PRIME BANK HSBC LONDON FRESH CUT SBLC

MINIMUM FACE VALUE 100 MILLION AN UP – TAILOR

MADE AND CONFIGURED TO BUYERS
RWA TO SHOW CAPABILITY
January 2022 and Onwards:

Procedures to Purchase SBLCs from United KingdomProvider

Purchase Price from Provider: 44% of Face Value (Min 100 Million Rolls & Extensions)

Purchase of SBLCs from Provider

Step #1: Bank Confirmation Letter (BCL - Buyer’s Bank officer addresses and e-mails an
attached Bank Confirmation Letter to the Buyer and cc’s the Provider’s secure e-mail address
(which will be provided) The Bank Confirmation Letter (to be signed by two bank officers) will
state that the Buyer’s account is in good standing and that there is an amount of 500M clear and
unencumbered Euros in the account. The BCL will also state that the Buyer’s bank is ready
willing and able to issue a MT-103 Brussels SWIFT payment upon the Buyer’s instructions. (See
sample verbiage attached)

Step #2: Provider verifies the bank officer’s IP address – no contact is made with the Buyer’s
bank. (NOTE: the IP Address verification is completed within two hours of the Provider receiving
the BCL/ bank officer’s e-mail.) Once the IP address is verified the Provider will contact the Buyer
immediately to arrange the purchase/ delivery of the SBLCs and a purchase agreement.

Step #3: Provider orders/purchases the SBLCs from HSBC London in the Buyer’s name (the
SBLCs are available for delivery in approximately 48 hours)

NOTE #1: THE BUYER DOES NOT SIGN A PURCHASE AGREEMENT/CONTRACT UNTIL
THE SBLCS HAVE BEEN PURCHASED BY THE PROVIDER AND ARE IN CUSTODY AT
HSBC LONDON (IN THE BUYER’S NAME) READY FOR DELIVERY

Step #4: Provider will contact the Buyer to confirm that the SBLCs have been purchased and are
in custody and ready for delivery. The Provider will then present the Purchase Agreement to the
Buyer for signature.

Step #5: Upon receiving the signed Purchase Agreement from the Buyer, the Provider will
disclose the custodial bank account details (HSBC London) and the detailed contact information
of the custodial bank officer. Buyer’s bank officer can then contact the custodial bank officer via
telephone and/or e-mail and subsequently send a MT-799 Brussels SWIFT Request for
Confirmation to the HSBC London custodial account that the SBLCs are in custody and have
been purchased in the Buyer’s name.

Step #6: Buyer’s bank sends a MT-799 Brussels SWIFT Request for Confirmation to HSBC
London custodial account requesting an MT-799 SWIFT Confirmation confirming with full bank
responsibility that the SBLCs have been purchased in the Buyer’s name and are in custody at the
Provider’s bank and available for purchase/delivery.

Step #7: Provider’s bank (HSBC London) replies with an MT-799 Brussels SWIFT Confirmation
with full bank responsibility that a) the SBLCs have been purchased in the Buyer’s name (the
Buyer’s Purchase Agreement/Contract Transaction Code will be referenced in the MT-799
Brussels SWIFT Confirmation) and b) are in custody at HSBC London and ready for purchase
and delivery and c) that upon receipt of the MT-103 Brussels SWIFT payment the SBLCs will be
delivered immediately via MT-760 Brussels SWIFT into the Buyer’s account.

NOTE #2: Buyer does not send the MT-103 payment until he receives confirmation from his bank
officer that he has confirmed bank-to-bank with full bank responsibility that the Provider’s bank
will deliver the SBLCs as stated in the MT-799 Brussels SWIFT. Confirmation.

Step #8: Buyer’s bank (Bank) sends the MT-103 Brussels SWIFT payment

Step #9: HSBC London delivers the SBLC to the Buyer’s bank via MT-760 Brussels SWIFT

internal HSBC BANK LONDON – EXIT BUYER Sale of SBLCs:

Step #10: Buyer and Exit Buyer exchange the respective Bank and HSBC London account/ bank
officer information. Bank officers communicate directly to arrange the purchase of the SBLC by
the Exit Buyer

Step #11: Buyer’s Bank delivers SBLC into Exit Buyer’s HSBC London account.

Step #12: Exit Buyer’s bank issues MT-103 Brussels SWIFT payment (Exit Buyer pays 68% of
Face Value for a 24% profit)

Step #13: Buyer uses original cash funds plus all or a portion of the 24%profit to issue a
subsequent SBLC from the Provider (at the price of 44% of Face Value) and continues the
Buy/Sell Steps 1#-12# as described above.