The UK Debt Management.........>

GILT AUCTION PREVIEW: The UK Debt Management Office will tap the 1.0% Apr-24

Gilt for Stg. 3.0bln on Thursday.

- BACKGROUND: There is Stg5.75bln outstanding of this issue.

- RV/HISTORY: Gilts have sold off over the last month with underperformance at

the longer end causing the curve to steepen. The 2-year gilt benchmark currently

trades at a yield of 0.814% up from 0.723% on September 3 and the 10-year trades

at 1.554% up from 1.403%. The 2s10s spread has widened to 73.8bps from 67.3bps

over the same period. The 1.0% Apr-24 Gilt was last tapped on September 6 with

Stg3.0bln sold at an average yield of 1.106%, bid-to-cover ratio of 1.92x and

0.4bps tail. The issue currently trades at a yield of 1.220%, up from a low of

1.029% on July 19 and 23.9bps inside the comparable GBP swap.

- TIMING: Results are due shortly after the auction closes at 0930GMT.