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Ministry of Economy and FinanceISSUANCE OF CCTs AND BTPs

Press Release N° 110 of 07/23/2009

The Ministry for the Economy and Finance hereby announces that the following state bonds are to be issued on 30 July, 2009, with a settlement date of 3 August, 2009:

- Treasury Credit Certificates:

start date: 1 July 2009; first tranche

maturity: 1 July 2016

gross six-monthly interest rate: equal to the six-monthly yield on six-month BOTs (Treasury Bonds) with reference to the auction held at the end of the month prior to the start date of the six-monthly payment, increased by a spread of 0.15 percentage points; the current coupon, with a maturity date of 1 January, 2010, stands at 0.53%.

ISIN: to be allocated

- Long Term Treasury Bonds:

start date: 1 July 2009; third tranche

maturity: 1 July 2012

gross annual interest rate: 2.50%

ISIN: IT0004508971

start date: 1 March 2009; seventh tranche

maturity: 1 September 2019

gross annual interest rate: 4.25%

ISIN: IT0004489610

The above-mentioned bonds will be placed using the uniform-price auction mechanism, with allotment price and issuance amount being set discretionally within an issuance interval to be announced in a subsequent press release.

The amount placed will be determined excluding bids at prices considered unfavourable on the basis of market conditions.

Italian, EU and non EU banks as well as EU and non EU brokerage companies and investment businesses referred to in the decrees authorising the issuance of the above-mentioned bands are eligible to participate in the auction.

The said dealers may bid on their own account and on behalf of third parties.

Each bid submitted must state the relevant offer price. Dealers may submit up to a maximum of three bids, each at a different price and for a minimum sum of 500,000 euros of nominal capital; any bid below the minimum amount shall not be admitted. Each bid must not exceed the issuance amount; any bids in excess of the issuance amount shall be admitted only up to that amount.

Prices shall vary by a minimum of one euro cent; any variations by a different amount shall be rounded upwards. The minimum subscribable is one thousand euros.

Bids from dealers must be submitted by the deadlines set down in the calendar below and by means of electronic bid sent to the Banca d'Italia via the National Interbanking Network in accordance with the technical procedures established by the Banca d'Italia and with which the dealers are familiar.

In the event that not all bids at the uniform price can be accepted, allotment shall be on a pro-rata basis, with rounding as required.

The allotment price shall be announced by way of a press release, which shall also state the amounts allocated to the specialists at the last three auctions.

Dealers participating at the auction shall arrange for the bonds allocated to be assigned to subscribers, without any further charges being added to the allotment price.

Settlement by dealers of the bonds allocated shall be at the allotment price and with payment of daily interest from the day following the start date of the current coupon to the day of settlement.

As payment for collecting bids from the public, commission shall be paid to dealers - commensurate with the nominal amount of bonds allocated - at the rate of:

- 0.30% for CCTs 1.7.2009/2016

- 0.20% for BTPs 2.50% 1.7.2009/2012

- 0.40% for BTPs 4.25% 1.3.2009/1.9.2019

The public shall be able to reserve bonds via the above-mentioned groups of dealers by the deadlines set down in the calendar below; brokers may request a payment on account of the nominal amount reserved as security against completion of subscription.

On the settlement date, subscribers shall pay the sum due for the bonds allocated, on the basis of the allotment price, as well as daily interest due. A receipt shall be issued on payment.

The calendar for subscription is as follows:

CCTs maturity 1.7.2016

BTPs maturity 1.7.2012

BTPs maturity 1.9.2019

Public to reserve by

29 July 2009

29 July 2009

29 July 2009

Submission of bids to auction by 11.00am on

30 July 2009

30 July 2009

30 July 2009

Settlement of subscriptions

3 August 2009

3 August 2009

3 August 2009

Daily interest payable

33

33

155

State bond specialist dealers are eligible to participate in the placing of state bonds that shall take place automatically in addition to the issuance auctions.

The offer of the additional tranche is fixed at an amount not exceeding:

- 25% of the maximum nominal amount offered in respect of CCTs 1.7.2016

- 10% of the maximum nominal amount offered in respect of BTPs 1.7.2012

- 10% of the maximum nominal amount offered in respect of BTPs 1.9.2019

Specialists who did not participate in the issuance auction shall not be eligible to participate in the additional placing.

The additional allocation shall be at the allotment price set at the auction for the current issuance.

The procedure and conditions for the partecipation of specialists in the additional allocations are set out in the relevant decrees authorising the issuance of the above mentioned bonds.

Rome 07/23/2009

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