Canada Savings Bonds and Canada Premium Bonds Rates Announced



    OTTAWA, Oct. 7 /CNW Telbec/ - The Department of Finance today announced
interest rates for Canada Savings Bond (CSB) Series 114 and Canada Premium
Bond (CPB) Series 64, which will be on sale Friday, October 10, 2008 until
November 1, 2008, inclusive.
    For a $1,000 bond, CSB Series 114 and CPB Series 64, with 10-year terms
to maturity, will carry interest rates as follows:

    
    -------------------------------------------------------------------------
                         Canada Savings Bond         Canada Premium Bond
                              Series 114                   Series 64
    -------------------------------------------------------------------------
                                     Average                     Average
                                   annual rate               annual compound
                                     of return                rate of return
      Interest                      if held to                  if held to
       rates            Annual      November 1      Annual      November 1
      for year         interest       of the       interest       of the
     beginning           rate     following year     rate     following year
    -------------------------------------------------------------------------
    Nov. 1, 2008         2.00%         2.00%         2.35%         2.35%
    -------------------------------------------------------------------------
    Nov. 1, 2009          TBA           TBA          2.50%         2.42%
    -------------------------------------------------------------------------
    Nov. 1, 2010          TBA           TBA          2.65%         2.50%
    -------------------------------------------------------------------------

    CSB Series 114 and CPB Series 64, together with their no-fee retirement
plan options, are available for purchase online at www.csb.gc.ca, by phone
toll-free at 1-888-773-9999 (Monday to Friday, 8 a.m. to 8 p.m. Eastern Time),
or wherever Canadians bank or invest in Canada. CSB Series 114 is also
available to employees of approximately 12,000 employers across Canada through
the Payroll Savings Program.

    About the Rates

    The CSB interest rate, posted for a one-year period, is guaranteed and may
be increased during this period if market conditions warrant. CSBs can be
cashed at any time.
    The CPB interest rates, posted for years one through three, are guaranteed
and may be increased up until the issue date if market conditions warrant.
Once the issue date has passed, no changes to the posted interest rates will
be made. The CPB is redeemable once a year on the anniversary of the issue
date and during the 30 days thereafter.
    Canadians should be aware that while the CSB and the CPB have a 10-year
term to maturity, interest rates are typically announced for a shorter period
and remain in effect for that announced period. At the end of that period, new
rates will be announced by the Minister of Finance based on the then
prevailing market conditions.

    Outstanding Series Extended

    The Department also announced that the maturity date of November 1, 2008
on CSB Series 51 (November 1, 1996), CSB Series 54 (November 1, 1998), and
CPB Series 3 (November 1, 1998) has been extended to November 1, 2018.

    Outstanding Series Repriced

    The outstanding Canada Savings Bond Series listed below will carry the
same rate as those announced for Canada Savings Bond Series 114, for the bond
year November 1 2008 to October 31, 2009.

    -------------------------------------------------------------------------
    Series 46               Series 54               Series 96
    (November 1, 1991)      (November 1, 1998)      (November 1, 2005)
    -------------------------------------------------------------------------
    Series 47               Series 60               Series 102
    (November 1, 1992)      (November 1, 1999)      (November 1, 2006)
    -------------------------------------------------------------------------
    Series 48               Series 66               Series 108
    (November 1, 1993)      (November 1, 2000)      (November 1, 2007)
    -------------------------------------------------------------------------
    Series 49               Series 72
    (November 1, 1994)      (November 1, 2001)
    -------------------------------------------------------------------------
    Series 50               Series 78
    (November 1, 1995)      (November 1, 2002)
    -------------------------------------------------------------------------
    Series 51               Series 84
    (November 1, 1996)      (November 1, 2003)
    -------------------------------------------------------------------------
    Series 52               Series 90
    (November 1, 1997)      (November 1, 2004)
    -------------------------------------------------------------------------

    The outstanding Canada Premium Bond Series listed below will carry the
same rate as that announced for Canada Premium Bond Series 64 for the bond
years indicated.

    -------------------------------------------------------------------------
    Series        Issuance Date         Carries Series 64 Rate from...
    -------------------------------------------------------------------------
    Series 3      November 1, 1998      November 1, 2008 to October 31, 2011
    -------------------------------------------------------------------------
    Series 15     November 1, 2000      November 1, 2008 to October 31, 2010
    -------------------------------------------------------------------------
    Series 34     November 1, 2003      November 1, 2008 to October 31, 2011
    -------------------------------------------------------------------------
    Series 46     November 1, 2005      November 1, 2008 to October 31, 2011
    -------------------------------------------------------------------------

    Further details on the terms and conditions of the CSB and CPB are
available at www.csb.gc.ca.

    Persons interested in receiving interest rate information for the CSB and
the CPB may enquire at financial institutions, visit www.csb.gc.ca, call
toll-free at 1-800-575-5151, or subscribe to an automatic e-mail notification
service at www.csb.gc.ca/enews.htm. Those who already subscribe to the
e-newsletter service are not required to reregister to receive these automatic
notifications.

    The December 1, 2008, Series of the CSB and the CPB are expected to be on
sale November 2, 2008. As in the past, the Minister of Finance reserves the
right to terminate sales at any time.

    To receive e-mail notification of all news releases, please register at
www.fin.gc.ca/scripts/register_e.asp.
    




For further information:

For further information: David Gamble, Media Relations, Department of
Finance, (613) 996-8080; Jeremy Harrison, Bank of Canada, (613) 782-8782


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