6/9/23

Tuscany flood emergency: initiatives to support customers

Banca Progetto is supporting its customers in overcoming the emergency caused by the exceptional weather events experienced between May 15 and 17, 2023 in the municipalities of Firenzuola, Marradi, Palazzuolo sul Senio and Londa in the Metropolitan City of Florence, activating the legally mandated measures. Banca Progetto has implemented the measures stipulated in the Order of the Head of the Department of Civil Protection (OCDPC) of Monday, June 5, 2023, No. 1,000, published on the website of the Department of Civil Protection (https://www.protezionecivile.gov.it/it/normativa/ocdpc-n-1000-del-5-giugno-2023/ ) and soon to be published in the Official Gazette, regarding the suspension of the payment of mortgage installments following the declaration of the state of emergency mentioned above.

With Resolution of the Council of Ministers of 6 May 2024, the state of emergency was extended for a further twelve months.

Specifically, Art. 11 ("Suspension of Mortgages"), Paragraph 1, of the aforementioned Ordinance provided that the aforementioned event constitutes force majeure within the meaning and effect of Art. 1218 of the Civil Code. In this regard, the holders of mortgages related to the evacuated buildings, or to the management of activities of a commercial and economic nature, including agricultural, carried out in the same buildings, upon presentation of self-certification of the damage suffered, the right to request from credit and banking institutions, until the fitness for use or habitability of the aforementioned property and in any case no later than the date of the termination of the state of emergency (May 25, 2025), are also allowed a suspension of the installments of the same mortgages, opting between:

• the suspension of the entire installment

• the suspension of only the principal amount Customers may then request the Bank to suspend payment by submitting the relevant request (see attm) 1) accompanied by self-certification made in accordance with Presidential Decree No. 445 of December 28, 2000, as amended. (see self-certification attm). The total amount suspended shall be returned to the Bank without additional fees and/or charges in terms of fees or processing fees. The maturity of the loan will be extended for a period corresponding to that of the suspension. In the case of suspension of the principal amount only, the borrower will pay to the Bank, for the duration of the months of suspension, an installment of interest only calculated, on the outstanding principal debt, at the rate and in the manner provided in the agreement. In the case of suspension of the entire installment (principal + interest), the interest accrued and possibly suspended during the period, unproductive of further interest, will be spread in equal portions over the next installments due and will be fully due in the case of settlement or subrogation of the loan.