LGFA's debt obligations are guaranteed by its council shareholders and borrower and guarantor councils.
- Other than the New Zealand Government, each shareholder in LGFA must be a Guarantor.
- Any non-shareholder council that borrows in aggregate NZ$20 million or more from LGFA must be a Guarantor.
- Any council shareholder of a Council Controlled Organisaton who borrows from LGFA
Parties to the guarantee will be able to exit the arrangement but only after:
- All the exiting council’s borrowings are repaid.
- All the LGFA’s borrowings, current at the time the council notifies of its withdrawal from the guarantee, are repaid.
![4126824 EXECUTED - LGFA - Amendment and Restatement Deed to GI - CCO Restructure Amendments - v1.pdf](/sites/default/files/styles/sector_md/public/2021-08/4126824%20EXECUTED%20-%20LGFA%20-%20Amendment%20and%20Restatement%20Deed%20to%20GI%20-%20CCO%20Restructure%20Amendments%20-%20v1.pdf-p1.png?itok=W_M4_Lls)
![Security Trust Deed.pdf](/sites/default/files/styles/sector_md/public/2021-08/Security%20Trust%20Deed.pdf-p1.png?itok=IYJLtxQZ)
![List of LGFA Guarantors CURRENT.pdf](/sites/default/files/styles/sector_md/public/2024-07/List%20of%20LGFA%20Guarantors%20CURRENT_1.pdf-p1.png?itok=0plVNL5d)