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Ministry of Economy and FinancePLACEMENT VIA AUCTION OF MULTI-YEAR TREASURY BONDS INDEXED TO EURO-ZONE INFLATION

Press Release N° 14 of 01/23/2009

The MEF announces the issuance of public debt securities,auctioned on 28th January 2009 and settled on 30th January, 2009, represented by the following bonds:

- Long Term Treasury Bonds indexed to Euro Areainflation

- 10-year treasury bonds

starting accrual date:15th March 2008; sixth tranche

maturity date :15th September 2019

real annual coupon:2.35% yearly, payable on a half-yearlybasis

maximum nominal amount of issue:1,000 million euro

- thirty-year treasury bonds

starting accrual date:15th September 2004; twenty-fifth tranche

maturity date:15th September 2035

real annual coupon: 2.35% yearly, payable on a half-yearlybasis

maximum nominal amount of issue:500 million euro

The placement mechanism adopted will be that of marginalauction with discretionary determination of the price and quantity issued. Theallocated amount will be determined by excluding offers presented at prices deemedincongruous with market conditions.

As for the rest of the procedure, placement will beconducted following the technical criteria and regulations applied when placingnominal BTPs. Bonds will be subscribable by the public within the time-limitsshown in the calendar here below. Each dealer, by and no later than 11:00am ofthe day shown below, can submit via the National Interbanking Network, amaximum of three bids, each offer having a real value (not recalculated on thebasis of the Indexation Coefficient) of no less than 500,000 euro. Bid prices,they too formulated in real terms, shall differ one from the other by at least1 euro cent. The Banca d'Italia, on the basis of the IndexationCoefficient referring to the settlement date, will calculate the value equivalentto the capital subscribed and the accrued interest payable for the bondssubscribed at auction. Settlement will take place two working days afterauction date (T+2). For both the aforementioned bonds, subscribers will payaccrued interest for the period from 15 September 2008 to settlement date (137 days).

Dealers will be granted, by way of compensation forcollecting requests from the public, a commission- calculated on the nominalamount of the bonds allocated - equal to:

- 0.40% for the ten-year BTP€i

- 0.40% for the thirty-year BTP€i.

The calendar for subscription operations is as follows:

ten-year BTP€i

thirty-year BTP€i

Public subscription by

January 27, 2009

January 27, 2009

Presentation of bids at auction: by 11:00 am

of

January 28, 2009

January 28, 2009

Settlement Date

January 30, 2009

January 30, 2009

Coupon accrued days

137

137

Specialists in Government Bonds will be entitled toparticipate in the supplementary auction, set up for a maximum amount equal to10% of the quantity offered at auction, by submitting bidsbefore 3:30 pm of 29 January, 2009.

Terms and conditions for the participation of Specialistsin supplementary auctions are set forth in the decrees carrying the issuance ofthe aforementioned securities.

01/23/2009

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