Europcar Mobility Group S.A.

Event Publicly Available Information:

The Eligible Market Participant that raised the DC Question requested that the DC consider whether a Failure to Pay Credit Event has occurred in respect of Europcar Mobility Group S.A.

The Eligible Market Participant notes that Europcar have published an announcement in relation to its financial restructuring which includes information on the relevant non-payment. In the view of the Eligible Market Participant that submitted the question, the deterioration in the creditworthiness of the Reference Entity is self evident.

The Eligible Market Participant notes that, based on the announcement, the 2026 Senior Notes are the "€450,000,000 aggregate principal amount of 4.000% Senior Notes due 2026 (Reg. S Common Code: 198337587 / Reg. S ISIN: XS1983375871; Rule 144A Common Code: 198337617 / Rule 144A ISIN: XS1983376176) issued by Europcar Mobility Group".

The Eligible Market Participant notes that the announcement includes the following statement:

"2026 SENIOR NOTES COUPON PAYMENT DUE OCTOBER 30, 2020 AND 2024 SENIOR NOTES COUPON PAYMENT DUE NOVEMBER 16, 2020

The Company announced on October 26^th, 2020 its election to use the 30-day grace periods applicable to the upcoming interest payments on its 2026 Senior Notes and the 2024 Senior Notes.

Consequently, the Company did not pay interest in the amount of approximately €9m due on October 30^th, 2020 in respect of its 2026 Senior Notes (the 30-day grace period expiring on or about November 29^th, 2020) nor the interest in the amount of approximately €12m due on November 16^th, 2020 in respect of its 2024 Senior Note (the 30-day grace period expiring on or about December 16^th, 2020).

The Company hereby announces that it will not proceed with the aforementioned interest payments."

Announcement of Reference Entity

Announcement of Reference Entity confirming coupon payment on its 2026 Senior Notes remains unpaid after the expiry of the grace period.


Timeline	Key Timeline: 2 December 2020: Event Determination Date 5.00pm London time on Tuesday 12 January 2021: deadline for submission of Customer Physical Settlement Requests to the relevant Participating Bidder. Wednesday 13 January 2021 : Auction Date. 4.00pm London time on Thursday 14 January 2021: deadline for Buyers to deliver Notices of Physical Settlement to Sellers in respect of any Representative Auction–Settled Transactions. 4.00pm London time on Tuesday 19 January 2021: deadline for Sellers to deliver Notices of Physical Settlement to Buyers in respect of any Representative Auction–Settled Transactions. Tuesday 19 January 2021: Auction Settlement Date. Physical Settlement Dates in respect of any Representative Auction–Settled Transactions: Customer Buy RAST – 2 February 2021 Auction RAST – 9 February 2021 Customer Sell RAST – 16 February 2021

Deliverable Obligations	Final List

Auction Settlement Terms	Auction Settlement Terms

Upcoming DC Meetings
This Event
- No meetings scheduled
All Meetings
- No upcoming meetings
Additional Information

Issue Number:

2020120201

Submitted by:

General Interest Question

Category:

Credit Event

Coverage Election:

2014 Definitions

Status:

Closed

Outcome:

Question Decided
Procedural History
- Closed
  
  2/16/2021 12:00pm EST
- List of Participating Bidders Published
  
  List of Participating Bidders
  1/12/2021
- Ongoing
  
  DC Decision
  1/12/2021 07:20am EST
- Final Auction Terms Published
  
  DC Decision
  Auction Settlement Terms
  Compare against Draft Auction Settlement terms
  Compare against PizzaExpress Financing 1 PLC Auction Settlement Terms
  EMEA DC Statement 11 January 2021
  The EMEA DC met on 11 January 2021 to discuss the Auction in respect of Europcar Mobility S.A. which is scheduled for Wednesday 13 January 2021.
  Final List
  In relation to producing the Final List for Europcar Mobility S.A., the EMEA DC received a challenge by KSAC Europe Investments Sarl as to the non-inclusion of the EUR 50,000,000 Term Loan Facility Agreement dated 27 December 2019. No response was received to the challenge by the end of the response period. The EMEA DC reviewed the challenge and determined that the obligation should be added to the Final List. The EMEA DC has published the Final List.
  Auction Settlement Terms
  The EMEA DC has published the final Auction Settlement Terms.
  1/11/2021
- Final List Published
  
  Final List
  1/11/2021
- Ongoing
  
  The EMEA DC received a challenge prior to the 11am London time challenge deadline from KSAC Europe Investments Sarl relating to the non-inclusion on the Initial List of the EUR 50,000,000 Term Loan Facility Agreement dated 27 December 2019 between EMG and Credit Suisse International as Original Lender, Agent and Calculation Agent, as subsequently novated to, amongst others, KSAC Europe Investments Sarl on 15 October 2020.
  Relevant information is available at https://www.lucid-is.com/europcar/ and includes the following documents:
  EUR 50,000,000 Term Loan Facility Agreement
  MM Agreement
  Additional information relating to the EUR 50,000,000 Term Loan Facility Agreement
  KSAC Europe Investments Sarl provided the following reason for challenging the obligation: “We refer to a footnote in the Initial List published on 8 January 2021 which provided that the CS Facility Agreement was not included on the Initial List because it did not satisfy the Maximum Maturity characteristic. We would like to inform you that the Lenders under the CS Facility Agreement, the CoCom members and EMG agreed to enter into a French law governed contact (the “MM Agreement”) pursuant to which they agree, for the benefit of the lenders under the CS Facility Agreement from time to time, that EMG and the CoCom members will not extend the Long Stop Date under the Lock-up Agreement beyond a date that is ten years after the date of the MM Agreement.”
  Please submit any responses to this challenge by 3pm London time today (11 January).
  DC Decision
  1/11/2021 12:00pm EST
- Initial List Published
  
  DC Decision
  Initial List
  Submission of Potential Deliverable Obligations and Challenges
  EMEA DC Statement 8 January 2021
  The EMEA DC met on 8 January 2021 October 2020 to discuss the Auction in respect of Europcar Mobility S.A. which is scheduled for Wednesday 13 January 2021.
  Initial List and Final List
  In relation to producing the Final List for Europcar Mobility S.A., the EMEA DC agreed that the following timetable shall apply:
  1. The Initial List is published today (8 January);
  2. Any challenges to the Initial List have to be received by 11am London time on Monday 11 January;
  3. A response to any challenge to the Initial List has to be received by 12pm London time on Monday 11 January; and
  4. The Final List will be published as soon as practicable thereafter.
  Pursuant to the varied timetable, the Initial List has been published. If an Eligible Market Participant wishes to propose any challenges to the Initial List, please contact the DC Secretary by 11am London time on Monday 11 January 2020.
  Auction Settlement Terms
  The EMEA DC has published the draft Auction Settlement Terms. Please contact the DC Secretary with any comments in relation to the draft Auction Settlement Terms by no later than 12pm London time on Monday 11 January 2020.
  1/08/2021
- Draft Auction Terms Published
  
  Draft Auction Settlement Terms
  Compare against PizzaExpress Financing 1 PLC Auction Settlement Terms
  1/08/2021
- Ongoing
  
  EMEA DC Statement 6 January 2021
  
  The EMEA DC met on 6 January 2021 to discuss arrangements for the Auction. The EMEA DC has agreed to meet again on Friday 8 January 2021 to continue these discussions, including the Auction Settlement Terms.
  1/06/2021 07:55am EST
- Preliminary List Published
  
  Preliminary List
  Submission of Potential Deliverable Obligations and Challenges
  12/23/2020 02:45pm EST
- Ongoing
  
  DC Decision
  EMEA DC Statement 23 December 2020
  The EMEA DC met on 22 December 2020 to discuss the Deliverable Obligations of the Reference Entity. The EMEA DC agreed to publish the Preliminary List. Eligible Market Participants that wish to submit additional obligations for the Initial List must do so by 5pm London time on 30 December 2020. The EMEA DC is continuing to discuss arrangements for the Auction.
  12/23/2020 02:45pm EST
- Ongoing
  
  DC Decision
  EMEA DC Statement 17 December 2020
  The EMEA DC has agreed to hold an Auction in respect of Europcar Mobility Group S.A. on 13 January 2021. Note that the Auction Settlement Date will be 19 January 2021. The EMEA DC will publish further information in due course.
  12/17/2020 09:35am EST
- Ongoing
  
  DC Decision
  EMEA DC Statement 8 December 2020
  The EMEA DC met on Friday 4 December 2020 to discuss whether a Failure to Pay Credit Event had occurred with respect to Europcar Mobility Group (the Reference Entity) due to the non-payment of approximately EUR 9,000,000 interest on the EUR 400,000,000 4% Senior Notes due 2026 issued by the Reference Entity (the Notes). Following the meeting, on 7 December 2020, the Reference Entity issued a further announcement (https://live.euronext.com/en/node/3500650) stating that the relevant interest payment remained unpaid following the expiry of the grace period. As a result, the EMEA DC determined by email vote that the Reference Entity had failed to make payments in respect of the Notes in excess of the Payment Requirement and that the applicable Grace Period had expired.
  The EMEA DC also considered the 2019 Narrowly Tailored Credit Event Supplement to the 2014 Credit Derivatives Definitions and concluded that there was sufficient Eligible Information to determine that the Credit Deterioration Requirement was satisfied in respect of 2014 Transactions.
  The EMEA DC agreed to meet again in due course to discuss holding an Auction to settle 2014 Transactions in respect of the Reference Entity.
  12/08/2020 06:00am EST
- Ongoing
  
  EMEA DC Meeting Statement - 4 December 2020
  The EMEA DC notes that Europcar published a press release dated 26 November 2020 which states that (i) the Reference Entity did not pay interest on 30 October 2020 in respect of its 2026 Senior Notes and (ii) the Reference Entity did not intend to proceed with paying such interest. The EMEA DC is gathering further information and expects to reconvene to continue discussions during the course of next week.
  12/04/2020 09:40am EST
- Request Accepted by DC
  
  12/02/2020 01:00pm EST
- Pending DC Consent
  
  12/02/2020 08:35am EST