed to be funded in
mortgage covered bonds (SDRO).
There will only be an auction on the 1-year and 3-year mortgage bonds (RO) in
series 10D. The auction will be held in one day, Friday, 7 December 2007.
Mortgage bonds (RO) to be issued by Realkredit Danmark to refinance FlexLån® at
1 January 2008 will form the basis for the auction.
The final amount of bonds to be auctioned and the exact terms and conditions of
the auction are set out in the appendix to this announcement according to the
announcement number 49 of 13 November 2007.
Any additional questions should be addressed to Senior Dealer Søren Gravgaard,
phone +45 45 13 20 19.
The Executive Board
Terms and conditions of Realkredit Danmark's auction to be held 7 December 2007
Auction
The auction will take place at OMX The Nordic Exchange Copenhagen's
mortgage-issuing sub-market. The Dutch auction principle and hidden call method
will be used. Under the Dutch auction principle, all bids above the cut-off
prices will be settled in full at the cut-off prices.
For bids at the exact cut-off price, proportional allocation may be used. All
bids below the cut-off prices will not be settled. Hidden call means that the
bidders can only see their own bids, whereas the issuer can see all bids.
Decimal points
Investors may place their bids at prices with up to three decimal places for
1-year mortgage bonds (RO) maturing in 2009.
For the 3-year mortgage bonds (RO) maturing in 2011, bids may contain only two
decimal places.
Bonds
Realkredit Danmark will put bonds in series 10D, maturing in 2009 and 2011 on
the auction.
Bids/settlement
The auction will be held with cut off periods at 11.00am and 12.30pm
Date DKK
4% 10D Amount DKK m.
7 December 2007 2009 800
The IPMO is set to 10 minutes.
The following mortgage bonds (RO) will be offered until 11.00am for settlement
at 11.10am:
The following mortgage bonds (RO) will be offered until 12.30pm for settlement
at 12.40pm:
Date DKK
4% 10D Amount DKK m.
7 December 2007 2011 4,400
Value date
2 January 2008.
Investors who have been allocated bonds in series 10D will be offered by
Realkredit Danmark on all auction days to acquire the bonds with value date 3
days after the auction day instead of 2 January 2008.
However, it is a precondition that the bidder simultaneously will sell a
similar amount of bonds to Realkredit Danmark with maturity 1 January 2008 in
the same series as the acquired bonds.
Buyers wishing to do so must notify Realkredit Danmark upon the allocation of
bonds.
Participants
Bids will be accepted from all members with access to OMX The Nordic Exchange
Copenhagen's mortgage-issuing sub-market. (Orderbook-ID: ILS)
Other conditions
1. Realkredit Danmark is not under any obligation to sell the entire amount
announced at the auctions.
2. On each auction day, Realkredit Danmark will not trade in the securities
identification code or codes offered on the auction at the specific auction day
prior to the announcement the results of the auction. After the results have
been announced, Realkredit Danmark's sales will be made at prices only above
the cut-off price of each securities identification code.
