TELECOM ITALIA ISSUES $3.5 BILLION BONDED DEBT EARMARKED FOR U INVESTORS.(Telecom Italia S.p.A.)(United States of America)(Brief Article)

Tech Europe, October, 2004

Acting though its subsidiary Telecom Italia Capita, Telecom Italia proceeded on September 29 to issue a $3.5 billion (Euro 2.8 million) bonded debt earmarked for US investors. The offering is part of an operation to refinance a debt reaching maturity and diversify the investors' base. The offering is split into three tranches equal to 5, 10 and 30 years.

Worth $1.25 billion the 5-year tranche is combined with a 4% annual coupon, the 10-year tranche ($1.25 billion) with a 4.95% coupon and the 30-year one ($1 billion) with a 6% coupon.