Tender for re-opening of 3-Year Government Bonds under Institutional Bond Issuance Programme to be held on March 6
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The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA), as representative of the Hong Kong Special Administrative Region Government (HKSAR Government), announces today (February 25) that a tender of 2-Year Government Bonds (Bonds) through the re-opening of existing 3-Year Government Bond issue 03GB1505 under the Institutional Bond Issuance Programme will be held on March 6 (Wednesday), for settlement on March 7 (Thursday).

     An additional amount of HK$3.5 billion of the outstanding 3-Year Bonds (issue no. 03GB1505) will be on offer as 2-Year Bonds. The Bonds will mature on May 11, 2015 and will carry interest at the rate of 0.46% per annum payable semi-annually in arrears. The Bonds Fixings on February 25, 2013 is 100.35 with an annualised yield of 0.301%.

     Under the Institutional Bond Issuance Programme, tender is open only to Recognised Dealers which are appointed as Primary Dealers. Any tender applications for the Bonds must be submitted through a Primary Dealer on the current published list, which can be obtained from the Government Bond Programme's website at www.hkgb.gov.hk. Each tender must be for an amount of HK$50,000 or integral multiples thereof.

     Tender results will be published on the HKMA's website, the Government Bond Programme's website, the Reuters screen (HKGBINDEX), and Bloomberg (GBHK <GO>) not later than 3pm on the tender day.
 
HKSAR Government Institutional Bond Issuance Programme tender information
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     Tender information of re-opening of 3-Year Government Bonds under the Institutional Bond Issuance Programme:

Issue Number         :   03GB1505

Stock code           :   4213 (HKGB 0.46 1505)

Tender Date and Time :   March 6, 2013 (Wednesday)
                         9.30am to 10.30am

Issue and            :   March 7, 2013 (Thursday)
Settlement Date
for tender
amount

Amount on Offer      :   HK$3.5 billion

Maturity             :   Two years

Remaining Maturity   :   Approximately 2.18 years

Maturity Date        :   May 11, 2015

Interest Rate        :   0.46% p.a. payable
                         semi-annually in arrears

Interest Payment Dates : May 10, 2013
                         November 11, 2013
                         May 12, 2014
                         November 10, 2014
                         May 11, 2015
                         
Method of Tender    :  Competitive tender

Tender Amount      :  Each competitive tender must
                      be for an amount of HK$50,000
                      or integral multiples thereof.
                      Any tender applications for
                      the Bonds must be submitted
                      through a Primary Dealer on
                      the current published list.
                      The accrued interest to be
                      paid by successful bidders on
                      the issue date (March 7, 2013)
                      for the tender amount is
                      HK$72.47 per minimum
                      denomination of HK$50,000.
                      (The accrued interest to be
                      paid for tender amount
                      exceeding HK$50,000 may not be
                      exactly equal to the figures
                      calculated from the accrued
                      interest per minimum
                      denomination of HK$50,000 due
                      to rounding).

Other details       :  Please see Information
                       Memorandum available on the
                       Government Bond Programme's
                       website at www.hkgb.gov.hk or
                       approach Primary Dealers.

Expected commencement: The tender amount is fully
date of dealing on     fungible with the existing
the Stock Exchange     03GB1505 (Stock code: 4213)  
of Hong Kong Limited   listed on the Stock Exchange
                       of Hong Kong.

Price/Yield Table of the re-opening Government Bonds at tender for reference* only:

Yield-to-      Price      Yield-to-      Price
Maturity                  Maturity
 -0.699        102.56       0.301        100.35
 -0.649        102.44       0.351        100.24
 -0.599        102.33       0.401        100.13
 -0.549        102.22       0.451        100.02
 -0.499        102.11       0.501         99.91
 -0.449        102.00       0.551         99.80
 -0.399        101.89       0.601         99.70
 -0.349        101.77       0.651         99.59
 -0.299        101.66       0.701         99.48
 -0.249        101.55       0.751         99.37
 -0.199        101.44       0.801         99.27
 -0.149        101.33       0.851         99.16
 -0.099        101.22       0.901         99.05
 -0.049        101.11       0.951         98.95
  0.001        101.00       1.001         98.84
  0.051        100.89       1.051         98.73
  0.101        100.78       1.101         98.63
  0.151        100.67       1.151         98.52
  0.201        100.56       1.201         98.42
  0.251        100.45       1.251         98.31
  0.301        100.35       1.301         98.21

* Disclaimer

     The information provided here is for reference only. Although extreme care has been taken to ensure that the information provided is accurate and up-to-date, the HKMA does not warrant that all, or any part of, the information provided is accurate in all respects. You are encouraged to conduct your own enquiries to verify any particular piece of information provided on it. The HKMA shall not be liable for any loss or damage suffered as a result of any use or reliance on any of the information provided here.

Ends/Monday, February 25, 2013
Issued at HKT 18:02

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