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Croatia The Eu34m term loan for the City of Zagreb was signed on Wednesday July 18.

The need for emerging market issuers to appeal to both cross-over buyers and dedicated investors was highlighted this week when El Salvador and South Korea's LG Caltex were the only borrowers to tap the market. LG Caltex launched a $300m 10 year deal and El Salvador successfully launched a $353.5m 10 year transaction, but, according to some bankers, neither issue would have been successful had they not been able to appeal to both investor groups.

El Salvador * Republic of El Salvador

* Bayerische Landesbank Girozentrale Rating: Aaa/AAA/AAA

Freddie Mac is planning an issue of Freddie SUBS, its programme for subordinated debt, next week as part of its commitment to come to the market with the product twice a year. It launched the first deal in March. Price talk for the 10 year non-call five deal is around 140bp over Treasuries, in the 15bp over Libor area. The size will be $1bn-$1.5bn and the bookrunners, Credit Suisse First Boston and Lehman Brothers, are expected to price the deal in the middle of next week.

The Hellenic Republic on Monday launched an Eu800m pre-IPO zero coupon bond for Hellenic Tourist Properties (ETA) via BNP Paribas, EFG Eurobank Ergasias and National Bank of Greece. Investors will be able to exchange the bonds for shares in ETA or one of its subsidiaries if there is a flotation during the life of the deal.

JP Morgan and SG are arranging an Eu855m five year loan to support France's Havas Advertising's bid for Tempus of the UK. The facility covers the cash purchase price of Eu570m and will refinance Eu125m of the company's debt as well as provide Eu30m of transaction costs. The margin on the facility is a fat 115bp, which will please lenders that have been faced with a series of skinny margins on French acquisition facilities.

The Eu6.5bn loan supporting bidding consortium Italenergia's hostile takeover of Montedison will not be increased. Italenergia upped the offer for the remaining 48% of Montedison shares it does not own from Eu2.82 to Eu3.07 on Tuesday. The bid was initially priced at Eu5bn and an increase in the offered share price will hike the bidding up costs. However, arrangers of the Eu6.5bn loan - Deutsche Bank, SG, IntesaBci, Banca di Roma and San Paolo IMI - have confirmed that the loan funding the proposed takeover will not be increased.

Italy made an experimental first visit to the 15 year sector of the euro market this week, achieving a cost of funding well inside its BTP curve while sending a message to the market that its treasury is taking a more proactive approach to debt management. The Eu3bn transaction, led by Deutsche Bank, JP Morgan and Morgan Stanley, coincided with an announcement from the treasury that it is studying changes in its long term debt issuance strategy.

Germany’s Landesbanks were left contemplating a challenging future without the state support mechanisms of Anstaltslast and Gewährträgerhaftung this week, following an agreement between European competition commissioner Mario Monti and German state secretary for finance Caio Koch-Weser on Tuesday to phase out the two guarantees.

Italy made an experimental first visit to the 15 year sector of the euro market this week, achieving a cost of funding well inside its BTP curve while sending a message to the market that its treasury is taking a more proactive approach to debt management. The Eu3bn transaction, led by Deutsche Bank, JP Morgan and Morgan Stanley, coincided with an announcement from the treasury that it is studying changes in its long term debt issuance strategy.

Germany’s Landesbanks were left contemplating a challenging future without the state support mechanisms of Anstaltslast and Gewährträgerhaftung this week, following an agreement between European competition commissioner Mario Monti and German state secretary for finance Caio Koch-Weser on Tuesday to phase out the two guarantees.