Guernsey, 23 August 2013 - Volta Finance Limited (the "Company" or "Volta Finance" or "Volta") has published its monthly report. The full report is attached to this release and is available on Volta Finance Limited's financial website (www.voltafinance.com).
Gross Asset Value
At 31.07.13 At 28.06.13
Gross Asset Value (GAV / € million) 247.1 239.8
GAV per share (€) 7.00 6.79

At the end of July 2013, the Gross Asset Value* (the "GAV") of Volta Finance Limited (the "Company", "Volta Finance" or "Volta") was €247.1 m or €7.0 per share, an increase of €0.21 (+3.1%) since the end of June 2013 GAV.

Year to date 2013 performance is +14.8%.

The July mark-to-market variations* of Volta Finance's asset classes have been: +1.7% for Synthetic Corporate Credit deals, +5.9% for CLO Equity tranches; +0.7% for CLO Debt tranches, +2.8% for Cash Corporate Credit deals and +20.7% for ABS. The increase of the GAV in July is explained by the tightening of credit spreads and by an upward revaluation of the UK non-conforming residual positions held by Volta.

Volta's assets generated the equivalent of €2.4m cash flows in July 2013 (non-Euro amounts converted to Euro using end-of-month cross currency rates and excluding principal payments from debt assets) bringing the total cash generated during the last six months to €15.3m which can be compared with €16.0m for the previous six-month period ended in January 2013.

In July, the company purchased two tranches of European CLO (ARESE) for €7.4m. Under reasonable assumptions the expected IRR for these position is close to 9.5%.

At the end of July, Volta held €10.7m in cash, including €0.3m in relation with the Liquidity Enhancement Contract and €0.2m received in relation with its currency hedge positions. Volta could be considered as having roughly €2m available to invest considering the recent trade for €7.4m that is unsettled at the end of July.

MARKET ENVIRONMENT
In July 2013, credit spreads tightened in Europe and in the US. The 5 year iTraxx European Main index and 5 year iTraxx European Crossover Index (series 19) spreads went respectively, from 119 and 477 bps at the end of June 2013 to 100 and 404 bps at the end of July 2013. During the same period, credit spreads in the US, as illustrated by the 5y CDX main index (series 20) tightened from 87 to 75 bps. According to the CSFB Leverage Loan Index, the average price for USA liquid first lien loans increased from 97.60% at the end of June 2013 to 98.24% at the end of July 2013. It was almost similar in Europe: the price of the S&P European Leveraged Loan Index went from 92.21% to 92.44% at the end of July 2013.**

VOLTA FINANCE PORTFOLIO
In July 2013, no particular event materially affected the situation of the Synthetic Corporate Credit deals. However, the first loss positions in this bucket (ARIA III and the residual positions in JAZZ III) remain highly sensitive to any new credit event.

Regarding the Cash Corporate Credit Deals, no particular event or information materially affected the situation of the positions in this bucket during the month.

Regarding the Company's investments in Equity or Debt tranches of CLOs, in May 2013, no particular event materially affected the situation of the positions in this bucket. All the positions are currently paying their coupons.

Regarding the Company's ABS investments, market participants took notice of the continuous and steady cash flows paid, on average, by these positions. Their valuation have thus been revised upward accordingly alongside with market practices, while still forecasting cautious future cash flows.

The Company considers that opportunities could arise in several structured credit sectors in the current market environment. Amongst others, mezzanine or equity tranches of CLOs, RMBS tranches as well as tranches of Cash or Synthetic Corporate Credit portfolios could be considered for investment.

Considering the cash position of Volta some investments should be executed in the coming weeks.

* "Mark-to-market variation" is calculated as the Dietz-performance of the assets in each bucket, taking into account the Mark-to-Market of the assets at month-end, payments received from the assets over the period, and ignoring changes in cross currency rates Nevertheless, some residual currency effects could impact the aggregate value of the portfolio when aggregating each bucket.

** Index data source: Markit, Bloomberg.

(Full monthly report in attachment or on www.voltafinance.com)