#2: The 4.50% Sep-34 gilt......>

GILT AUCTION PREVIEW: #2: The 4.50% Sep-34 gilt will be on offer for GBP2.00bln

today, concluding issuance for the week.

- The gilt was first launched via syndication in the depths of the global

financial crisis in June 2009 with a syndicated size of GBP7.0bln. This remains

the fourth largest ever syndicated gilt sale. However, this morning's auction

will be the first time that the gilt has been sold by the DMO since October

2015. Other similar maturity high coupon gilts issued this fiscal year have been

the 4.75% Dec-30 gilt (auctioned twice) and the 4.25% Jun-32 gilt (auctioned

once). These three actions have seen strong demand with bid-to-covers ranging

from 2.99-3.85x and all have had tails of 0.2bp. Again, after yesterday's weak

auctions this auction will be closely watched.

RESULTS: Results will be announced shortly after the auction closes at 11:30BST

with a further GBP500mln available to successful bidders via the PAOF.