CADES USD 2 nd Eurodollar due July 2011.

PRESS RELEASE

Caisse d’Amortissement de la Dette Sociale ( CADES ), (Aaa/AAA/AAA) successfully launched and priced a US$2 billion Eurobond benchmark due 15 july 2011 . This is the agency’s third US$ issue this year following US$ 2 billion 3 year issue in February and a US$ 1 billion 5 year issue in April.

4%, due july 15, 2011 priced at 99.764% offering a spread of 104.7bps above 2year Treasuries, this corresponds to mid-swap minus 26bp.

Higher yields over the last few sessions combined with stable market conditions and an absence of competitive supply on Monday 16th June allowed the syndicates to announce the transaction early on that day, with bookbuilding at an indicated spread guidance of minus 26 bps area versus mid-swaps. After an hour, the books were standing in excess of $1 billion, the bookbuilding process being driven by major central banks and high quality real money investors.

Books closed at 2:30 London time in excess of $ 2.2 billion. The transaction was priced shortly thereafter, in line with the initial guidance at mid swaps minus 26 bps.

The rapid intra-day execution and the exceptional quality of the order book are a confirmation of the ongoing interest for CADES’ credit as well as the recognition for the issuer’s strategic funding approach by responding quickly to investor’s needs. Under its 2008 funding programme, CADES has already raised € 3.5 billion including today’s transaction.

CADES mandated NOMURA, Credit Suisse and GOLDMAN SACHS to lead manage this new issue.

Distribution Stats :

By Region	By Investor Type
57% Europe	83% Central Banks/ Official Institutions
20% Asia	13% Insurance /Funds
7% Africa	4% Asset manager/Banks
6% Middle East
5% USA
5% Latin America

CADES: A BENCHMARK ISSUER IN THE FINANCIAL MARKETS

Created in 1996, CADES is an administrative public agency placed directly under the joint authority of the French Economic and Finance and Social Security Ministries

Its mission is to pay down the debt accumulated by the general Social Security system between 1994 and 2006, a total of 107.7 billion euros, via a balanced financial structure and drawing primarily on a dedicated and exclusive resource (the CRDS tax).

A quasi-sovereign issuer, CADES enjoys benchmark status in the international capital markets. It has been awarded the highest ratings by the principal international rating agencies (AAA/A1+, Aaa/P1, AAA/F1+), and a 0% Basel ratio weighting, which makes CADES one of the five largest non-government issuers in Europe .

CADES
LIGHTEN THE DEBT – BRIGHTEN THE FUTURE