EDC launches a USD 1 billion 3-year Global Bond



    OTTAWA, April 3 /CNW Telbec/ - Export Development Canada (EDC) announced
that it launched a USD 1 billion 3-year Global Bond on Tuesday, the first
global bond of its size in its corporate history. EDC last issued a global
bond of USD 500 million in 2003.
    The global bond was issued to support EDC's funding needs, thereby
enabling EDC to support more Canadian exporters and investors to do more
business internationally and help grow Canada's export trade.
    "EDC was pleased to provide investors with a rare opportunity to purchase
a sovereign Canadian credit of the highest AAA quality," said Marie
MacDougall, Vice President and Treasurer. "The magnitude of this bond
represents a significant milestone for EDC and we are delighted by the
positive reception investors have shown."
    Market response to the bond book was very positive, quickly becoming
over-subscribed with high quality investors. The distribution by investor type
was 65 per cent central banks and official institutions, 15 per cent fund
managers and insurance companies, 10 per cent banks and financial institutions
and 10 per cent pension funds. The geographic distribution of investors was
led by Asia (42 per cent), followed by Europe, Middle East and North Africa
(31 per cent) and North America (27 per cent).
    The transaction was jointly lead-managed by BNP Paribas, HSBC Bank plc,
RBC Capital Markets Corporation, TD Securities (USA) LLC. Co-Lead Managers
were: ABN Amro Bank N.V., Bank of Montreal, London Branch, Canadian Imperial
Bank of Commerce, London Branch, Citigroup Global Markets Inc. (CGMI),
Dresdner Bank AG, London Branch, Merrill Lynch Pierce Fenner & Smith, Mizuho
International plc, National Bank Financial Ltd, Scotia Capital Inc and Shinkin
International Ltd.
    The bonds were issued at a price of 99.776 per cent and will pay a coupon
of 4.625% per annum through semi-annual payments. This gives investors a yield
of 4.706 per cent (s.a.), equivalent to a spread of 21 basis points above the
underlying US Treasury bond.

    Details as follows:

    Amount: USD 1 Billion
    Settlement date: April 3, 2007
    Coupon: 4.625% per annum, payable semi-annually
    Maturity Date: April 1, 2010
    Issue price: 99.776
    Spread: 21 basis points over the underlying US Treasury 4 3/4 February
    15, 2010
    Interest payment dates: April 1, October 1
    Listing: Luxembourg, Euro MTF Market
    Form of notes: Global note
    Clearing systems : Euroclear, Clearstream, DTC, CDS

    EDC is Canada's export credit agency, offering innovative commercial
solutions to help Canadian exporters and investors expand their international
business. EDC's knowledge and partnerships are used by 7,000 Canadian
companies and their global customers in up to 200 markets worldwide each year.
EDC is financially self-sustaining and is a recognized leader in financial
reporting, economic analysis and has been named one of Canada's Top 100
Employers for six consecutive years.




For further information:

For further information: Phil Taylor, Public Affairs, Export Development
Canada, (613) 598-2904, ptaylor@edc.ca


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