SOURCE: Breeze Finance S.A.

September 12, 2011 07:03 ET

Breeze Finance S.A.: Notice to Noteholders

LONDON--(Marketwire - Sep 12, 2011) -

DESCRIPTION ISIN
Class A Guaranteed Secured Bonds due 2027 issued by Breeze Finance S.A. acting in the name and on behalf of its Compartment 1 XS0294895999
Class B Secured Bonds due 2027 issued by Breeze Finance S.A. acting in the name and on behalf of its Compartment 1 XS0294895726
Class C Secured Bonds due 2027 issued by Breeze Finance S.A. acting in the name and on behalf of its Compartment 1 XS0294895056

MBIA UK Insurance Limited (as financial guarantor of the Class A Guaranteed Secured Bonds identified due 2027), is seeking identification of Breeze Finance S.A. (also known as "Breeze III") bondholders in respect of each class of bonds identified above.

MBIA UK Insurance Limited has noted the Standard & Poor's ratings report relating to Breeze Finance S.A. dated 13 December 2010 and, in particular, the following assessment:

"We believe that Breeze Three might need to approach the C-Bond holders and possibly the B-Bond holders, and seek a debt-to-equity swap to avoid qualifying as over-indebted in 2013" (page 3, bullet point 3)

MBIA UK Insurance Limited (in its capacity as the Class A Financial Guarantor) is keen to identify bondholders in light of this assessment with a view to discussing the implications of any such over-indebtedness and potential solutions. All identified bondholders will be invited to access further relevant information at their discretion. In addition, response to this request will ensure that bondholders will receive any future communications in a timely manner.

Please contact Maria Baxter of Bondholder Communications Group (mbaxter@bondcom.com) in New York at +1 212 809 2663 or in London at +44 207 382 4580. Documentation to be completed can be found online at www.bondcom.com/MBIAid

Holders who submit valid disclosure forms will be directed to a secondary website where they will be able to view and access, at their discretion, further information provided by MBIA UK Insurance Ltd. The link to the secondary website will be provided via email.

Deadline & Record Dates:
We request that custodians, beneficial owners and financial advisors to identify themselves no later than 16th September 2011 with respect to bonds held on August 30, 2011.

We ask Custodians to please forward Beneficial Owner Info Forms on to their clients as expeditiously as possible so that they may complete and return the forms.

We will keep all bondholder information confidential provided that this shall not prevent us from providing such information to MBIA UK Insurance Limited and its advisers.