Nr. II

‘… I have the honor to refer to the notice of termination, dated June 29, 1987, regarding the Convention between the United States of America and the Kingdom of the Netherlands for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income and Certain Other Taxes, signed at Washington on April 29, 1948, and extended to the Netherlands Antilles effective November 10, 1955 [, and applicable to Aruba as a separate entity as of January 1, 1986]. I also refer to the protocol supplementing the said Convention for the purpose of facilitating the extension to the Netherlands Antilles, signed at Washington June 15, 1955; the related notes exchanged at Washington on June 24 and August 7, 1952, September 15 and November 4 and 10, 1955; and the protocol modifying and supplementing the extension of the said Convention to the Netherlands Antilles, signed at The Hague on October 23, 1963.

In accordance with the provisions of the Convention and general principles of international law, I have the further honor to inform you that the Government of the United States hereby modifies its notice of termination to specify that Article VIII of the Convention, and such other ancillary provisions in the Convention and the supplementary agreements mentioned above as apply to effectuate, modify or limit the exemption from tax provided in Article VIII for interest described therein and derived by a resident or corporation of a Contracting State, shall continue to apply until such time as they shall have been terminated in accordance with the terms of Article XXVII, paragraph 3. The modifications set out above do not affect the effective date of the June 29, 1987 notice of termination, namely, January 1, 1988. …’.