Sub-paragraph 6: Provisions relating to the implementation of an internal bail-out measure

By way of derogation from Articles L. 613-55-8 and L. 613-55-9, where the collège de résolution directly supervises the person subject to a resolution procedure pursuant to the provisions of paragraph 1 of this sub-section, it shall draw up with the collège de supervision the plan for the reorganisation of that person’s activities provided for in Article L. 613-55-8.

I. – When the collège de résolution implements a measure in application of the provisions of sub-section 9 of this section, of I of Article L. 613-55, of 1° of I of Article L. 613-55-4, of I of Article L. 613-56 and of Article L. 613-56-1, notwithstanding any provision or stipulation to the contrary, the measures to reduce the principal or the sums due, to convert or to cancel shall…

The conversion of eligible liabilities or additional tier 1 or tier 2 capital instruments into equity securities as referred to in Chapter II of Title I of Book II or into other forms of property is effected ipso jure, without the benefit of any governing provision of the Articles of Association or any stipulation that would prevent such conversion or make it subject to a specific procedure.

I. – Where a commitment governed by the law of a third country is not excluded under I of Article L. 613-55-1 or does not constitute a deposit mentioned in the first indent of 6° of I of Article L. 613-55-5, the persons mentioned in I of Article L. 613-34 include in the contract governing this commitment a clause stipulating that the creditor acknowledges that the commitment may be converted…