Banco de Galicia of Argentina places $200 million U.S. issue.

Banco de Galicia y Buenos Aires S.A., said Friday that it had successfully placed a 10-year, $200 million Yankee issue.

The bonds have a 9% coupon and were priced to yield 9.07%, representing a 365-basis-point spread over 10-year U.S. Treasuries.

Goldman, Sachs & Co. was the lead manager of the offering. Merrill Lynch & Co. was co-manager.

The notes are rated BB- and B1 by Standard & Poor's and Moody's Investors Service.

Another First for the Bank

The ratings are the same as the Argentine government's and are the highest ratings obtainable by an Argentine borrower.

Banco de Galicia is the first financial institution from Argentina to issue a Securities and Exchange Commission registered bond in the United States.

The bank this year also became the first privately-owned Latin American commercial bank to offer stock registered with the SEC.

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