Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
July cash and conversion loan



Download PDFDownload PDF

TREASURER

EMBARGO NOT FOR RELEASE BEFORE 6.00PM 11 JULY 1977

PRESS RELEASE NO. 74

STATEMENT BY THE TREASURER, THE RT HON PHILLIP LYNCH, M.P. JULY CASH AND CONVERSION LOAN

The Treasurer, Mr Phillip Lynch, today announced terms for a

Commonwealth cash and conversion loan.

Mr Lyiich said that the cash loan would open on Friday 15 July

and close not later than Friday 22 July.

Three securities would be offered in the loan, with yields

in line with those prevailing in the market.

The securities to be issued, all at par, arei-. 9.7 per cent maturing in February 1979

. 10.2 per cent maturing in July 1982

. 10.4 per cent maturing in May 1987.

Mr Lynch said that the short-term February 1979 stock carried

a coupon rate Ο.1 per cent lower than that on the corresponding

stock issued in the May loa n. The shading of the yield was

consistent with the adjustment to Treasury Note yields on 1 July.

Yields on the 1982 and 1987 securities to be offered are unchanged

from those applying to the corresponding stocks issued in the May

loan

2

As with the Hay loan, a longer term stock was not being issued

on this occasion.

Mr Lynch said a concurrent conversion offer would be made

to holders of $603 million of Commonwealth securities which

mature on 15 July; this offer will close on Friday 29 July.

The issues which mature on 15 July are a 5 per cent (rebate

series) security issued in July and October 1967, a 5*9 per

cent security issued in February 1970, and an 8.5 per cent

security issued in May and June 1975·

Holders of the maturing securities would also have the option

of converting into Australian Savings Bonds, Series 8, which

will remain on issue until further notice.

Terms and conditions Of the securities offered in the cash

and conversion loan are set out fully in prospectuses now

being circulated to banks and stockbrokers.

CANBERRA ACT ti July 1977