The Federal National Mortgage Association priced its $700 million seven-year debentures offering yesterday, a day earlier than expected.

"It was ready to go so we went with it," said Gene Eisman, Fannie Mae's public relations director.

The agency originally planned to price the offering today, he said.

The noncallable 7.05% debentures were priced at 99.90625 to yield 7.067% or 18 basis points over seven-year Treasuries, Mr. Eisman said.

They will mature on Dec. 10, 1998. Settlement is Dec. 10 and the first interest payment is scheduled for June 10, 1992.

The agency will use proceeds partly to redeem $550 million of 11.75% debentures maturing Dec. 10, 1991. The rest will be added to working capital and used for general corporate purposes. The offering is part of Fannie Mae's scheduled funding activities, he said.

"It's very routine," Mr. Eisman said. "There's nothing out of the ordinary about it."

The offering was made through Fannie Mae and assisted by a nationwide selling group of securities dealers. The debentures were expected to be free to trade today at 8:20 a.m., eastern standard time, he said.

Also yesterday, General Electric Credit Corp, issued $250 million of 7-7/8% subordinated notes due 2006. The noncallable notes were priced at 99.725 to yield 7.907% or 60 basis points over 10-year Treasuries. Kidder, Peabody & Co. lead managed the offering. Both Moody's and Standard & Poor's rate the debt triple-A.

Also yesterday, Union Electric Co. issued $125 million of 8.75% first mortgage bonds due 2021. Noncallable for 10 years, the bonds were priced at 99.68 to yield 8.780% or 86 basis points over comparable Treasuries. Moody's rates the offering A1, while Standard & Poor's rates it A-plus. Salomon Brothers Inc. managed the offering.

Four more utility deals -- most if not all of which will be competitively bid for -- are expected to follow. Wisconsin Electric Power Co. is expected to issue $100 million of first mortgage bonds due 2026, and Alabama Power Co. is expected to issue $150 million of first mortgage bonds due 2021 tommorrow.

Gulp Power Co. is expected to make a $50 million first mortgage bond offering due 2021 on Dec. 4. Also on that day, GTE North Inc. may issue 40-year debentures. Jill Cummings, a GTE North spokeswoman, could not immediately confirm the offering.

In secondary trading yesterday, high-grade corporates moved up slightly in line with Treasuries in quiet activity. The high-yield market was also quiet and ended flat, traders said.

As for yesterday's rating activity, Standard & Poor's upgraded Central Louisiana Electric Co.'s senior secured debt to A form A-minus, and senior unsecured debt and preferred stock to A-minus from BBB-plus, according to a Standard & Poor's release. The agency also affirmed the company's A-1 rated commercial paper program. Approximately $395.7 million of debt is outstanding.

"The upgrade reflects S&P's belief that management will continue to maintain the company's current financial profile despite what have historically been viewed as weak economic and regulatory environments," the release says.

Moody's lowered Arvin Industries Inc.'s notes and debentures to Ba1 from Baa3 and Arvin's convertible exchangeable preferred stock to Ba3 from Ba1.

Moody also downgraded Arvin International (U.K.) Ltd.'s guaranteed notes to Ba1 from Baa3, and lowered Arvin Overseas Finance B.V.'s medium-term notes to Ba1 from Baa3.

Standard & Poor's affirmed Primerica Finance Corp.'s two commercial paper programs at A1-plus after a Nov. 27 announcement that Margaretten & co., Primerica Finance Corp.'s parent, had been sold. The agency based the rating for each program solely on an irrevocable letter of credit. A letter of credit from Algemene Bank Nederland N.V. supports one program, while one from National Westminster Bank, PLC supports the other.

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