Pursuant to EU Directives, in Austria implemented in the Austrian Banking Act, every credit institution in Austria which accepts deposits which are subject to a deposit guarantee scheme, or which provides securities services which are subject to a guarantee scheme, is under a statutory obligation to belong to a guarantee facility.
As an Austrian bank, Kathrein & Co. Privatgeschäftsbank Aktiengesellschaft is subject without restriction to the Austrian provisions governing the protection of deposits and investor compensation (Section 93 ff Austrian Banking Act). Kathrein & Co. Privatgeschäftsbank Aktiengesellschaft is member of the statutory guarantee facility of the commercial banks, the Einlagensicherung der Banken & Bankiers Gesellschaft m.b.H.
24.03.2009
INFORMATION ON DEPOSIT GUARANTEE AND INVESTOR COMPENSATION
Protection of deposits
Natural persons:
Deposits of natural persons are guaranteed for an unlimited amount till 31st December 2009.
From 1st January 2010 onwards deposits of natural persons will be guaranteed up to a maximum amount of EUR 100,000.
Non-natural persons: Deposits of small companies and small partnerships which meet the criteria of Section 221 para. 1 of the Austrian Business Enterprise Code are guaranteed up to a maximum amount of EUR 50,000. Small companies are for these purposes (Section 221 para. 1 Austrian Business Enterprise Code) currently defined as companies which exceed at most one of the following criteria:
Non-natural persons: Deposits of small companies and small partnerships which meet the criteria of Section 221 para. 1 of the Austrian Business Enterprise Code are guaranteed up to a maximum amount of EUR 50,000. Small companies are for these purposes (Section 221 para. 1 Austrian Business Enterprise Code) currently defined as companies which exceed at most one of the following criteria:
- Total assets of EUR 4.84 million.
- Turnover of EUR 9.68 million in the twelve months preceding the balance sheet date.
- An average annual staffing level of 50 employees.
Companies which exceed these criteria, and other non-natural persons will continue to be guaranteed with 90% of their deposits but up to a maximum amount of EUR 20,000.
Large companies continue, however, to be excluded from the deposit guarantee scheme (criteria see Section 221 para. 3 Austrian Business Enterprise Code).
Large companies continue, however, to be excluded from the deposit guarantee scheme (criteria see Section 221 para. 3 Austrian Business Enterprise Code).
Investor compensation
According to Austrian Law the custodian bank has to return securities, stocks and bonds to the investor.
Monies on account from settlement of securities (especially dividends, sales proceeds, interest payments and redemptions) and compensation for securities lost due to an unlawful act are guaranteed with unchanged amounts of up to EUR 20,000 for natural persons.
Monies on account from settlement of securities of non-natural persons are guaranteed with 90% of the monies on account, but up to a maximum amount of EUR 20,000.
Moreover, we point to the Sections 93 ff and 103h Austrian Banking Act concerning the protection of deposits and investor compensation (including the existing exceptions according to Section 93 para. 5 Austrian Banking Act), which we place at your disposal if desired.
Moreover, we point to the Sections 93 ff and 103h Austrian Banking Act concerning the protection of deposits and investor compensation (including the existing exceptions according to Section 93 para. 5 Austrian Banking Act), which we place at your disposal if desired.
The foregoing English translation is provided for your convenience only. In the event of discrepancies the German original text shall prevail over the English translation.