To meet the requirements of its clients, BinckBank offers products such as suretyships and guarantees in relation to loans. The underlying value of these products is not presented on the face of the balance sheet. The above figure represents the maximum potential credit risk for BinckBank attaching to these products on the assumption that all its counterparties should default on their contractual obligations and all existing collateral should prove worthless. Guarantees include both credit-substitute and non-credit-substitute guarantees. In most cases, guarantees can be expected to expire without a call being made on them and not to give rise to any future cash flows.

With the acquisition of Alex Beleggersbank at the end of 2007, BinckBank also acquired the Alex Bottom-Line product, which concerns an agreement with the Dutch Investors’ Association VEB. If BinckBank terminates the VEB agreement, it will be liable to pay an amount equal to the custody fee and dividend commission paid by each client of Alex Bottom-Line on entry into the agreement plus the amount of any custody fee and dividend commission additionally paid by each client on exceeding set limits.

Purchase of office premises

The purchase agreement for the acquisition of new office premises was signed on 25 November 2009. The legal transfer of the property took place on 18 January 2010. The total sum paid for the new premises was € 24,700,000.

Rental commitments

The company rents office premises in the Netherlands, Belgium, France and Spain. It has also entered into operating lease contracts for the vehicle fleet for terms of less than five years. The combined expense relating to office rents and operating lease payments for the vehicle fleet in 2009 was € 4.5 million (2008: € 3.1 million).

The aged analysis of the outstanding liabilities is as follows (x € 1,000):

Legal proceedings

BinckBank is involved in various legal proceedings. Although it is not possible to predict the outcome of current or impending lawsuits, the executive board believes – on the basis of information currently available and after taking legal counsel – that the outcomes are unlikely to have material adverse effects on BinckBank’s financial position or profitability.

Deposit guarantee scheme

The deposit guarantee scheme is intended to guarantee certain deposits by account holders if a bank goes bankrupt. The scheme provides security for deposits of up to € 100,000 and applies per account holder per bank, regardless of the number of accounts held. In case of a joint account operated by two persons, the maximum applies per person.

Virtually all savings accounts, current accounts and term deposits are covered. Equities or bonds are not covered. In case of a subordinated deposit, the principal sum is not covered by the deposit guarantee scheme, although the interest on the principal is covered.

If a credit institution finds itself in difficulties and does not have sufficient funds to pay all or part of the guaranteed amounts to its account holders, DNB will make up the difference. The total amount paid out by the central bank will then be recovered from the banks on a pro rata basis.

Investor compensation scheme

Despite the fact that all banks and investment firms in the Netherlands are subject to regulation by DNB and AFM, a bank or investment firm may encounter problems with payments. In this case, the investor compensation scheme guarantees a minimum level of protection in the event that the bank or investment firm cannot meet its obligations arising from the investment services it provides to its clients. The investor compensation scheme provides a guarantee of up to € 20,000 per person per institution.

u. Events after balance sheet date

The legal transfer of the office premises took place on 18 January 2010. On 27 January 2010, BinckBank made an additional capital investment of € 800,000 in TOM Holding B.V.