City National Bank: oversubscribed 10-year note sale reflects company's strength, growth prospects

By Andrea Heisinger

New York, June 14 - The $150 million sale of 10-year notes from City National Bank was "significantly oversubscribed" and viewed as a successful offering by the company, a spokesman said on Thursday.

The deal of 5.375% 10-year subordinated notes (A2/BBB+/) was priced on Wednesday to yield 377.2 basis points over Treasuries.

"The strong demand reflects both City National's solid reputation for quality and strength and its excellent prospects for long-term growth," senior vice president of corporate communications Cary Walker told Prospect News.

"We were very pleased by the results of the offering," Walker stated.

Proceeds from the sale will qualify as tier 2 capital and will be used for general corporate purposes, including to pay off and reduce of short-term wholesale deposits and other borrowings.

City National Bank is the financial services unit of Los Angeles-based bank holding company City National Corp.

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