A $150 million floating rate note (FRN) five-year issue was announced today by the International Bank for Reconstruction and Development (World Bank). It is the Bank's second FRN issue in the U.S. domestic market.
The FRN is priced at a spread of 55 basis points (hundredths of one percent) over the bond equivalent yield of 91-day U.S. Treasury Bills. Interest will be payable quarterly and re-set weekly. The issue is managed by Salomon Brothers Inc.
This issue, along with two Canadian FRNs, together amounting to around US$150 million, issued in November 1984 and January 1985, brings the Bank's FRN borrowings to around US$300 million out of expected borrowings of about $12 billion in fiscal year 1985.
