Daimler-Benz completes $500 million debut Yankee issue through J.P. Morgan.NEW YORK--(BUSINESS WIRE)--Sept. 18, 1996--Daimler-Benz North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. Corporation today completed a $500 million public Yankee bond Yankee Bond A bond denominated in U.S. dollars and issued in the United States by foreign banks and corporations. Notes: This type of a bond is known as a foreign bond. issue under its newly established $1 billion U.S. medium-term-note program. The issue is fully guaranteed by its parent, Daimler-Benz AG, and has a senior rating of A1 by Moody's Investor Service and A+ by Standard & Poor's Corporation. It is Daimler-Benz's first Yankee issue and the first public Yankee issue guaranteed by a German corporation. The 7 3/8% notes have a maturity of 10 years and were priced at 56 basis points over the 10-year U.S. Treasury U.S. Treasury Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. to yield 7.381%. J.P. Morgan was lead manager for the transaction. "In view of the growing internationalization The support for monetary values, time and date for countries around the world. It also embraces the use of native characters and symbols in the different alphabets. See localization, i18n, Unicode and IDN. internationalization - internationalisation of our business operations, this transaction is a very important step for Daimler-Benz in diversifying our global sources of funding," said Dr. Manfred Gentz, chief financial officer of Daimler-Benz AG. "We feel it is very important to be present in the largest capital market in the world and are very pleased with the reception Daimler Benz AG has received from U.S. investors." "The issue was an extremely strong sale, placed with a broad range of institutional investors, and more than two times oversubscribed Refers to connecting more users to a system than can be fully supported if all of them were using it at the same time. Networks and servers are almost always designed with some amount of oversubscription, counting on the fact that everybody does not need the service simultaneously. ," said Dr. Karl-Georg Altenburg, a vice president of J.P. Morgan's debt capital markets group. "The fact that this debut transaction was priced significantly inside of comparable U.S. domestic issues speaks for itself. The deal will be a liquid benchmark not only for the issuer's U.S. MTN MTN A short-form for Medium Term Note. MTN Medium term notes issued by corporations, much like shorter-term commercial paper. MTN See medium-term note (MTN). program but also for future Yankee issues by European corporations," he added. Co-managers for the issue were Citicorp Securities, Inc., CS First Boston, Deutsche Morgan Grenfell, Goldman, Sachs & Co., Merrill Lynch, and UBS UBS Union Bank of Switzerland UBS United Bible Societies UBS United Blood Services UBS United Buying Service UBS Used Bookstore UBS University Business Services UBS Universal Building Society (UK) UBS Ulaanbaatar Broadcasting System Securities. Daimler-Benz is Germany's largest industrial group, with 290,000 employees worldwide and 1995 revenues of $72 billion. Daimler-Benz North America Corporation is a regional financial center and the holding company of most of the Daimler-Benz operating entities in the Nafta region. In 1995, Daimler-Benz North America Corporation and its subsidiaries had consolidated sales of approximately $11 billion and about 16,000 employees. Daimler-Benz provides a comprehensive range of products and services primarily in the area of traffic and transportation on land and sea, by air, and in space. CONTACT: J.P. Morgan, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Elizabeth Ross, 212/648-9539 http://www.jpmorgan.com or Daimler-Benz North America Bernhard Harling, 212-909-9717 |
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