INSURANCE COMPANY’S LIQUIDATION OF STANDBY LETTERS OF CREDIT
Exclusive and private Stand-By Letters of Credit (SBLC) offer. The cash backed SBLCs were originally purchased as underlying assets for the Insurance Company’s Client Indemnity Bonds. Once a contract is signed, SBLCs will be re-issued to Buyer. Upfront Blocked Funds for last tranche in the contract is mandatory. Additionally, Buyer releases payment via SWIFT MT 103 after receipt of corporate invoice after each tranche is issued. Once the last tranche in the contract has been issued, block on funds may be removed.
Exit Buyers available at 75% of Face Value.
Issuing Bank: UBS, RBS or Lloyds Of London
Paying Bank: Top 25 World Banks ONLY
Currency: EUROS or USD
Price: Sixty One Percent (61%) of “Face Value” inclusive (59+2% to Buy-side Consultants)
Minimum Contract Value: 2B
Minimum First Tranche Value: €100MM (minimum value of blocked funds: €61M)
Subsequent Tranche: Negotiable
Approximate Turnaround Time (for issuance of 1st tranche): 10 business days
Document Required Upfront: This Letter of Intent (LOI), Client Information Sheet (CIS), Color copy of Passport (PP)
Number of days required for issuing payment: 1 to 31 days, subsequent tranche only released once payment has been received for previous tranche
To Liquidating Agent (Contract Officer): (Filled In By Facilitator)
Buyer Name & Company Name: XXXX
Contract Value: XX Billion Euros with R & E
LETTER OF INTENT
I have read, understand and agree to the procedures detailed below:
Buyer completes and submits this Letter of Intent (LOI) along with buyers fully completed CIS and passport
Buyer goes through compliance
Buyer and Seller hold a conference call to discuss terms, conditions
and procedures and contract value, tranching face value and schedule
Buyer signs contract and emails a copy to Seller
Seller countersigns the contract and emails a copy to Buyer
Buyer's bank delivers a SWIFT MT-199 RWA to “Block the Funds" to the
Seller’s bank as agreed in the contract. At that point the Credit Officer and Contract Officer are authorized to execute a Bankers Card exchange and interaction, between the two bank
officers. They will be tasked with making sure of all the
banking documents (MT-760 for both the "Block and SBLC etc.) and that
all parties (Banks) understands their roles. And obviously satisfying
the efficacy of the transaction at the Bank Level for both ends. Then
sellers MT-199 is executed and you follow with the MT-760 "Block." Seller's Bank responds with a SWIFT MT-199 RWA.
Buyer sends SWIFT MT 760 blocked funds to Seller (for last tranche, in case of default) for a receive the blocked funds and reissue the SBLCs to the Buyer’s bank, via Lloyds Of London
minimum value of €61MM (to purchase a minimum €100MM SBLC, at a price of 61% of SBLC face value)
Seller's Bank reissues the first tranche of SBLCs to Buyer including a corporate invoice
Buyer’s bank releases payment via SWIFT MT 103 to Seller’s bank. Once payment is received for the 1st tranche, a 2nd tranche is issued within 72 hours. Process is repeated until contract allocation has been exhausted
The following is the that is responsible for introducing the buyer and seller.
The buyer agrees to pay TWO PERCENT (2%) of face value of the entire contract with R&E to consultants: 1% ClOSED Jeffrey Levine/Investment Financial Advisors, Inc.
1% OPEN to other consultants