Marks & Spencer, a U.K. retailer, plans to continually assess a recent GBP400 million (USD738 million) fixed-rate issue, with a view to entering an interest rate swap. Sue Harris, group treasurer in London, declined to speculate on the market conditions that might lead to the retailer entering such a swap. But the treasury's strategy is to match its funding with its liability, which in this case is the company's defined benefit pension scheme, explained Harris. It is part of the treasury's best practice policy to constantly monitor its ratio of fixed to floating rate liabilities, she added, declining to specify the ratio the treasury maintains.
HSBC and Morgan Stanley were the bookrunners on the bond, which is a 10-year note paying a fixed coupon of 5.625%.
