Plaintiffs also effectively ignore or obscure the differences between payments on the USD Bonds and the Euro Bonds.

To make payments on the Euro Bonds, the Republic transfers funds to a euro deposit account in the name of BNY Luxembourg at Banco Central de la Republica de Argentina (“Banco Central”) in Argentina. Id. ¶ 10 (SPE-623). The funds are then transferred from Banco Central to “a Deutsche Bank account in Frankfurt, Germany, in the name of The Bank of New York Mellon S.A. N.V.,” a Belgian entity (‘BNYM Brussels’). Id. ¶ 10 (SPE-624). Next, “BNYM Brussels transfers the funds to Euroclear or Clearstream for distribution to its participants, who then distribute the funds to beneficial holders.” Id. Euroclear and Clearstream are foreign clearinghouses located in Belgium and Luxembourg, respectively. Id. ¶ 8 (SPE-623). The entire payment process for the Euro Bonds involves only foreign banks and other financial institutions. The district court in no way recognized, discussed, or considered that fact.

Plaintiffs also effectively ignore or obscure the differences between payments on the USD Bonds and the Euro Bonds. For example, Plaintiffs argued in their brief on remand that the Republic relies on payment systems in the United States and entities in New York to make payments on the exchange bonds, which is not true for the Euro Bonds. All but one of the documents that Plaintiffs submitted in support of this point relate to the USD Bonds only. See Nov. 13, 2012 Cohen Decl. Exs. S, T, U, V, and W (SPE-526- 537); Y, AA, and BB (previously submitted as A-1187, 1227, and 667 respectively). Plaintiffs claimed that the remaining document showed that the trustee paying agent for the exchange bonds was required to maintain an office in New York, but that document actually specifies that the trustee paying agent for the Euro Bonds must maintain an office in London. See Cohen Decl. Ex. Z at R-3 (SPE-545). In sum, Plaintiffs have offered zero record evidence that the payments for the Euro Bonds are processed through entities in the United States. They are not.

S 6

http://www.shearman.com/files/upload/NML-Capital-v-Argentina-2013-1-4-Euro-Bondholders-Brief.pdf


BRIEF FOR NON-PARTY INTERVENORS
EURO BONDHOLDERS