Letter of Comfort

(redirected from letters of comfort)

Letter of Comfort

1. Before or during a new issue, a statement by an auditor stating that, while a full audit has not been done, a review of the issue's prospectus has revealed nothing inaccurate or misleading. The letter of comfort also states that the auditor is confident that a full audit would not uncover anything unusual that would negatively affect the issue.

2. A letter that a parent company submits to a bank on behalf of a subsidiary. When the subsidiary is applying to borrow funds from the bank, the letter of comfort states that the parent company approves of and supports the application.
References in periodicals archive ?
In the current climate of asserted determination to end corruption, its new regulations, furthermore, appear filled with opportunities for rent-seeking, across requirements for letters of comfort as confirmation of commitment by investors to instal a factory, special approvals, permission-based registrations, and extra licences.
But what we are talking about is the fact that domestic terrorists are walking around with letters of comfort in their top left pocket, free in the knowledge that they can continue their lives without any fear of repercussion for what they did.
Some of the lending parties are unhappy about the reported replacement of sovereign guarantees with letters of comfort
deposits and guarantees required: Deltaport reserves the right (particularly in the case of project companies) to demand special conditions for financial verification of the settlement project (eg special securities such as hard letters of comfort, Su
The decision of fully providing against legacy non-performing loans (NPLs), earlier covered through Letters of Comfort (LOCs) issued by the Government of Punjab (GOPb), as of December 31, 2017 and improved financial performance of the Bank during the year 2018 enabled it to remain compliant with State Bank of Pakistan's capital and provisioning requirements and paved the way for Dividend payouts to shareholders.
Two letters of comfort promising ongoing support to ensure the organisation could continue operating have also been written by council chiefs.
The bank has already taken a gigantic charge of Rs14.1 billion (CY17 EPS impact Rs3.42) last year to cover unaccounted for loan losses on a massive scale (previously guaranteed by the Letters of Comfort issued by the government of Punjab in favour of the bank), cleaning the advances portfolio almost entirely.
The landmark achievement of discharging Letters of Comfort (LOCs) issued by Government of Punjab as on December 31, 2017 has well and truly set the tone for a prosperous year 2018 for the Bank.
The landmark achievement of discharging Letters of Comfort (LOCs) issued by the government of Punjab as on 31 December, 2017 has well and truly set the tone for a prosperous 2018.
The Reserve Bank of India said banks would have to stop issuing letters of undertaking and letters of comfort, with immediate effect.
Lady Anne also tells how the "outpouring of love" from the nation after his death last week at 90 has left her overwhelmed by the "amazing messages and letters of comfort".
16 (ANI): Responding to the Reserve Bank of India's (RBI) notice discontinuing the issuance of Letters of Undertaking (LOUs) and Letters of Comfort (LOCs) for trade credit for imports, the Federation of Indian Chambers of Commerce and Industry (FICCI) said although the move is welcome, industries should not be deprived of the needed liquidity and credit support.