Tender for the Fifth Issue of Mass Transit Railway Corporation Notes

The Hong Kong Monetary Authority (HKMA) announced today (Thursday) the tender for the fifth issue of Mass Transit Railway Corporation (MTRC) Notes to be held on 8 July 1998.

An amount of HK$500 million in MTRC Notes will be offered for tender next Wednesday for settlement on Thursday (9 July 1998). The 3-year Notes, which mature on 9 July 2001, will carry interest at the fixed rate of 10.50% per annum payable semi-annually in arrears. Terms and conditions of the issue are described fully in the Information Memorandum.

The HK$500 million MTRC Notes issue is the fifth tranche of the MTRC Note Issuance Programme in which the HKMA acts as the arranger, custodian, agent and operator. The MTRC Notes, which are denominated in HK$50,000, will be cleared through the Central Moneymarkets Unit (CMU) and will qualify as eligible securities for repo under the Liquidity Adjustment Facility operated by the HKMA.

MTRC will use the proceeds for general working capital, debt refinancing and other corporate requirements.

Members of the public who wish to tender for the Notes may do so through any of the Market Makers or Recognized dealers on the published list which can be obtained from the HKMA at 30/F, 3 Garden Road, Hong Kong (or telephone 2878 8150). Each tender must be for an amount of HK$50,000 or integral multiple thereof.

Hong Kong Monetary Authority
2 July 1998

MASS TRANSIT RAILWAY CORPORATION
NOTE ISSUANCE PROGRAMME
TENDER INFORMATION

_______________________________________________________________

Tender information for the fifth issue of Mass Transit Railway Corporation Issuance Programme : -

Issue Number              : M301

Tender Date and Time      : Wednesday 8 July 1998,
                            9:30 a.m. to 10:30 a.m.

Issue and Settlement Date : Thursday 9 July 1998

Amount on Offer           : HK$500 million

Maturity                  : Three years

Maturity Date             : 9 July 2001

Interest Rate             : 10.50% per annum

Interest Payment Dates    : 11 January 1999 9 July 1999,
                            10 January 2000 10 July 2000,
                            9 January 2001 9 July 2001,

Tender Amount             : Each tender must be for an
                            amount of HK$50,000 or
                            integral multiples thereof.
                            Members of the public who
                            wish to tender for the Notes
                            may approach Market Makers or
                            Recognized Dealers on the
                            published list

Other details             : Please see Information
                            Memorandum published or 
                            approach Market Makers or 
                            Recognized Dealers

Hong Kong Monetary Authority
2 July 1998