ESES Euroclear Settlement of Euronext-zone Securities

Transcription

1 ESES Euroclear Settlement of Euronext-zone Securities & LCH.Clearnet Flux bourse update GMM Paris : 27 November 2006 GMM Amsterdam : 28 November 2006 GMM London : 29 November 2006 GMM Brussels : 30 November 2006 GMM Lisbon : 13 December

2 Agenda What is the ESES project? Principle and main milestones What is the SOB project? What are the impacts for LCH-Clearnet and its members? Change on Membership Change on Account structure Non euro securities management Settlement windows harmonization New rules on Corporate events management Change on Reporting When do we have to start? Plannings LCH.Clearnet and Clearing members side Next steps Documentation and meetings to come Questions & Answers 2

3 What is ESES? ESES the Euroclear Settlement of Euronext zone Securities ESES is managed by Euroclear group. LCH.Clearnet, Euronext and members as participants are closely involved in the project. ESES is an integrated settlement platform for the Straight Through Processing of trades from Euronext markets. ESES allows Euroclear France/Belgium/Netherland to use a common Settlement platform on which most of functionalities, market rules and practices for the Euronext zone market will be harmonized. ESES will be implemented in 2 phases: Paris (phase 1) then Brussels/Amsterdam (phase 2) ESES constitutes an interim step towards creating the future Euroclear Group Single Platform. Each clearing member has to adapt its process to be fully compliant with ESES. 3

4 What is ESES? Towards Single Platforms for Euronext market zone ( Trading / Clearing / Settlement) Today Securities side Cash side Euroclear Bank Paris T R A D C C BANK FRANCE Cash account Brussels I N G P P BANK Euroclear Bank Cash account Amsterdam P L A T F O R L A T F O R M BELGIUM BANK NEDERLAND Euroclear Bank Cash account Lisbon M Not in the scope of ESES 4

5 What is ESES? Towards Single Platforms for Euronext market zone ( Trading / Clearing / Settlement) Whith ESES phase 2 National Central Bank Securities And Cash side Liquidity management T Paris Brussels R A D I N G C C P P ESES / RGV Amsterdam P L A T F O R L A T F O R M FRANCE BELGIUM BANK NEDERLAND LOCAL RECORD Euroclear Bank Cash account Lisbon M Not in the scope of ESES 5

6 What is the S.O.B? SOB the Single Order Book of Euronext Euronext will launch the Single Order Book (1) simultaneously with the Belgian and Dutch migration to ESES (phase 2) Implementation of a unique trading order book for multi-listed securities on the Euronext markets. Each security will be linked to one trading place of reference (known as the market of reference) according to the objective criteria defined by the Euronext (primary listing &/or higher turnover) The clearing segment will be automatically derived from the value of the Market of reference One single Corporate action process per security and based on the trading place. (1) Under regulator s approval 6

7 Project LCH.Clearnet organisation Internal Organisation Coordination with Infrastructures 1 x Month Project Board Accountable Executive : Christophe Hémon Senior Users Market steering Pierre Do. Renard P.M.O Trilateral Pierre Do. Renard - LCH.Clearnet. Euroclear. Euronext Joëlle Guimard Senior Suppliers Groupe Harmonisation France / MEC / ACSI 1 x Week Project Team Meeting Anne Mairesse Caroline Jones G- J Van Keulen Project leader : Joëlle GUIMARD Business Analyst Integration committee France Joëlle Guimard Catherine Mollard Netherland G- J Van Keulen Catherine Mollard Design Belgium Anne Mairesse Catherine Mollard I.T. Coordination Bilateral - LCH.C. Euroclear. Euronext 2 x Month Legal Product implementation Legal agreement Internal Testing Product Implementation Documentation Communication Participants testing Customer support 7

8 ESES more in depth 8

9 ESES Implementation Why consolidation & harmonisation are important? The European vision of a Single Market in Financial Services is a long way from being a reality Europe is a complicated and expensive place to do business: Cross-border costs are times more expensive than domestic costs Cross-border settlement rates are ~20% lower than domestic rates Post-trading environment is seen as the main obstacle: Multiple clearing, settlement and payment systems Widely differing functions & market practices Widespread use of different message standards Different legal and tax regimes This is recognised by the authorities: Financial Services Action Plan The Giovannini Group (14 barriers to creating the Single Market) ESCB-CESR (central banks and regulators)

10 ESES implementation Genuine benefits of consolidation & harmonisation ESES is an integrated settlement platform for the STP of SE and OTC activities in the Euronext-zone markets CSDs (Euroclear Belgium, Euroclear France and Euroclear Nederland). ESES is an interim step towards creating the future Euroclear group s Single Platform (including CREST and Euroclear Bank) ESES consolidation and harmonisation agreements are in line with European initiatives (ECSDA, FSAP, Giovannini, CESAME) and other harmonisation efforts (ESF, SPMG) to create a pan-eu-transparent financial market ESES will offer an integrated central bank money for euro DVP settlement transactions ESES consolidation of technical infrastructure and harmonisation of business processes will effectively contribute to reduce back office costs and related risks ESES implementation will allow the standardisation and STP of settlement and corporate actions processes across markets 3

11 Consolidation of platforms Phased approach Migration from five legacy platforms to one new one Single Settlement Engine 2007/ Euroclear Settlement for Euronext-zone securities November 2007: Migration of the French market (Relit+ phase-out and Connection with BdF in TARGET1 environment) February 2008: connection of BdF to ESES in TARGET2 environment May 2008: Migrations of the Belgian and Dutch markets to ESES in TARGET2 environment 2008/ SP Phase 1, Corporate actions 2009/ SP Phase 2, Settlement Each phase delivers new customer benefits through the progressive rollout of harmonisation 4

12 Technical overview of consolidation phases SSE EBe E NL E F CREST E B ESES EBe E NL E F CREST E B SP Custody EBe E NL E F CREST E B ESES-CCI e-rgv - E2A CCI Legacy communication SSE ESES - RGV upgrade ESES - SP component SSE Legacy/ Settlements SP / Custody SSE Legend Client Communication Interface Positioning & booking Core Processing Legacy Legal record Country boundary SP Settlement EBe E NL E F CREST E B CCI Single Platform SSE 5

13 ESES implementation Harmonisation achievements (a few key principles ) Multi jurisdictional model ( direct holding concept ) Allocation of multi-listed securities: the concept of the CSD of reference will apply to group and foreign securities Harmonisation of access rights & admission criteria will ensure a level playing field for ESES participants Contractual relationship with CSDs Account structure (RGV based) Settlement lifecycle Settlement window: S to S 16.00, S to FOP (new matched instructions only), S to collateral (FOP deliveries to NCBs) Real time gross settlement RGV based) under integrated model DVP settlement in euro only Foreign Securities ESCB eligible securities will be deposited in EF (PLC with BdF) Re-use of current RGV cross border links (direct links for ESCB eligible securities and relayed links for non-escb eligible securities (via EB) Custody process with same order of dates of the home market 6

14 Multi-jurisdictional model Direct holding concept Liquidity agreement Home NCB or Cash clearer ESES ABC xxx Solvay yyy Danone zzz Philips One operational cash and securities facility EBel EBel EF EF ENL ENL One legal relationship per CSD ABC xxx Solvay ABC yyy Danone ABC zzz Philips 7

15 Payment model Harmonisation achievements The integrated model with immediate finality is agreed in principle for all Euroclear Group markets (where finality of the cash leg of DvP transactions is controlled by the SSE) Agreement on a common life cycle for night and day time windows Agreement on cross-ncbs mechanism Agreement on interactions between Target2 and SSE Liquidity transfers ahead of the ESES night settlement process Liquidity transfers during the day (incl. automated sweeps) Liquidity transfers at the end of the day Liquidity needs to be anticipated as of Relit + phase out for the French market CCI control and monitoring tools for NCBs CCI control and monitoring tools for settlement banks and their clients 8

16 Payment model Integrated CeBM model for DVP settlement TARGET2 Single Shared Platform BNB BdF DNB SP payment CeBM accounts BNB Cross NCB functionality (Euro) BdF DNB Single Platform Securities accounts EBel EBel EF EF ENL ENL 9

17 What are the Impacts for LCH.Clearnet & its Customers? 17

18 What are the Impacts? ➄ For Clearing Members? 1 Membership 2 Account structure 3 Non euro securities management 4 Daily time frame 5 Corporate event management 6 Reporting ➄ For LCH.Clearnet? Account rationalisation 18

19 Impacts on membership ESES phase 1 = No impact ESES phase 2 Clearing members must be able to settle in the 3 local CSDs To participate to the ESES implementation, Clearing members will have: to sign an agreement with the 3 CSDs or to have an agreement with settlement agent(s). 19

20 Membership extension ESES phase 2 SOB Clearing Members will have to be authorized on the 3 markets. The existing Clearing agreements with Trading members will have to be upgraded and extended to the 3 markets. In order to smooth the process, LCH.Clearnet is studying a fast track procedure with the Regulators: Letter of comfort to be issued by the home country authority to grant a «General Access» 20

21 Membership extension You are a Clearing member already agreed on the 3 markets and you settle all your activity in Euroclear Bank: You are not directly impacted by ESES You are a Clearing member already agreed on the 3 markets and you settle your activity in each local CSD: No additional requirement.except if you rationalise your account structure. 21

22 Membership extension You are a Clearing member agreed on 1 or 2 markets only, you will be requested to: Extend your settlement solution and your clearing membership on the 3 markets You will have to choose among these 2 options: To settle positions from your «securities own account» on all clearing segments or To have an agreement with a settlement agent for the CSD on which you are not affiliate. 22

23 Membership extension You settle your positions from your «securitiesown account»on all clearing segments: To provide a power of attorney per account and for each CSD Definition: Power of attorney: document that authorises LCH.Clearnet to debit & credit the securities account of the CMF Securities own account: the participant holds a securities account in the CSD to fulfil its securities delivery obligations. Third party securities account: the participant does not hold any securities account, therefore he will use a third party which holds a securities account in a CSD You have an agreement with a Settlement agent for the CSD(s) on which you are not affiliate: To provide a power of attorney per account and for each CSD and To provide settlement agent agreement(s) covering the market(s) concerned. These documents will be strongly recommended before the test periods and mandatory before the launch of ESES. 23

24 Membership extension ESES Phase 1 Paris market Beginning of March 2007, LCH.Clearnet will send to Clearing members active on Paris clearing segment a letter requesting them: To confirm the account structure on Paris clearing segment To extend their membership to the 3 clearing segments (Paris, Brussels, Amsterdam) and to provide the legal documents ESES Phase 2 Brussels & Amsterdam markets Beginning of September 2007, LCH.Clearnet will send to Clearing members active on Paris, Brussels and Amsterdam clearing segments a letter requesting the same information as for Paris. 24

25 LCH.Clearnet account structure At the end of ESES migration phases LCH.Clearnet will maintain its Delivery Account s per settlement segment but will rationalize its accounts in ESES / RGV for the Settlement activities (FR,BE,NL): One single account for standard Settlement activity, One single account for buy-in activity, One single cash account in BdF LCH.Clearnet will apply the same rationalization in EB 25

26 LCH.Clearnet account structure overview C U R R E N T Segment : NL Segment : FR Segment : BE DA DA DA DA DA DA DA DA ENL KAS BANK CASH FOREIGN SECURITIES EB EB CASH ENL DNB CASH EB EB CASH EF BdF CASH EB EB CASH EBE BNB CASH BNB X/N BELGIAN GVT BONDS OLOS Segment : NL Segment : FR Segment : BE E S E S DA DA DA = = DA DA / EB DA / ESES DA EB EB CASH DA ESES BdF CASH FRANCE BELGIUM DA NEDERLAND LOCAL RECORD DA DA BNB X/N BELGIAN GVT BONDS OLOS 26

27 Members account structure The current account structure allows each clearing member: To manage its positions per Euronext markets To define the level of position aggregation with the Delivery Account. Flexibility of PA s, PB s and DA s will not be amended with ESES and members will have at least ONE DA per market segment and settlement platform. To benefit of ESES All DA can be linked to one single operational account in ESES (same settlement address for cash & securities). Clearing member settling in EB can continue as today to settle their Euronext activity in EB 27

28 Member account structure overview C U R R E N T Segment : NL Segment : FR Segment : BE DA DA DA DA DA DA DA DA ENL KAS BANK CASH FOREIGN SECURITIES EB EB CASH ENL DNB CASH EB EB CASH EF BdF CASH EB EB CASH EBE BNB CASH BNB X/N BELGIAN GVT BONDS OLOS Segment : NL Segment : FR Segment : BE E S E S DA DA DA EB DA ESES DA DA DA BNB X/N BELGIAN GVT BONDS EB CASH BdF &/or BNB &/or DNB RTGS CASH With Target 2 OLOS 28

29 Non euro securities management Non euro securities with ESES KAS-BANK link for Non Euro currency will be removed. Trading: Non euro trading will be maintained on Euronext Amsterdam Clearing: LCH Clearnet will convert in Euro all trades made in non euro currency as soon as they will be integrated in clearing 21. The rate of conversion will be based on the last exchange rate (D-1 evening) The rate exchange will be: ECB reference rate Settlement: Valuation and settlement (payment currency) will occur in Euro for all trades negotiated on the Euronext market zone. (ESES will be: mono currency = Euro) Some figures January to October ,98 % of euronext transactions are in Euro 90% of non euro trades are negotiated in USD Non Euro business is only 0.004% of all cash settlement 29

30 Harmonised settlement window Euroclear Bank Close window SE Inst. EB Cancelled CCP fails S- 1 Technical 22:00 00:30 Break 03:00 LCH.C Buyer LCH.C Seller 15:30 16:30 17:00 Rebalancing between each platform on a real time basis ESES / RGV S- 1 ASAP 20:00 03:00 Technical Break 05:00 16:00 after 16:00 Partial settlement (5) Close window SE Inst.LCHC RGV Cancelled CCP fails 19:00 07:00 11:00 14:30 RTGS SWEEP SWEEP SWEEP TARGET 2 SWEEP 17:30 FINAL SWEEP 07:00 18:00 30

31 Corporate actions in ESES The CCP manages guaranted trades and positions with the C.N.S method Corporate actions are split into 2 main categories: Distribution event (cash and/or securities) The underlying does not change, Distribution of an additional resource. Market claims are detected and created when a distribution event is related to a flow (future settlement &/or fails) Reorganisation event The underlying is replaced by one or several resources (securities against cash, &/or securities). Transformations are created when a reorganisation event is related to a flow (future settlement &/or fails) The CCP will detect and process any market claims and transformations on Fails and future settlement positions 31

32 Market claim processing TODAY LCH.Clearnet CA Application Effective date = Ex Date = Payment date Day 1 Day 2 Day 3 Day 4 FAILS Day 5 TD = Day 1 ISD = TD+3 = Day 4 ISD = Day 5 ISD = Day 6 TRADES flow CUM Ex 32

33 Market claim processing ESES ISD = T + 3 LCH.Clearnet CA Application Payment date Ex - date Record date Day n T T+1 T+2 T+3. TRADES flow T Fails CUM Ex 33

34 Cash distribution in ESES Dates: Mar. 2007: Dutch Market Nov. 2007: French Market May 2008 at the latest: Belgian Market FBE & European Security Central Depository Association recommendations: Management of key dates: Ex-Date, Record Date, Paiement Date Market claims should be made in cash removal of interim security New order of key dates & standard settlement life cycle (usually T+3): RD comes after the Ex-D RD = Ex-D + standard delay of settlement life cycle 1 business day Market claims should decrease and be applied on fails only. Euronext markets and National CSDs will progressively apply these recommendations Ex-D + 2 business Days = RD PD closer to the RD (ideally the day after) Cash market claims will decrease by 90% The CCP system will comply with these rules & will be enhanced by the launch of ESES phase 1 (November 2007) 34

35 Cash amount of Market Claims NATIONALITY OF ISSUER FRENCH BELGIAN DUTCH Reference CSD EF EBE ENL Rate of cash market claim Tax treatment Gross (100%) Gross -25%or -15% for VVPR/AFV Gross (-25%) Strip VVPR Exception = coupon detachment FOREIGN EF,ENL,EBE Gross Max. issuer s country WHT rate Converted and setteld in based on Forex of RD evening 35

36 Securitiy distribution in ESES FBE & European Security Central Depository Association recommendations: Management of key dates: Ex-D, RD, PD No final consensus regarding the order of key dates: Trading as from Ex-D or as from PD, gives rise to a level playing field issue in some EU countries and the positioning of the RD on Ex-D 1 or Ex-D + 2 might generate more or less market claims Euronext markets and national CSDs will progressively apply these recommendations FRENCH MARKET RD = EX-D 1 PD = EX-D DUTCH MARKET RD = EX-D + 2 PD = as close after RD BELGIAN MARKET To be defined The CCP system will be flexible to detect and process market claims regardless the order of dates and the delay of settlement life cycle. 36

37 Market claims principle with ESES Cash or Security distribution in the CCP process No change in the underlying position & to identify the market claim: Creation of an additional trade or a book entry Trades with future Settlement Date Fails position Trade & posting or Position in the DA creation of an additional trade creation of additional book entry remains unchanged Additional trade leg or Book entry is created at RD evening The new trade or the new Book entry resulting from cash or security distribution will follows the same rules applied on the underlying: For new trade: - posted in the same Pos Acct with the same posting indicator (H/C). - rolled up in the same DA on ISD-1 For book entry: - posted in the same underlying DA 37

38 Transformation principle with ESES Transformation in the CCP process Cancel the underlying position: via the creation of a reverse trade or a book entry RD & PD are requested to process transformation Apply the transformation: Creation of an additional trade or a book entry Trades with future Settlement Date Fails position creation of reverse trade + new one creation of reverse book entry + new one The reverse trade or book entry resulting from a transformation will follows the same rules applied on the underlying with the opposite side. The new trade or book entry resulting from a transformation will be applied according to the characteristics of the reorganisation. Transformation: security cash will always refer to the underlying ISIN but with a Qty = 0 38

39 Transformation principle with ESES Mandatory transformation event without fraction, without option will continue to be applied on a automatic basis on trades &/or positions. Mandatory reorganisation event with fraction, with option will handled in 2 phases via the distribution of an interim security followed by the transformation on settled positions with the CSD. No transformation is expected by the CCP when the right is negotiable, the last trading day on Euronext market will be at least 4 days before the market deadline defined by the issuer the transformation should apply on fails positions only. If it remains fails position: The 7 th day after the first ISD but before the market deadline: the buy-in procedure applies The day before the market deadline: the CCP will transform the interim security into the target new resource, ensuring the buyer protection service. In case of multiple options, the choice of the suffering buyer is reported to the defaulting seller. 39

40 Market claims & transformation settlement with ESES Settlement of market claims & transformations Will be on hold until ISD-1 Will be included in the DA position carrying the same underlying data (ISD, ISIN) Will be netted according to the CNS algorithm 40

41 Messages updates All trade creations linked to market claims and transformation will be reported to members via 5011 / 5021 / 5031 messages with the following trade types: LT: for Linked-Trade in case of MK (Market Claims) creation RT: for Reverse-Trade in case of cancellation via a reverse trade NT: for New-Trade in case of replacement of the cancelled trade 41

42 Example of changes in C21 Messages Market claims on trades EX-D = 15/11/2006 CASH DIVIDEND: 1,5 / share 14/11/2006 RD = 14/11/2006 PD = 15/11/2006 MSG CODE MEMBER CODE TRADE ID B/S ISIN TRADE DATE ISD AMOUNT QTY TYPE PARENT TRADE ID TRADE1 B AAA 13/11/ /11/ MK TRADE2 S AAA 14/11/ /11/ LT TRADE1 SECURITY DISTRIBUTION: 1 Share AAA gives 2 BBB 14/11/2006 EX-D = 15/11/2006 RD = 14/11/2006 PD = 15/11/2006 MSG CODE MEMBER CODE TRADE ID B/S ISIN TRADE DATE ISD AMOUNT QTY TYPE PARENT TRADE ID TRADE1 B AAA 13/11/ /11/ MK TRADE2 B BBB 14/11/ /11/ LT TRADE1 42

43 Example of changes in C21 Messages Transformation on trades TRANSFORMATION: Exchange 1 share AAA is replaced by 4 shares BBB RD = 20/11/2006 PD = 21/11/ /11/2006 MSG CODE MEMBER CODE TRADE ID B/S ISIN TRADE DATE ISD AMOUNT QTY TYPE PARENT TRADE ID TRADE1 B AAA 20/11/ /11/ MK TRADE2 S AAA 20/11/ /11/ RT TRADE TRADE3 B BBB 20/11/ /11/ NT TRADE1 43

44 Files & reports changes PR3 File As from ESES 1 Record 10000, & 30000: Some additional fields in the previous filler zone: Financial market Trading currency Payment currency Unit of Quantity Trading date Record 10000: Previous day position description Record 20000: Detail line description Record 30000: Resume position description Record only: «instruction code» can have two more values: RT & NT. Some additional fields in the previous filler zone: Linked trade leg id, which contains the ref of the trade (mother underlying ref trade leg id) cancelled by the reverse trade The corporate event Id The process code of corporate event 44

45 Files & reports changes As from ESES 1 SIF File Record 25: adding in data «book entry comment»: ISO code of Corporate event CE public file In the previous filler zone: ISO code, EX-D, PD. (RD already existing) CESF Will be removed at the launch of ESES phase 1 45

46 Example of changes in SIF file: cash market claims applied on fails CASH DIVIDEND: 1 / share 15/11/2006 EX-D = 13/11/2006 RD = 15/11/2006 PD = 17/11/2006 RECORD BOOK CLEARNET MEMBER ISIN TYPE ENTRY REF DA ID ISD CODE QTY CASH CSD REF COMMENTS 20 REF 1 DA1 15/11/2006 AAA REF1 25 CE7 REF 1 DA1 17/11/2006 AAA 0 10 REF1 DVCA 30 DA1 15/11/2006 AAA DA1 17/11/2006 AAA REF 2 DA1 16/11/2006 AAA /11/2006 RECORD TYPE BOOK CLEARNET MEMBER ENTRY REF DA ID ISD 10 DA1 17/11/2006 AAA REF 2 DA1 15/11/2006 AAA REF2 20 DA1 17/11/2006 AAA DA1 15/11/2006 AAA DA1 17/11/2006 AAA REF 3 DA1 17/11/2006 AAA Σ Records 30 + Record 10 ISIN CODE QTY CASH CSD REF COMMENTS 46

47 Exemple of changes in SIF file SECURITY DISTRIBUTION: 1 Share AAA gives 2 securities BBB 15/11/2006 EX-D = 13/11/2006 RD = 15/11/2006 PD = 17/11/2006 RECORD BOOK CLEARNET MEMBER ISIN TYPE ENTRY REF DA ID ISD CODE QTY CASH CSD REF COMMENTS 20 REF 1 DA1 15/11/2006 AAA REF1 25 CE2 REF 1 DA1 17/11/2006 BBB 20 0 REF1 SOFF 30 DA1 15/11/2006 AAA DA1 17/11/2006 BBB REF 2 DA1 16/11/2006 AAA /11/2006 AAA completely settled RECORD TYPE BOOK CLEARNET MEMBER ENTRY REF DA ID ISD 20 DA1 17/11/2006 BBB DA1 17/11/2006 BBB REF 3 DA1 17/11/2006 BBB 20 0 ISIN CODE QTY CASH CSD REF COMMENTS 47

48 Exemple of changes in SIF file TRANSFORMATION: Exchange 1 old share with 3 new ones RD = 15/11/2006 PD = 17/11/ /11/2006 RECORD BOOK CLEARNET MEMBER ISIN TYPE ENTRY REF DA ID ISD CODE QTY CASH CSD REF COMMENTS 20 REF 1 DA1 15/11/2006 AAA REF1 25 CE1 REF 1 DA1 15/11/2006 AAA REF1 MRGR 25 CE2 REF 1 DA1 17/11/2006 BBB REF1 MRGR 30 DA1 15/11/2006 AAA DA1 17/11/2006 BBB /11/2006 RECORD TYPE BOOK CLEARNET MEMBER ENTRY REF DA ID ISD 20 DA1 17/11/2006 BBB DA1 17/11/2006 BBB REF 2 DA1 17/11/2006 BBB ISIN CODE QTY CASH CSD REF COMMENTS 48

49 When do we have to start? 49

50 Planning overview LCH.Clearnet side ESES French TARGET 2 ESES Dutch & Belgian Paris Brussels & Amsterdam Paris Brussels & Amsterdam Paris Brussels & Amsterdam Test period: Paris Euroclear/LCH clearnet / Members Test period: Brussels & Amsterdam Euroclear/LCH clearnet / Members 50

51 Planning overview Tests timescale 51

52 LCH.Clearnet - black window - Clearing segment Period TESTING ESES phase 1 - Action type forbidden Paris, Brussels, Amsterdam 2 weeks before each launch rehearsal & 2 weeks after each launch rehearsal Creation of new CMF or CMF extension Update of sponsoring link between CMF & TMF Creation / update / cancellation of Position Account Creation / update / cancellation of Delivery Account Portuguese No black window Black windows for tests ESES phase 2 and production environment will be determined at a later stage 52

53 Next steps 53

54 Customer support LCH.Clearnet will keep participants fully updated on progress, and regular updates will be either posted to the website and will be circulated by via Info flash or communicated via member meetings. To be exhaustive and efficient in our communication, we request from all project participants: A dedicated Project contact and his back-up To be the main entry point for all communication linked to this project The authorized Clearing Operator (operations) remains the direct contact to validate the legal documentation and the account structure 54

55 Customer support Website A dedicated section created on the LCH.Clearnet website to post all official communication related to the project. Info flashes To provide key information relating to the project, they are sent throughout the project life. This formatted support are sent to participants, either to announce important facts or, to introduce a document annexed for more complete information. 55

56 Customer support Participants meeting Meetings are foreseen and will be organized on all locations. Meeting General Member Meeting One to One meeting Working Group with pilots ISV meeting Objective To provide information to all members concerning the impact and the progress of the project To provide customers with detailed information. Pilots consultation, to work-out the needs in terms of documentation, test, launch.. Consultation on test strategy Frequency At each milestone of the project. Mainly on customer s request After the GMM, and before the first run of tests for each phase. Before the first run of tests and on request. 56

57 Customer support Documents to be created Functional detailed service description Testing guidelines (ESES phase 1 & phase 2) Documents to be updated Files specifications (PR3 and SIF) Messages description 57

58 Customer support address Product Implementation team Joëlle Devars Christophe Robert Catherine Mollard