Hana Bank issues $1 billion three-year bond

Hana Bank, South Korea's fourth biggest lender, raised $1 billion through the sale of three-year government-guaranteed bonds yesterday. It is the first Korean bank to tap the $100 billion debt support programme set up by the government last October.

The bonds pay a coupon of 6.50% and were reoffered at 99.555 for a yield of 6.666%. That translated into a yield spread of 490bp over mid-swaps, or 542.6bp over three-year US Treasury yields.