• EIB launched and priced in a short timeframe a carefully prepared transaction
• The orderbook was of very high quality
• The diverse, granular orderbook achieved wide distribution, with 32% placed into Asia

The European Investment Bank today priced a EUR1bn tap of its 3.625% Euro Area Reference Note (EARN) due on 15th October 2011, bringing the total deal size to EUR8bn. The bond priced at a spread of mid-swaps flat. This pricing is equivalent to 96.6bps over the OBL 3.5% due October 2011. The tap is fungible immediately with the outstanding issue.

The transaction was launched and priced within a short timeframe. Guidance of mid-swaps flat was announced to the market at just before 11:30 on Tuesday 25th November, with books closing within two hours at almost EUR 1.2bn.

29 orders were in the final book, which was of very high quality. Demand came from a solid range of investors, encompassing central banks, asset managers and bank treasuries from across Europe and Asia.

Bookrunners for the transaction were Citi, HSBC and Société Générale.

 Distribution

Summary terms and conditions for the new bond issue

BACKGROUND INFORMATION

The European Investment Bank, based in Luxembourg, was set up in 1958 under the Treaty of Rome. Owned by the European Union Member States, the EIB is the EU’s long-term lending institution, financing projects that promote European economic development and integration. Besides supporting projects in the Member States, its main lending priorities include financing investments in future Member States of the EU and EU Partner countries. The EIB operates on a non-profit maximising basis and lends at close to the cost of borrowing. The Bank’s consistent AAA rating is underpinned by firm shareholder support, a strong capital base, exceptional asset quality, conservative risk management and a sound funding strategy. In 2007, EIB raised around EUR 55 billion.