German govt issues 8 bln eur bond on Post, Telekom pension obligations
The German government said it has issued an 8 bln eur bond on its Deutsche Post AG and Deutsche Telekom AG pension obligations.
The proceeds from the issue will be used to pay out pensions to former Deutsche Post employees and are expected to ease financial pressure on the German government by about 5.4 bln eur.
Joint lead managers for the issue were Deutsche Bank and Morgan Stanley.
German Finance Minister Hans Eichel said in November that the government hopes to raise 5.5 bln eur from the planned sale of some pension fund receivables of former post-office monopoly Deutsche Post’s successor companies.
