(RTTNews) -  Royal Bank of Scotland Group plc, or RBSG, (RBS: News ,RBS.L: News ) said the company and the Royal Bank of Scotland plc, or RBS, on 26 November 2009, signed an accession agreement to the UK Government's Asset Protection Scheme on the terms summarised in the announcement published on 3 November 2009.

In addition to the Accession Agreement, on 26 November 2009, RBS also signed an acquisition and contingent capital agreement pursuant to which, among other things, RBSG has agreed to issue £25.5 billion of new capital to The Commissioners of Her Majesty's Treasury in the form of B shares and a dividend access share on the terms summarised in the announcement published on 3 November. The Acquisition and Contingent Capital Agreement is subject to a number of conditions, including the satisfaction or waiver of all conditions to RBSG's and RBS's participation in the APS, approval by RBSG's shareholders, final approval by the European Commission and other regulatory approvals.

As per the terms of the Acquisition and Contingent Capital Agreement, HM Treasury has also committed to subscribe for up to an additional £8 billion of capital in certain circumstances, as summarised in the announcement published on 3 November 2009.
On 26 November 2009, RBSG also entered into a State Aid Commitment Deed with HM Treasury containing commitments and undertakings given by RBSG to HM Treasury that are designed to ensure that HM Treasury is able to comply with the commitments to be given by it to the European Commission for the purposes of obtaining State aid approval.

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by RTT Staff Writer

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