Notice of the Securities Traders Guarantee Fund

23. 08. 2012

The Guarantee Fund announces that clients of the defunct securities trader KEY INVESTMENTS, a.s. cannot make effective claims to recover their assets from the mentioned securities trader.

Consequently, the Securities Traders Guarantee Fund with its registered office in Prague ("Fund") provides the following information and declares the following facts in accordance with Section 130, paragraph 3 of Act No. 256/2004 Coll. on Capital Market Undertakings ("Act"):

1) The Fund received on 21 August 2012 a notice from the Czech National Bank stating that the Prague Municipal Court had issued on 10 August 2012 Decision File No. MSPH 76 INS 15984/2012 – A – 10 declaring the bankruptcy of KEY INVESTMENTS, a.s., Identification No.: 25748611, with its registered office at Václavské náměstí 808/66, 110 00 Prague 1 ("Trader"). The issue of the notice constitutes the fulfillment of the legal prerequisite for the payment of compensation from the Fund to the Trader's clients who are eligible for compensation in accordance with the law, insofar as such clients file a claim to the Fund in accordance with this notice.

2) Compensation from the Guarantee Fund will be paid within three months after a submitted claim is verified and the amount of compensation is calculated. In exceptional cases, the Czech National Bank may extend this deadline at the Guarantee Fund's request by the maximum of three months.

3) To submit a compensation claim with the Fund, the Trader's clients ("clients") must send a written notice to the Securities Traders Guarantee Fund at P.O. Box 787, Prague 1, Postal Code: 111 21 within five months of the publication of this notice. A claim submitted by a client must specify the following facts:
a) calculation of the value of the client's assets for which the client claims compensation from the Fund minus any commitments the client has to the Trader, where the claimed value of assets must correspond to their value on 21 August 2012;
b) commitments to the Trader, including their description and date of origination (such as credit provided under a credit trading agreement), if such commitments exist; otherwise, the client must certify that he has no commitments to the Trader;
c) any other clients together with who the client owns assets if such joint ownership exists; otherwise, the client must certify that he co-owns no such assets;
d) Birth Registration Number (the date of birth if the client does not have a Birth Registration Number ) if the client is a natural person or the Identification Number if the client is a legal entity;
e) mailing address for correspondence between the client and the Fund;
f) e-mail address and telephone number;
g) official declaration stating that the client is not one of the persons referred to in Section 130, paragraph 5 of the Act, that the client has not obtained his claim to the Trader from such a person directly or indirectly, and that all provided information is accurate;
h) any other facts of material importance (inheritance ruling and the like);
i) the client's officially certified signature (signature of its governing body if the client is a legal entity).

4) The Fund reserves the right to request documents substantiating facts stated in a claim submission form.

5) Compensation is provided in the amount of 90% of a sum calculated in accordance with Section 130, paragraphs 8 and 9 of the Act up to the equivalent of EUR 20,000 per client. Compensation is calculated based on the actual value of claimed investment instruments as at 21 August 2012.

6) The client's right to receive compensation from the Fund expires five years after compensation the client is eligible to receive from the Fund comes due.

7) To submit a claim, the Fund recommends using the "Registration of Claim for Compensation from the Securities Traders Guarantee Fund", which is available on the Fund's website at www.gfo.cz. The Fund will send a copy of the form to a client upon request. Clients are advised to take note of the fact that a separate claim submission form must be sent to the Fund regardless of any other proceedings.

Prague, 23 August 2012
Securities Traders Guarantee Fund
P.O. Box 787, 111 21 Prague 1
fond@gfocp.cz