Type of Exposure

Suggested

Weighting

Comparison

with Current Practice

21

Outstanding claims of

100%

No change since PMS introduced.

principal and interest

including those recoverable

under rescheduling agreements.

22

Claims written off.

0%

No change.

23

Future moratorium interest

0%

No change.

payable under rescheduling

agreements.

24

Capitalised moratorium

0%

No change.

interest under

rescheduling agreements.

A: sr2.t12

Comment

Before PMS outstanding claims were not logged against market limits.

Whether 23. and 24. are logged or not is largely academic given that we are "off" cover for most rescheduling markets. Where we are "on" cover pre-cut off exposure is not included under the lower DX limits of £175/150m.

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