Saint Gobain Or Regulatory News (COD)

18 May 2006 08:17

Compagnie de Saint-Gobain18 May 2006 May 18, 2006 press release Saint-Gobain successfully launches a dual-tranche EUR 1.8 billion bond offering consisting of • A EUR 1.1 Bn tranche, 5-year maturity, annual coupon of 4.25% • A EUR 700 Mn tranche, 10-year maturity, annual coupon of 4.875% Compagnie de Saint-Gobain, whose long-term senior debt is rated BBB+ by Standard& Poor's and Baa1 by Moody's, set yesterday the terms of its new benchmark bondissue denominated in Euros. Despite a more challenging market than the previous week, the dual-tranche issuewas very well received by investors. Due to the quality of the investor demand,the final size of the bond issue was increased from initial €1.5 billion to €1.8billion. This transaction underlines bond investors' confidence in the creditquality of Saint-Gobain, following its acquisition of British Plaster Board(BPB). The transaction was launched following road-shows targeting European investorsin Paris, Munich, Frankfurt, and London. The company presented its financialresults and its business and financial strategy. The significant number ofinvestors attending these presentations illustrates the strong interest ofEuropean bond investors in Saint-Gobain's credit. This transaction was launched mainly to refinance part of the BPB acquisitionfacility, and lengthen the average debt maturity of the Group. BNP Paribas, Calyon, Deutsche Bank and JP Morgan acted as lead managers for thisbond issue. Investor Relations Department Tel.: Florence TRIOU-TEIXEIRA Tel.: +33 1 47 62 45 19 - mailto: florence.triou@saint-gobain.com Tel.: Alexandre ETUY Tel.: +33 1 47 62 3715 - mailto: alexandre.etuy@saint-gobain.com Fax: +33 1 47 62 50 62 This information is provided by RNS The company news service from the London Stock Exchange