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France Télécom is convinced that the investor confidence it has enjoyed in the capital markets has spread to the loan market. And to prove its new standing in the financial markets, the heavily indebted company will refinance a Eu5bn 364 day revolving credit facility with a Eu5bn three year facility instead of exercising a one year term out option.

Freddie Mac had to postpone its EuReference Note issue, scheduled in its calendar for this week, after admitting that it may need to restate its earnings for 2002, 2001 and possibly 2000. The company said that its management expects GAAP and operating earnings to increase materially as a result of the adjustments.

This week there was due to have been an issue of Eu3.5bn or more at five years in the shape of a EuroReference Note from Freddie Mac. However, the borrower decided to delay the offering as restated earnings figures are due to be released next Monday. In order that investors are not asked to pledge funds before information material to Freddie Mac is divulged, it is postponing launch until probably the middle of next week, said Louise Herrle, the head of the EuroReference Note programme.

Freddie Mac had to postpone its EuReference Note issue, scheduled in its calendar for this week, after admitting that it may need to restate its earnings for 2002, 2001 and possibly 2000. The company said that its management expects GAAP and operating earnings to increase materially as a result of the adjustments.

Rating: Aaa/AAA/AAA Amount: Eu750m Landesschatzanweisung series 98

The French syndicated loan market will receive an early volume boost in 2003. This is because French heavyweight France Télécom is coming back. This is good news for the 18 banks that led the 2002 transaction and benefited from mandated lead arranger league table status in 2002.

Banks thought to be backing the two sponsors in the final round of bidding in the auction of casino group Gala Group are CSFB, CIBC, JP Morgan, Royal Bank of Scotland and UBS Warburg. The rival bidders are Permira and Candover with Cinven.

Mandated arrangers ABN Amro, Dexia, HVB Group and WestLB this week launched general syndication of the long awaited $450m 5-1/2 year term loan for Gazprom. A packed bank presentation was held in London yesterday (Thursday), underlining the confidence lenders have in the Russian market.

General Electric (GE) sold a $5bn 10 year global bond via Citigroup/SSB, Lehman Brothers and Morgan Stanley this week which aroused much speculation. Dealers wondered if the notes were to be swapped to floating rate or not. Clearly, if a swap of a transaction as big as this were to be executed it would have a big impact even upon a interest rate swap market as liquid as dollars. The financing was designed to term out CP which had been bought at the end of last year and then passed on to General Electric Capital Corporation (GECC) to shore up its triple-A credit rating, the company explained.

General Electric Company proved the jumbo global bond structure is still alive and kicking this week by issuing a blowout $5bn 10 year offering.

Rating: Aaa/AAA Amount: $5bn

Sole mandated arranger HVB this week launched the debt facilities backing the Carlyle-led buy-out of car parts manufacturer Edscha into an initial stage of sub-underwriting. A small number of banks have been asked to take Eu90m to be brought down to Eu45m for a 140bp underwriting fee.