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Credit events this week, including Ford and General Motors being placed on negative outlook by S&P, and renewed pressure on telecoms spreads, failed to dent investor enthusiasm for corporate paper, allowing several issuers to increase the size of their offerings and tighten spreads through price talk. The return of the triple-Bs was particularly noteworthy since the sector had been absent from the market for several weeks. Baa1/BBB+ Birka Energi had an order book of over Eu1.6bn for a Eu500m seven year bond and US retailer Toys "R" Us, rated A3/BBB+, increased the size of its five year bond from Eu300m to Eu500m, having attracted a book of Eu1.25bn.

* Eurohypo AG Rating: Aaa/AAA

Tele Danmark has issued a ¥5 billion ($43.25 million) plain vanilla trade that pays a final coupon of 0.57%. The company has sold three euro trades so far this year, each for about euro50 million ($46.82 million). But this is the first yen trade and it will mature in December this year.

Triple-B corporate bonds made a stunning comeback this week in euros, reversing a trend that has been in place since the credit market came under pressure in the fourth quarter of last year. Swedish utility Birka Energi spearheaded the action, launching a highly successful Eu500m seven year bond via ABN Amro and Schroder Salomon Smith Barney.

Argentina exceeded all expectations yesterday (Thursday) with its blowout $4.2bn exchange swap, the success of which has opened the way for the sovereign to issue a plain vanilla global bond before the end of this quarter.

Against many bankers' predictions, the UK corporate loans market has got off to a sluggish start to 2001, with much of the real corporate action shifting into continental Europe. And there appear to be few big-ticket transactions in the pipeline in the UK, with only Corus's Eu2.4bn loan set to test market appetite for large facilities. Syndication of this deal is expected to get underway next week through arrangers ABN Amro, CSFB and HSBC.

Argentina exceeded all expectations yesterday (Thursday) with its blowout $4.2bn exchange swap, the success of which has opened the way for the sovereign to issue a plain vanilla global bond before the end of this quarter.

* Bank of Ireland Rating: Aa3/A+/AA-

The co-arranging and sub-underwriting phase of the syndication of the $1.8bn/£235m credit facility for International Power plc has been wrapped up. Mandated arrangers ABN Amro (joint bookrunner), Citibank/ SSSB (joint bookrunner), Deutsche Bank (agent bank), ING Barings and SG are discussing whether to launch a general syndication.

The scarcity factor helped Venezuela launch a successful Eu300m seven year deal this week which attracted an unexpectedly strong following from European institutional accounts. The deal, led by Credit Suisse First Boston and JP Morgan, was priced to yield 11.05% or 640bp over Bunds.

Westpac Banking Corp (Westpac) has completed its fifth Hong Kong dollar trade of the year, a HK$200 million ($25.64 million) floating rate note lead-managed by Royal Bank of Scotland. It pays a final coupon of 5.7%. The issuer used Hong Kong dollar in 15 trades last year, raising over $350 million. Chris Bannister, senior manager, funding and liquidity at Westpac, says: "Our issuance in the currency this year really depends on the markets. Most of it comes through reverse enquiry so it's difficult for us to judge how busy it will be."

Cyprus Bayerische Landesbank (facility agent), DePfa Investment Bank and NBG International Limited have closed the Eu50m five year amortising term loan for Cyprus Development Bank (CDB).