These bonds are issued pursuant to the Austrian "Act on Covered Bank Bonds" ("FBSchVG"), which governs the issue of bonds secured through public sector assets (public institutions located in the European Economic Area and in Switzerland).
Kommunalkredit Covered Bonds are secured by a cover pool consisting of securities of and receivables from public institutions. As of 31 March 2012 the share of EUR and CHF denominated loans compared to the total value of assets in the cover pool amounts to 85 %, whereas the share of securities amounts to 15 %. More details please kindly obtain from section "Cover Pool Data" on this site.