Tabcorp / Tatts Proposal: minimal impact on TAHHB / TTSHA The Scheme of Arrangement announced between Tabcorp (TAH) and Tatts (TTS) is expected to have minimal impact on both the Tabcorp Subordinated Notes (TAHHB) and the Tatts Bonds (TTSHA). This transactions appears to satisfy a Change of Control Event under the TTSHA issue terms. This is triggered where another party gains more than 50% of the voting shares of TTS, giving TTSHA holders the right to require Redemption. Given TTSHA is trading at a premium, it appears unlikely that TTSHA holders will request Redemption under a Change of Control Event. As stated in TAH’s FY16 results presentation, TAHHB is “expected to be redeemed in Mar 2017”. This Call Date is before the expected Scheme of Arrangement completion in mid-2017.