NORD/LB launches its second Aircraft Pfandbrief (Covered Bond)

NORD/LB Norddeutsche Landesbank launched its second Aircraft Pfand-brief Benchmark with a volume of EUR 500 million, rated “A2” by Moody’s. Lead Managers were Commerzbank, DZ Bank, Société Générale, UniCredit Bank and NORD/LB. The Pfandbrief has a 5-year maturity and a spread of 22 bp over mid-swap. Books opened on Wednesday morning and closed at noon.

The spread was 33 bp tighter than the inaugural 5 year transaction launched in July 2012. As an internationally leading aircraft financer, NORD/LB has played a leading role in the introduction of Aircraft Pfandbriefe as a new asset class under the German Pfandbrief Act.

"Aircraft financing is a sustainably lucrative and fast-growing business field for NORD/LB", says Dr. Hinrich Holm, member of the NORD/LB Managing Board and responsible for the Bank's capital market business activities. NORD/LB has decades of experience and extensive expertise in the sphere of aircraft financing and is a renowned and experienced issuer of Pfand-briefe. "With our second Aircraft Pfandbrief we are further diversifying our funding base and enhance our competitive edge in terms of competence in this asset class", adds Holm. NORD /LB is the world's first issuer with two Aircraft Pfandbriefe in benchmark format with a total outstanding volume of EUR 1 billion.

NORD/LB's Aircraft Pfandbrief carries a coupon of 1.125 percent, settlement day February 19, 2014, ISIN XS1033923142.

Further information:
>NORD/LB aircraft covered bond new issue investor information


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