Morgan Stanley top convertibles underwriter year to date

* Convertibles issuance totals $22.44 billion year to date

* CSFB top convertibles underwriter in April

* Convertibles issuance $2.62 billion in April

New York, April 30 - Morgan Stanley retained its position as number one underwriter of convertible bonds so far this year after a month which saw $2.62 billion of new deals, the smallest level of issuance in a year and a half, according to data compiled by Prospect News.

Morgan Stanley has now underwritten $3.65 billion of convertibles in 28 deals so far this year.

Credit Suisse First Boston was top underwriter for the month of April although its total was just $400 million in two deals.

Volume overall for April was only $2.62 billion, the smallest figure since September 2002's $0.96 billion. However future exercises of greenshoes could take April's total above December 2002's $2.68 billion.

The Prospect News figures cover dollar-denominated deals offered in the United States as registered transactions or under Rule 144A.

The trend is similar if investment bank equity-linked deals are excluded. April saw $2.46 billion of deals, the smallest since September 2002's $0.91 billion but just below December 2002's $2.51 billion.

Morgan Stanley remains on top year to date with CSFB number one for April.

Whether investment bank equity-linked offerings are included or not, Morgan Stanley moved up into the top spot in March, in part thanks to its role as joint bookrunner with Merrill Lynch & Co. on the biggest deal for March and the quarter, the $1.1 billion perpetual preferred transaction for Freeport-McMoRan Copper & Gold Inc.

With April's poor showing, convertible issuance is no longer outpacing 2003's level of business. At the same point in 2003, the total was $25.78 billion, $3.3 billion better than this year's $22.44 billion.

Year to date 2004. including investment bank exchangeables

2003 Comparables

	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1.	Morgan Stanley	3.652	28	16.27%	5	2.837	14	11.01%
2.	Citigroup	2.798	19	12.47%	3	3.611	15	14.01%
3.	Lehman	2.441	14	10.88%	10	0.675	5	2.62%
4.	Merrill Lynch	1.966	12	8.76%	1	3.823	18	14.83%
5.	Deutsche Bank	1.934	10	8.62%	8	1.840	6	7.14%
6.	Goldman Sachs	1.920	27	8.56%	4	3.142	19	12.19%
7.	UBS	1.775	6	7.91%	9	1.462	7	5.67%
8.	JPMorgan	1.448	10	6.45%	2	3.785	9	14.68%
9.	Banc of America	1.399	10	6.23%	6	2.548	10	9.88%
10.	CSFB	1.354	7	6.04%	7	1.893	7	7.34%
	Total	22.439	152	25.778	78
	Average size:	0.148	0.330
April 2004, including investment bank exchangeables
					2003 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1.	CSFB	0.400	2	15.30%	6	0.812	2	9.59%
2.	JPMorgan	0.367	4	14.06%	7	0.695	2	8.20%
3.	Jefferies	0.300	1	11.47%	-	-	-	-
4.	Citigroup	0.299	5	11.42%	5	0.831	3	9.82%
5.	UBS	0.250	2	9.56%	4	0.936	4	11.05%
6.	Goldman Sachs	0.207	6	7.92%	3	1.074	5	12.68%
7.	Morgan Stanley	0.179	3	6.85%	2	1.664	8	19.65%
8.	Banc of America	0.175	2	6.69%	-	-	-	-
9.	Deutsche Bank	0.150	1	5.74%	8	0.502	3	5.93%
10.	SG Cowen	0.125	1	4.78%	-	-	-	-
	Total	2.615	33	8.468	27
	Average size:	0.079	0.314
Year to date 2004. excluding investment bank exchangeables
					2003 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1.	Morgan Stanley	3.444	17	16.68%	5	2.714	10	11.34%
2.	Lehman	2.273	6	11.01%	9	0.629	3	2.63%
3.	Deutsche Bank	1.934	10	9.36%	10	0.620	4	2.59%
4.	Citigroup	1.875	12	9.08%	3	3.520	12	14.71%
5.	UBS	1.775	6	8.59%	8	1.462	7	6.11%
6.	Merrill Lynch	1.763	9	8.54%	2	3.649	13	15.25%
7.	Goldman Sachs	1.759	9	8.52%	4	2.986	6	12.48%
8.	JPMorgan	1.448	10	7.01%	1	3.785	9	15.82%
9.	Banc of America	1.399	10	6.77%	6	2.548	10	10.65%
10.	CSFB	1.354	7	6.56%	7	1.893	7	7.91%
	Total	20.652	84	23.930	45
	Average size:	0.246	0.532
March 2004, excluding investment bank exchangeables
					2003 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1.	CSFB	0.400	2	16.29%	5	0.812	2	9.99%
2.	JPMorgan	0.367	4	14.97%	7	0.695	2	8.54%
3.	Jefferies	0.300	1	12.22%	-	-	-	-
4.	UBS	0.250	2	10.18%	4	0.936	4	11.51%
5.	Citigroup	0.240	2	9.78%	6	0.776	2	9.54%
6.	Banc of America	0.175	2	7.13%	-	-	-	-
7.	Morgan Stanley	0.172	2	7.03%	2	1.565	5	19.24%
8.	Deutsche Bank	0.150	1	6.11%	8	0.502	3	6.18%
9.	Goldman Sachs	0.150	1	6.11%	3	1.000	1	12.30%
10.	SG Cowen	0.125	1	5.09%
	Total	2.455	15	8.133	14
	Average size:	0.164	0.581
Prospect News Convertibles Underwriter Rankings

Criteria

* The tables include all dollar-denominated offerings sold in the United States as public or Rule 144A deals reported to Prospect News.

* Offerings are included in the time period in which they price.

* Amounts are based on the total sales price (face amount multiplied by the offering price). The full amount is credited to the bookrunner (or lead manager if no bookrunners). For multiple bookrunners (or lead managers), the total value is divided equally among all the firms.

* Each tranche is counted as a separate deal.

* Bonds are included that convert into the issuer's or another company's stock or the cash equivalent; bonds that convert into other bonds are excluded.

* Units made up of a bond and stock are included; units made up of a bond and warrants are excluded.

* Preferred issues are included using the same criteria as for bonds.

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