BOC 40 billion RMB convertible bond

The Bank of China intends to issue 40 billion convertible bonds, each face value of 100 yuan, a total of 400 million, priority placing day, online and net purchase date for June 2. The issuer of this issue transfers the debt to the issuer in addition to the controlling shareholder of the original a-share priority placements, after the priority of placing the balance part of the net to the institutional investors and online pricing of the distribution of the combination of the way, if the balance is underwritten by the underwriting group.　　The original A-share shareholders prior to the allocation of the balance of the net distribution and online distribution of the default amount of distribution is 50%:50%. The number of convertible bonds listed by the original A-share shareholder other than the controlling shareholder is the proportion of the holding issuer's shares which is registered after the closing of the equity Registration day, and the ratio of 3.75 yuan convertible bonds per share, and the number of 1000 yuan/hand converted into hands, each 1 hand for a purchase unit Priority subscription through the SSE system, the placing code is "764988", placing the short name "Bank of debt."　　The original A-share shareholder net priority placing transfer debt can be subscribed to less than 1 parts of the hand according to the precise algorithm principle. General public investors through the SSE trading system to participate in the allocation of priority after the balance of the purchase, the code for the "783988", the purchase is referred to as "BOC issued debt."　　The minimum subscription unit for each account is 1 hands (10 tickets), each 1 hand for a purchase unit, 1 units required for each purchase is 1000 yuan. The issuer will deal with the listing procedure as soon as possible after the issuance of this issue, and the listing code of the bank's transfer debt is "113001". This issue of the convertible bond period of six years, that is, from June 2, 2010 to June 2, 2016. The coupon rates for the first year to the sixth year are 0.5%, 0.8%, 1.1%, 1.4%, 1.7% and 2% respectively. The initial conversion of the convertible bond price of 4.02 yuan/share.　　According to the terms, on June 3, 2010 (dividend dividends on the registration day), the convertible price of the bond is adjusted from 4.02 yuan/share to 3.88 yuan/share. BOC has previously said that the issuance of the convertible bonds to raise funds, after deducting the issue fee will be used to replenish capital and operating capital. At the end of the first quarter, BOC's capital adequacy ratio was 11.9% and the core capital adequacy ratio was 9.11%. Guotai Financial analyst Wu Yonggang said that in a shares issued 40 billion yuan convertible bonds, even if all to share, supplementary capital adequacy ratio is only 0.75%. BOC also has to raise 40 billion to 50 billion yuan in H shares.