The service “Netting Based on the United Trading System(UTS) Clearing Results” enables the clearing participants to simultaneously perform UTS clearing obligations without remitting cash for the amount of obligations in relevant currency under each of the UTS Trading Sessions (EUR/RUB, USD/RUB, and EUR/USD) (hereinafter – “based on UTS clearing results”) or any combination thereof. At the same time, clearing participants retain their right to perform obligations to NCC (accordingly, NCC will perform obligations to the clearing participant) based on the clearing results of each separate UTS Trading Session in the EUR/RUB, USD/RUB and EUR/USD segments.

This service may be rendered by NCC upon the latter’s receipt of either single or standing order for performance of the “Netting Based on UTS Clearing Results”.

The new service enables each clearing participant to submit to NCC, via NCC EDT, within one trading day, two single orders for performance of the “Netting Based on UTS Clearing Results” within the time period specified in the Provisional Regulations for Trades and Performance of Obligations under UTS Transactions in USD/RUB (EUR/RUB, EUR/USD) by Clearing Participants. In addition, there are different deadlines for submission of orders set for the clearing participants performing settlements with the Clearing Centre via CJSC RP MICEX and for the clearing participants performing settlements with the Clearing Centre via the Regional Settlement Centre.

Upon receipt from the clearing participant of the order for performance of netting based on the UTS clearing results, NCC determines whether the clearing participant is able to perform its clearing obligations under the transactions concluded at the three Trading Sessions (EUR/RUB, USD/RUB, and EUR/USD) (hereinafter – “based on UTS clearing results”) or any combination thereof, out of cash due to the clearing participant in accordance with the UTS clearing results and posted by such participant, by way of their set-off and calculation of the final amount of UTS clearing obligations in the same currency, i.e. USD and/or EUR and/or RUB. The final amounts of obligations incurred by the clearing participant in USD (EUR, RUB) will be calculated as the balance of obligations to the Clearing Centre denominated in USD (EUR, RUB) (with negative sign), claims to the Clearing Centre denominated in USD (EUR, RUB) (with positive sign), and monies denominated in USD (EUR, RUB) pre-posted by such clearing participant and not used to establish trading limits as of the moment of calculation of final obligations (with positive sign).

More detailed information on the procedure and terms of provision of this service by NCC is contained in the Presentation.

The service “Netting Based on UTS Clearing Results” will be rendered to the clearing participants on a paid basis. Each clearing participant will pay a fee of 130 roubles (VAT inclusive) for submission to NCC of one notice of its performance of UTS clearing obligations (the clearing participants being international entities subject to zero VAT will pay a fee of 110.17 roubles). At the same time, no fee is charged for submission to a clearing participant of one notice of its non-performance of UTS clearing obligations, indicating the cash amount(s) insufficient for performance of such obligations.

In order to optimize the effort required from the clearing participants, the fee for performance by NCC of the service “Netting Based on UTS Clearing Results” will be charged once per month in the amount calculated as the quantity of notices of performance of the UTS clearing obligations sent by the Clearing Centre within one month of actual performance of the service, multiplied by the rate per one such notice.

To each clearing participant, who, within one month of actual performance of the service “Netting Based on UTS Clearing Results”, at least once received a notice of performance of the UTS clearing obligations, NCC sends the Protocol of Performance of Service “Netting Based on UTS Clearing Results”; such document shall be sent not later than on the 5^th (fifth) day of the month following the month when the service was actually rendered.

Not later than on the 10^th day of the month following the month when the service was actually rendered, the clearing participant may remit to NCC the amount of fee for the rendered service. Should the clearing participant remit no such amount prior to the abovementioned date, then NCC is entitled, not later than on the 15^th day of the month following the month when the service was actually rendered, withhold the said amount in its favour out of the monies denominated in RUB, remitted by the clearing participant to NCC’s account for the purpose of participating in the UTS trading or liable to be remitted in accordance with the UTS clearing results.