#2: The 4.75% Dec-30 gilt......>

GILT AUCTION PREVIEW: #2: The 4.75% Dec-30 gilt will also be on offer today for

GBP2.00bln.

- Like the 1.50% Jul-26 gilt, the 4.75% Dec-30 gilt is currently ineligible for

APF purchases but will be again after today's auction. The 4.75% Dec-30 was last

on offer in April and saw strong demand with a bid-to-cover ratio of 3.85x and

tail of 0.2bp. Demand has been strong for all gilts around the 10-year area this

fiscal year - all auctions of the 0.875% Oct-29, the 0.375% Oct-30 and the 4.25%

Jun-32 have also seen strong bid-to-cover ratios of 2.75-3.19x and tails between

0.1-0.3bp. And we have of course had the record GBP12bln launch of the 0.375%

Oct-30 via syndication.

RESULTS: Auction results will be released shortly after the auction closes at

11:30BST with a further GBP500mln nominal available through the PAOF to

successful bidders.