924 NEW ZEALAND GAZETTE, No. 35 11 FEBRUARY 2005

Sixth Schedule

Securitisation, Funds Management, Other Fiduciary Activities and the Marketing and Distribution of Insurance Products

1. The General Short Form Disclosure Statement shall contain the information required to be disclosed pursuant to clauses 3 to 7 of this Schedule in respect of the Banking Group.

2. The information required to be disclosed pursuant to clauses 4 and 6 of this Schedule shall include comparative figures for the previous corresponding period.

2A. For the purposes of this Schedule:

(a) references to insurance products shall be understood to relate to insurance contracts which constitute Insurance Business; and

(b) information relating to the marketing and distribution of insurance products disclosed pursuant to clauses 4 to 7 of this Schedule is required only in respect of an Affiliated Insurance Entity or an Affiliated Insurance Group.

3. A statement of the nature of the Banking Group’s involvement in:

(a) trust, custodial, funds management, and other fiduciary activities established, marketed, and/or sponsored by a member of the Banking Group;

(b) the origination of securitised assets, and in the marketing or servicing of securitisation schemes; and

(c) the marketing and distribution of insurance products.

4. The peak end-of-day aggregate amount of funding (including funding provided by the purchase of securities issued by entities which conduct the activities specified in clause 3 of this Schedule, or on whose behalf the activities specified in subclause 3 (c) of this Schedule are conducted) the Banking Group has provided over the First Quarter Accounting Period or the most recent quarter of the Third Quarter Accounting Period to the entities which conduct the activities specified in clause 3 of this Schedule or on whose behalf the activities specified in subclause 3 (c) of this Schedule are conducted, expressed as an amount and as a percentage of Tier One Capital.

5. For the purposes of clause 4 of this Schedule, the peak end-of-day aggregate amount of funding over the First Quarter Accounting Period or the most recent quarter of the Third Quarter Accounting Period shall be derived by determining the maximum end-of-day aggregate amount of funding over the quarter, and then dividing that amount by:

(a) the Banking Group’s Tier One Capital as at the end of the quarter; or

(b) the Banking Group’s Tier One Capital as at the date the maximum end-of-day aggregate amount of funding occurred.

A Registered Bank shall state in the General Short Form Disclosure Statement which of these methods it has used to derive peak ratio information.

6. The peak end-of-day aggregate amount of funding (including funding provided by the purchase of securities issued by entities which conduct the activities specified in clause 3 of this Schedule, or on whose behalf the activities specified in subclause 3 (c) of this Schedule are conducted) provided by the Banking Group over the First Quarter Accounting Period or the most recent quarter of the Third Quarter Accounting Period to any individual entity which conducts the activities specified in clause 3 of this Schedule, or on whose behalf the activities specified in subclause 3 (c) of this Schedule are conducted, expressed as an amount and as a percentage of the amount of assets of that particular entity.

7. For the purposes of clause 6 of this Schedule, the peak end-of-day aggregate amount of funding provided to any individual entity over the First Quarter Accounting Period or the most recent quarter of the Third Quarter Accounting Period shall be derived by determining the maximum end-of-day aggregate amount of funding provided over the quarter, and then dividing that amount by:

(a) the amount of the entity’s assets as at the end of the quarter; or

(b) the amount of the entity’s assets as at the date the maximum end-of-day aggregate amount of funding occurred.

A Registered Bank shall state in the General Short Form Disclosure Statement which of these methods it has used to derive peak ratio information.

Seventh Schedule

Risk Management Policies

1. Where, since the Publication Date of the previous Disclosure Statement, there has been a Material change in the Banking Group’s policies for managing any of the following risks:

(a) Credit Risk, including concentrations of Credit Risk, intra-day Credit Risk, Credit Risk to Bank Counterparties and related party Credit Risk;

(b) Currency Risk;

(c) Interest Rate Risk;

(d) Equity Risk;

(e) liquidity risk;

(f) any other Material business risk to which the Banking Group is exposed;

the General Short Form Disclosure Statement shall contain a statement of the nature of those changes.

2. If, since the Publication Date of the previous Disclosure Statement, the Banking Group has become exposed to a new category of risk specified in clause 1 of this Schedule to which the Banking Group was not previously exposed, the General Short Form Disclosure Statement shall contain a general description of:

(a) the nature of that risk and the activities of the Banking Group which give rise to that risk;

(b) the methods used to identify and monitor exposure to that risk, including the frequency with which exposures are monitored;

(c) the systems and procedures for controlling that risk, including, where applicable, whether exposure limits are employed, any policies with respect to collateral or other security, and any policies on the use of Financial Instruments to mitigate or hedge risks.