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. Last Updated: 07/27/2016

Uneximbank Debt Talks Inch Forward




Russia's troubled Uneximbank would like to strike a deal on a standstill of debt payments to creditors, and legal teams for both sides are working on an agreement, Uneximbank's financial adviser said Monday.


Like many other Russian banks, Uneximbank was badly damaged by the August 1998 financial crisis. Its liabilities to international creditors amount to nearly $800 million, but it also owes an undetermined sum in currency forwards.


A meeting between Uneximbank and an informal steering committee (ISC) of international creditors took place April 21, Fleming UCB, the Moscow arm of securities house Flemings, said.


"The legal advisers of Unexim and the ISC were instructed to prepare a draft standstill agreement for creditors' consideration," Fleming said.


The meeting considered an interim audit by KPMG of Uneximbank and related companies.


KPMG is drawing up a full audit as a base for negotiations on a restructuring of the bank's liabilities.


UCB has earlier said Uneximbank's total liabilities would amount to as much as $2 billion.