Company: LLOBF
Filing Date: 2025-02-25
Form Type: 424B2
Source: 0000950103-25-002401
Chunk: 94

Company: Lloyds Banking Group plc
Filing Date: 2025-02-25
Form: 424B2
Chunk 94
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 in a Winding-up or Administration Event if the Conversion Date in respect of the Automatic Conversion had occurred immediately
before the occurrence of a Winding-up or Administration Event and, accordingly, as if such holder were, throughout such Winding-up or
Administration Event, the holder of such number of Ordinary Shares as it would have been entitled to receive upon Automatic Conversion
(ignoring for this purpose LBG’s right to make an election for a Settlement Shares Offer to be effected), regardless of whether
the Solvency Condition is satisfied on such date (and, in the case of an administration, on the assumption that shareholders were entitled
to claim and recover in respect of their shares to the same degree as in a winding up or liquidation).

General

As a consequence of these subordination provisions, if a Winding-up or Administration Event occurs, each holder of the Additional Tier 1 Securities may recover less ratably than the holders of our unsubordinated liabilities and the holders of certain of its subordinated liabilities. If upon any Winding-up or Administration Event the amount payable on the Additional Tier 1 Securities and any claims ranking equally with them are not paid in full, the Additional Tier 1 Securities and other claims ranking equally will share ratably in any distribution of LBG’s assets in proportion to the respective amounts to which they are entitled. If any holder is entitled to any recovery with respect to the Additional Tier 1 Securities, the holder might not be entitled in those proceedings to a recovery in pounds sterling and might be entitled only to a recovery in U.S. dollars.

In addition, LBG is a holding company and as such the principal sources of its income are from operating subsidiaries which also hold the principal assets of the Group. As a result, LBG is dependent on the remittance of profits and other funds from its subsidiaries to meet its obligations, including its obligations in respect of the Additional Tier 1 Securities. LBG’s right to participate in the assets of its subsidiaries if such subsidiaries are liquidated will generally be subject to the prior claims of such subsidiaries’ creditors.

Waiver of Set-Off

Subject to applicable law, no holder or beneficial
owner of the Additional Tier 1 Securities may exercise, claim or plead any right of set-off, compensation, counterclaim, netting or retention
in respect of any amount owed to it by LBG arising under, or in respect of, or in connection with, the Additional Tier 1 Securities and
each holder and each beneficial owner of the Additional Tier