Amendment to the Loan Relationships and Derivative Contracts (Disregard and Bringing into Account of Profits and Losses) Regulations 20046
1
Amend regulation 5(1) (regulations 3 and 4: supplementary) as follows.
2
In sub-paragraph (b)—
a
in paragraph (i) after “liability” insert “mentioned in regulation 3(1)”;
b
in paragraph (ii) after “contract” insert “mentioned in regulation 4(1)”; and
c
omit the words from “the extent” to the end.
3
At the end of the paragraph add—
the extent to which an asset is matched is determined in accordance with the following rules
4
For Rule 1 substitute—
Rule 1
Liabilities and contracts are regarded as matched to the greatest possible extent with assets which are ships or aircraft.
5
In Rule 2 at the end insert “if the disposal were made on a date falling more than 12 months after the date of acquisition of the asset”.
6
In Rule 3—
a
after “liabilities” insert “and contracts”;
b
delete “if the disposal were made on a date falling more than 12 months after the date of acquisition of the asset”.