MONTREAL, Jan. 21 /CNW Telbec/ - Global Diversified Investment Grade
Income Trust ("Global DIGIT") (TSX: DG.UN) announces that it has completed the
disengagement transaction (the "Disengagement Transaction") announced on
December 24, 2007 pursuant to which MMAI-I Trust ("MMAI") has been replaced by
Deutsche Bank AG (the "Bank") as counterparty to the three credit default
swaps (financial contracts) that are presently between Global DIGIT and MMAI
(the "GD Swaps").
The Disengagement Transaction was completed contemporaneously with the
completion of the plan of compromise and arrangement (the "Plan") pursuant to
the Companies' Creditors Arrangement Act in respect of the asset-backed
commercial paper (ABCP) of certain issuer trustees, including the issuer
trustee of MMAI. Furthermore, certain technical clerical and conforming
changes were made to the master declaration of trust of Global DIGIT dated
August 30, 2004 (as amended) and regulation made thereunder to reflect the
As a result, all amounts owed to Global DIGIT under the GD Swaps and
accumulated since August 13, 2007 pursuant to a standstill agreement entered
into by Global DIGIT and MMAI have been released to Global DIGIT and such
standstill agreement has been terminated.
Therefore, Global DIGIT is now in a position to pay the distribution of
$0.0495 per unit declared on July 18, 2007. Such distribution will be paid on
January 30, 2009 to holders of record on July 31, 2007, as per the terms of
the declaration of July 18, 2007.
Moreover, Global DIGIT declares a monthly distribution (consisting of a
partial capital reimbursement of a unit) of $0.0495 per unit (approximately
5.95% per year calculated on a 30/360 day basis and on the issue price of
$10.00 per unit). This distribution will be payable on February 13, 2009 to
holders of record on the close of business on January 30, 2009.
Finally, Global DIGIT declares an extraordinary cash distribution
(consisting of a partial capital reimbursement of a unit) of $0.74 per unit.
This distribution will be payable on February 13, 2009 to holders of record on
the close of business on January 30, 2009.
About Global DIGIT
Global DIGIT provides an economic interest in a mezzanine tranche of
credit default swap in respect of portfolios of synthetic corporate exposures,
mortgage-backed securities, asset-backed securities and structured finance
For further information:
For further information: François Rivard, (514) 879-6405;