GUARANTEE
What is guaranteed by BBIPL?
Under the Guarantee, BBIPL guarantees on a subordinated basis the payment of any amounts which become due and payable on BBSN.
As the payment of interest is subject to deferral conditions, the Guarantee does not ensure that interest will be paid in all circumstances.
Where do claims under the Guarantee rank?
Claims under the Guarantee:
are subordinated to the claims of all creditors of BBIPL (other than creditors whose claims are expressed to rank after, or equally with, the claims of Holders under the Guarantee);
will rank equally with the claims of holders of BBSN2; and
will rank in priority to the claims of holders of shares in BBIPL.
Can the Guarantee be altered?
Yes. The Guarantee, like other terms of the Trust Deed, may be amended by the Trustee, the Guarantor and Babcock & Brown
in the limited circumstances set out in the Trust Deed.
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