Patrice Ract Madoux
Président de la CADES

Newsletter
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The transactions related to the assumption of debt called for under the Act of August 13, 2004 were completed at the end of 2007. The total debt assumed by CADES now amounts to 107.6 billion euros.

CRDS revenue collected in 2007 totaled 5.7 billion euros. It was used to:

• First, pay down the debt. The year’s result of 2.6 billion euros was integrally used to redeem the debt, in accordance with the target amortization for 2007 set forth in Article 4 of the Social Security Financing Act for 2008.
• Second, make an interest payment of 3.1 billion euros. The increase in interest paid is attributable to the combined effect of the rise in the debt repayable and the rise in the average cost of debt financing.

CADES continued to carry out its mission with vigor last year, and from inception through December 31, 2007 had amortized 34.7 billion euros of debt. It still has 72.9 billion to redeem.

The year 2007 was notable for the diversity of medium- and long-term EMTN issuances.

For 2008, CADES has launched a 9 billion euro financing program that is just as varied, placing it among Europe ’s most solid and professional benchmark issuers of debt.

The first major issue for CADES in 2008 (and also its first issue since the financial crisis broke out in the summer of 2007), for 2 billion dollars over three years, was very favorably received by investors. CADES then launched a AUD 300 million issue and a USD 1 billion issue due in 5 years, both of which proved highly successful.

The CADES signature has become synonymous with quality and transparency, which are particularly important considerations in periods of financial crisis.