IDFC Long Term Infrastructure Bonds, Tranche 2 - Key Information

Issue Size - Not Exceeding Rs. 44,000 million. Nature of Instrument - Secured, Redeemable, Non-Convertible Debentures having benifits under section 80CCF of the Income Tax Act, 1961. The Bonds will be issued in Demat mode. The issue has been rated '(ICRA)AAA' from ICRA and 'Fitch AAA(ind)' from Fitch. Opening date of the issue: January  11, 2012. Closing  date of the Issue: February 25, 2012. NRI customers are not eligible to apply for the issue. Proposed to be listed on NSE & BSE. Eligible Investors: All Resident Individuals, who are not minor and HUF's Full Allotment of Tranche 2 Bonds to the Applicants on a first come first basis up to the issue closing Date for the Prospectus - Tranche 2 or the date falling one day prior to the Oversubscription Date, whichever is earlier. For Applications received on the Oversubscription Date, the Tranche 2 Bonds shall be Allotted in the following order of priority: Allotment to the Applicants for Series 1 Tranche 2 Bonds Allotment to the Applicants for Series 2 Tranche 2 Bonds The specific terms of each instrument are as follows: Options I II Frequency of Interest Payment Annual Cumulative Tenor 120 months from the Deemed Date of Allotment Face Value Rs 5000/- Minimum Application / Application in multiples of Rs.10,000/- (i.e. 2 Bond) and in multiple of Rs. 1,000/- (i.e. 1 Bond) thereafter. Interest Rate p.a. (%) 8.70% p.a. NA Buyback Option YES Buyback Date Date falling 5 years and one day from the Deemed Date of Allotment Buyback Amount Rs. 5,000 per Tranche 2 Bond Rs. 7,590 per Tranche 2 Bond Buyback Intimation Period The period beginning not before nine months prior to the Buyback Date and ending not later than six months prior to the Buyback Date Maturity amount Rs. 5,000 per Tranche 2 Bond Rs. 11,515 per Tranche 2 Bond Maturity Date 10 years from the Deemed Date of Allotment Yield on Maturity / Yield on Buyback 8.70% p.a. 8.70% compounded annually Lock-in-period 5 Years from deemed date of Allotment