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PRESS RELEASE July 3, 1951

Swiss Banks Announce First Public Offering of IBRD Bonds in Switzerland

A syndicate of leading Swiss banks announced today the first public offering in Switzerland of bonds of the International Bank for Reconstruction and Development. The banks will offer 50,000,000 Swiss francs (approximately $11,500,000) of 3 1/2%, twelve-year bonds, due August 1, 1963, at par. The issue will be known as 3 1/2% Swiss franc bonds of 1951, and will be open to subscription from July 3 to July 9 inclusive.

The banking group is composed of houses in four principal Swiss cities, as follows: the Swiss Bank Corporation of Basle; the Credit Suisse, of Zurich; the Union Bank of Switzerland of Zurich; the Societe Anonyme Leu & Cie., of Zurich; the Banque Populaire Suisse, of Berne; the Groupement des Banquiers Prives Genevois, of Geneva; Messrs. A. Sarasin & Co., of Basle; and the Societe Prive de Banque et Gerance, of Zurich. The first three banks named are the managers of the syndicate and will act as paying agents for the International Bank in Switzerland for the issue.

The bonds are callable at par on or after August 1, 1959. They will be 1isted on the stock exchanges of Basle, Zurich, Geneva and Derne.

President Eugene R. Black of the International Bank said, "This is an important step for us in continuing to widen and internationalize the market for our securities, and in increasing the funds we have available for lending. While we have had issues in Switzerland before, this is our first public offering in one of the strongest and most active of the world’s capital markets. The sale will put a useful amount of Swiss francs at our disposal, it will familiarize more investors in Switzerland with our bonds, and it should prepare the way for us to raise additional amounts of Swiss francs as the need arises. We are glad to be associated with outstanding Swiss banking houses in this enterprise."

This is the Bank’s third sale of its bonds this year. Last May it sold L5,000,000 (approximately $14,000,000) of 3 1/2% 20-year bonds in London, and in February, sold $50,000,000 of 3% 25-year bonds through a sponsoring group of banks and investment houses in New York.

The Bank has sold two previous issues in Switzerland, both through private placement, In 1948, it placed Sw. Fr. 17,000,000 (approximately $4,OOO,000) of 2 1/2% serial bonds, due 1953-54, with Swiss banks; and in 1950, placed with Swiss banks another Sw, Fr. 28,500,000 (approximately $6,500,000) of 2 1/2% serial bonds, due 1953-56.