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PRESS RELEASE November 17, 1976

World Bank Offers $250 Million Notes and $250 Million Bonds

The public offering of $250-million of 7.80 percent ten-year notes of 1976, due December 1, 1986 and $250-mlllion of 8-3/8 percent twenty-five-year bonds of 1976, due December 1, 2001, of the International Bank for Reconstruction and Development (World Bank) was announced today by Salomon Brothers; Morgan Stanley & Co. Incorporated and The First Boston Corporation, as Joint managers of a nation-wide underwriting group.

The notes are priced at 99.80 percent to yield 7.83 percent and the bonds are priced at 99.533 percent to yield 8.42 percent.

Net proceeds from the sale of the new securities will be used in the general operations of the Bank.

The notes are not redeemable prior to maturity and no sinking fund is provided for the notes. The bonds are redeemable, at the option of the Bank, on and after June 1, 1989 at redemption prices starting at 102½ percent and declining there-after to par on and after December 1, 1996, plus accrued interest. As a mandatory sinking fund, the Bank will retire $10-million of the bonds on or within 90 days before December 1, 1989 and $20-mlllion on or within 90 days prior to December 1 in each of the years 1990 through 2000. The sinking fund is calculated to retire 92 percent of the bonds prior to maturity. The Bank has the non-cumulative option to Increase any sinking fund payment by an amount up to but not exceeding the mandatory sinking fund payment.

The International Bank for Reconstruction and Development known as the World Bank, is headquartered in Washington, D.C. and has been in operation since June 1946. Its membership comprises 128 governments. The principal purpose of the Bank Is to promote the economic development of its member countries, primarily by providing loans for specific projects and related technical assistance, in the interest of promoting long-term growth of international trade and improved standards of living.