On May 22 and May 24, 2017, UBS conducted an issuer substitution under approximately USD 17.3 bn bail-inable (TLAC) notes (the "Notes") issued by UBS Group Funding (Jersey) Limited (the "Old Issuer") and guaranteed by UBS Group AG, where the Old Issuer was substituted with UBS Group Funding (Switzerland) AG (the "New Issuer"), a fully owned subsidiary of UBS Group AG.

The issuer substitution has been conducted pursuant to the voluntary issuer substitution provision set out in the relevant terms and conditions of the Notes and is documented in issuer substitution agreements entered into between, among others, UBS Group AG, the Old Issuer and the New Issuer.

The New Issuer further assumes the Old Issuer's position under the agency agreements with Deutsche Bank Trust Company Americas (for USD notes) and UBS AG (for CHF and EUR notes).

Homburger acted as lead counsel to UBS in the structuring and execution of the substitution and advised on all regulatory and transactional aspects as to Swiss law.

The Homburger team included partners Benedikt Maurenbrecher, Stefan Kramer (both Financial Services) and Stefan Oesterhelt (Tax) as well as counsels Lee Saladino and Eduard De Zordi, associate Daniel Hulmann and junior associate Manuel Baschung (all Financial Services).