Important Customer Information

What has happened?
On 30 November 2008, the High Court made an Administration Order in relation to London Scottish Bank Plc (“the Company”) and Maggie Mills, Tom Jack, Simon Allport and Tom Burton were appointed as Joint Administrators. The application for an Administration Order was made by the Directors under the provisions of paragraph 12 of Schedule B1 to the Insolvency Act 1986.

- Information for all Depositor Creditors
- Information for all Non-Depositor Creditors

Business as usual
The Company has not ceased to trade. The Administration is necessary because of the Company’s financial position and to ensure the best interests of customers and creditors are served. We will continue to keep you updated with developments in respect of the long term plans for the Company and notify you as soon as practicable if any changes are proposed to be made which will affect your current position.

For further information on a specific product area please click on the links below:

- Deposits
- All secured and unsecured borrowers

Operations
The purpose of the Administration Order is to seek to ensure the best long term solution can be adopted for customers and creditors, and whilst doing so, continuing the operations of the Company.

Whilst in Administration, the Company will continue to manage its current loan book and the Administrators will be seeking to find purchasers for, and will continue to manage, the remainder of the Company’s business to maximise recovery for creditors. The existing mortgage/loan agreements of borrowers remain in place, the repayment profile of your mortgage/loans is not being changed and you are not being expected to refinance elsewhere. Borrowers should continue to make payments in the usual way.

The directors are still the directors of the Company. Whilst in Administration, the Administrators are ultimately responsible for Company. However, the directors and existing management structure will remain in place and the directors and their existing management team will be responsible for the day-to-day operations.

We will be working closely with management and do not envisage any major changes to procedures on a day-to-day basis. Our key objective is to stabilize the underlying businesses.

Finally, we would like to re-iterate that our key objective is to stabilize the underlying businesses. During this process we would ask for all of your support during the continued operations of the Company, whilst a buyer or buyers are sought for the Company’s business. We shall keep you as fully informed of the situation as we are able as matters progress.

Maggie Mills, Tom Burton, Tom Jack and Simon Allport
Joint Administrators

The Institute of Chartered Accountants in England and Wales authorises Margaret Elizabeth Mills, Thomas Andrew Jack and Simon Allport to act as Insolvency Practitioners under section 390(2)(a) of the Insolvency Act 1986 and the Institute of Chartered Accountants of Scotland authorises Thomas Merchant Burton to act as an Insolvency Practitioner under section 390(2)(a) of the Insolvency Act 1986.

The affairs, business and property of the Company are being managed by the Joint Administrators, M E Mills, T M Burton, T A Jack and S Allport. The Joint Administrators act as agents of the Company only and without personal liability.