KASE Board of Directors fixed Q3 2017 discount rates for calculation of fair value of illiquid debt securities of organizations – residents of Republic of Kazakhstan

/KASE, July 21, 2017/ – Following the July 20, 2017 decision of Kazakhstan Stock Exchange (KASE) Board of Directors, the following discount rates for calculation of the fair value of illiquid debt securities issued by organizations – residents of the Republic of Kazakhstan – for the third quarter of 2017 were fixed. - Bonds Category of Main Market – 15.34 % APR; - Bonds Category of AIM – 11.68 % APR; - Commercial Bonds of Main Market – 14.22 % APR. The Board of Directors decided not to define the discount rate for debt securities from the buffer category before the deals in this category's securities are concluded due to the absence of representative selection on securities of that category for calculation of the rate based on results of twelve months preceding that quarter. We remind you that the mentioned discount rates are fixed in accordance with the Rules of Accounting and Evaluation of Pension Assets approved by Resolution No. 24 of February 26, 2014 of the Management Board of the National Bank of the Republic of Kazakhstan (the Rules). According to item 17 of the Rules the Exchange must weekly release on its website data on the fair value of illiquid debt securities issued by organizations-residents of the Republic of Kazakhstan and included in the Exchange's official list. At this the mentioned securities mean securities whose market value (yield) cannot be calculated in accordance with the Exchange's internal document "Methodology of Securities Valuation". According to item 16 of the Rules the fair value of the mentioned securities is defined based on the Exchange's internal document "Methodology of Calculation of the Weighted Average Yield of Debt Securities", whereas the discount rate is used as such yield. Discount rates on the mentioned securities are determined by the Exchange's Board of Directors once a quarter for each particular category of sector "debt securities" of the Exchange's official list based on the above- mentioned Methodology based on the annual weighted average yield in the respective category (sub-category) based on results of twelve months preceding this quarter. [2017-07-21]