Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

Subject:
Bank debentures, corporate bonds and other bonds and notes that Bills Houses may 
deposit with the CBC as guarantees set out in the Explanations.

Explanations:
1.Bills houses shall deposit cash, government securities, or bank debentures, 
　corporate bonds and other bonds and notes approved by  the CBC, at CBC or banks 
　designated by CBC as guarantees in accordance with Article 36 of the "Act 
　Governing Bills Finance Business" and Paragraph 1 of Article 4, the 
　"Regulations Regarding Purposes and Management of Guarantees Deposited by Bills 
　House".
2.Bank debentures, corporate bonds and other bonds and notes approved by CBC in 
　accordance with the above regulations are as follows:
　(1)Negotiable certificates of deposit and certificates of deposit issued by the 
　　 CBC;
　(2)Bank debentures;
　(3)Subordinated bank debentures  issued by financial institutions with a credit 
　　 rating or above equivalent to a certain level;
　(4)Corporate bonds guaranteed by financial institutions with a credit rating or 
　　 above equivalent to a certain level; and
　(5)Corporate bonds with a debt issuance rating or above equivalent to a certain 
　　 level.
3."A rating or above equivalent to a certain level" as provided in the preceding 
　paragraphs shall mean one of the following credit ratings:
　(1)A3 or higher by Moody’s Investors Services;
　(2)A- or higher by Standard & Poor’s Corporation;
　(3)A- or higher by Fitch IBCA LTD.; and
　(4)twA- or higher by Taiwan Ratings Corporation.
4.The CBC Letter, dated April 2, 1998 (Ref. No. Tai-Yang-Ye-Tze-0200326), ceases to 
　apply with immediate effect.