British Steel PLC - Re Issue of Bonds

RNS 3292d
BRITISH STEEL PLC
22nd April 1998 


Issue of #200,000,000 Fixed Rate Bonds due 2008 

British Steel plc announces the issue of #200,000,000 Fixed Rate Bonds due 
2008 (the "Bonds"). The bookrunner to the issue is HSBC Markets. Barclays de 
Zoete Wedd Limited, Cazenove & Co., Deutche Bank AG London, Dresdner 
Kleinwort Benson, Greenwich NatWest and SBC Warburg Dillon Read have been 
appointed as co-lead managers for the Bonds. The listing agent for the issue 
is Midland Bank plc.

The Bonds have been priced to yield a margin of 95 basis points over the 
gross redemption yield of the 7.25 per cent. Treasury Stock due 2007. 
Interest on the Bonds will be payable annually in arrear on 20 May in each 
year. The Bonds will be redeemed at par on 20 May 2008.

Standard & Poor's Rating Services has confirmed its intention to assign a 
rating of A- to the Bonds.

The proceeds of the issue will be used for general corporate purposes.

Application will be made for the Bonds to be admitted to the Official List 
of the London Stock Exchange. It is expected that official dealings will 
commence on 21 May 1998. Prior to official listing, dealings will be 
permitted by the London Stock Exchange in accordance with its rules.

In connection with the issue, Midland Bank plc may over-allot or effect 
transactions which stabilise the market price of the Bonds at levels which 
might otherwise not prevail. Such stabilising, if commenced, may be 
discontinued at any time. HSBC Markets Limited is the Appointed Representative 
of Midland Bank plc.

END


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