BEI to issue medium-term notes

BEI to issue medium-term notes

JAKARTA: PT Bank Ekspor Indonesia will issue later this month
or early next month up to Rp 500 billion (US$56 million) in
medium-term notes - the first MTN issuance in the domestic market
since the 1997 financial crisis.

Sources familiar with the plan told Dow Jones Newswires
Tuesday that the three-year MTNs will be offered in three
tranches.

The first tranche will offer a fixed rate, which the bank
indicates to be between 17.75 percent and 18.75 percent. The
second tranche will offer a lower fixed rate of 16.75 percent to
17.5 percent but will be sold at a discount to par at between
95.4892 and 99.4280.

The third tranche will offer a fixed rate of 17.75 percent to
18.75 percent for the first year and a floating rate thereafter
of 200-250 basis points above the average three-month time
deposit rate at state banks. -- Dow Jones