KB KookminBank raised US$500 million through an offering of the U.S.dollar-denominated bonds.

The bank said July 26 that the three-year bonds were priced witha coupon of 1.724% per year, equivalent to 87.5 basis points over three-yearTreasury bonds, or 0.66% over three-month U.S. dollar LIBOR.

The sale attracted US$1.6 billion worth of orders from 90institutional investors. The notes were issued under the bank'sUS$8 billion global medium-term note program. Proceeds from the issuance willbe used to pay off debts.

BOA Merrill Lynch, Credit Agricole CIB, HSBC, Mizuho and KBInvestment & Securities served as book runners for the offering.

KB Kookmin Bank is a unit of