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PRESS RELEASE April 8, 1959

World Bank Announces First Public Offering of Deutsche Mark Bonds

The first public offering of Deutsche Mark bonds of the International Bank for Reconstruction and Development will be made in Germany on April 9, 1959. The offering will consist of DM 200 million (approximately $47.6 million) of 5% 15-year bonds and will be made by a syndicate of leading German banks headed by the Deutsche Bank. G. as the principal manager and the Dresdner Bank A.G. as the co-manager. The syndicate will consist of more than 70 banks which will be the largest syndicate to offer bonds in Germany in the last 15 years.

The bonds will be repayable at par beginning April 1, 1965 in 10 annual installments of DM 20 million each so that the entire issue will have been repaid by April 1, 1974. On or after April 1, 1970 the World Bank may redeem at par all of the issue then outstanding on any interest payment date on not less than three months’ notice. Interest will be payable semi-annually on April 1 and October 1 with the first payment due on October 1, 1959.

The issue will be listed on the stock exchanges of Berlin, Bremen, Dusseldorf, Frankfurt (M), Hamburg, Hannover, Munchen and Stuttgart.

This is the first offering of World Bank bonds to the public in Germany and is the largest public offering of non-dollar bonds ever made by the Bank. The World Bank has previously borrowed privately from the Central Bank of Germany (Deutsche Bundesbank) about $3.50 million and DM 200 million. $65 million of this amount has been retired.

Giving effect to the present issue, to deliveries of bonds under delayed delivery contracts, and to amounts still to be drawn under the privately placed Deutsche Mark borrowing, the World Bank's funded debt will be about $1,928 million equivalent in U.S. dollars and other currencies.