A loans looking like C

07 Oct 2015 After a lengthy period of time negotiating with the guarantors and their advisers, we can advise investors that an agreement could not be reached. The dispute has arisen as the guarantors, who are a married couple, offered a minimal repayment sum which we advised we would accept on the basis they provided a Voluntary Fixed Charge over their personal property, in line with our policies, which they refused. Furthermore, they have taken the position that the wife, who is a director and 49% shareholder, is a non-involved director and therefore the Personal Guarantee she has provided is invalid. We dispute the position entirely. As an agreement could not be reached we will now be issuing proceedings against both guarantors. Our lawyers have been instructed and are currently preparing the necessary paperwork to issue proceedings. Once we have received a hearing date from the Court, which we anticipate will be within the next 2 - 4 weeks, we will advise investors with further information.

21 Aug 2015 As advised above, negotiations are taking longer than expected. Our external legal team remain in negotiations with the guarantors advisers. We are advised that negotiations have been slow as a number of parties to the negotiations have been on annual leave. We are advised the guarantors adviser returns next week and we hope the negotiations will be concluded within 3-4 weeks thereafter. We will continue to progress the matter as quickly as possible and will provide investors with further information in due course.

28 Jul 2015 We continue to negotiate with the guarantors adviser, which is taking longer than expected, and hope negotiations will be concluded within the next 2 - 3 weeks.

10 Jul 2015 Given the amount involved and the importance of the matter we have asked our client to complete a questionnaire surrounding the circumstances of when the personal guarantee was signed so we have absolute clarity in that regard

23 Jun 2015 Our negotiations with the guarantors adviser continue. They maintain their clients position which we dispute. It is hoped however that a satisfactory agreement to all parties can be reached without the need to go to court. We will continue to negotiate with the view to obtaining the best outcome for the investors and will provide an update once negotiations have been finalised.

10 Jun 2015 Negotiations are ongoing, however the guarantors adviser has now decided to contest our position and are challenging our claim. Accordingly we anticipate that negotiations will continue for another week or two at least. On a R.A.G. rating we still maintain an Amber rating on this loan as we anticipate a material recovery within 5 years.

27 May 2015 Negotiations are continuing. Taking security is always usually the sticking point. However, we understand that we should reach a landing on this by the beginning of next week. If we do not then we will require a payment to keep the negotiations open.

15 May 2015 Negotiations are progressing positively, although since the guarantors have a third party representative managing their debts it is progressing slower than when we negotiate directly with the guarantor(s). We would anticipate that the payment plan will be agreed in the next fortnight and that payments (of a material level) will commence early next month.

07 May 2015 The company entered insolvent liquidation on 23 March 2015. We are defaulting this loan so that we can set up a repayment plan and have been in discussions with the guarantors and their financial advisors. We will review this repayment plan every 4-6 months with a view to increasing them. The repayment plan will run until the investors are paid in full with contractual interest. On a RAG (Red, Amber, Green) rating we would still give this loan an Amber status as we anticipate a material recovery within 5 years. An email has been sent to all affected investors.

01 May 2015 We are in contact with the guarantors and engaged in negotiations with them in order to agree a repayment plan. Once we have reached an agreement, we will ensure lenders are advised on the terms.

16 Apr 2015 We are in contact with the borrower's advisors to ascertain how the loan will continue to be repaid, although it is not certain if a material recovery will be made. On this basis, on a RAG (Red, Amber, Green) rating system we would give this loan a Red status. It is likely that the loan will be defaulted in the coming weeks to secure the position of the investors.

18 Mar 2015 We have downgraded this loan because we have received notice that this borrower has convened a meeting of its creditors with a view to proceeding into insolvent liquidation. We are making urgent enquiries with the borrower to establish the current position and will update investors with further information in due course.