CUSIP Requests Signal Jump in US and International Corporate Debt Issuance
CUSIP Global Services Report Shows Requests for New US Corporate Security Identifiers Increased by 33 Percent over 2009 Figures; International Debt Issuance up 90.1 Percent
NEW YORK, Aug. 16 /PRNewswire/ -- CUSIP Global Services (CGS) today announced the release of its CUSIP Issuance Trends Report for July 2010. The report, which tracks the issuance of new security identifiers as an early indicator of new capital creation, suggests the trend of increased corporate debt issuance will continue through the next several weeks.
According to the report, new international debt issuance increased 90.1 percent year-over-year with 787 new issuer requests through July. In the US, a total of 10,868 new CUSIP ID requests were made for corporate securities through July, an increase of 33 percent over the same period last year. CUSIP ID requests for US municipal debt are up 5 percent year-over-year. Meanwhile fewer identifiers were requested this month for certificates of deposit (both long-term and short-term) suggesting reluctance among issuers to make new offerings amidst uncertainty about future yields.
"The trend of increased offerings by corporate debt issuers over the past several weeks looks like it will continue over the next 30-90 days, based on the number of requests for new security identifiers CUSIP Global Services has received this month," said Richard Peterson, Director, S&P Valuation and Risk Strategies. "Corporations are clearly taking advantage of access to inexpensive credit to drive a surge in new capital markets activity."
Following is a breakdown of new CUSIP identifier requests by asset class year-to-date through July 2010: |
||||
Asset Class |
2010 ytd |
2009 ytd |
YOY Change |
|
Int'l Debt(1) |
787 |
414 |
90.1% |
|
US Corporates |
10868 |
8173 |
33.0% |
|
Int'l Equity(2) |
2086 |
1657 |
25.9% |
|
Private Placement |
1216 |
1123 |
8.3% |
|
Municipals |
8639 |
8252 |
4.7% |
|
Short Term Note |
936 |
916 |
2.2% |
|
Long Term Note |
448 |
482 |
-7.1% |
|
CDs > 1 yr Maturity |
5742 |
8171 |
-29.7% |
|
CDs < 1 yr Maturity |
2108 |
5147 |
-59.0% |
|
(1) "International" Debt refers to market requests for CUSIP International Numbers ("CINS") for non-U.S. debt offerings (2) "International" Equity refers to market requests for CUSIP International Numbers ("CINS") for non-U.S. equity offerings |
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The CUSIP Global Services trends report is issued to the marketplace on a monthly basis. For more information, please visit www.cusip.com.
About CUSIP Global Services
For 40 years CUSIP Global Services has provided a unique common language for identifying financial instruments across institutions, exchanges and nations, enabling financial services firms to benefit from improved operating efficiencies and substantially reduced administrative costs. CUSIP Global Services is operated by the CUSIP Service Bureau (CSB). CSB is managed on behalf of the American Bankers Association by Standard & Poor's. For more information, visit www.cusip.com.
About The American Bankers Association
The American Bankers Association represents banks of all sizes and charters and is the voice for the nation's $13 trillion banking industry and its 2 million employees. Learn more at www.aba.com.
SOURCE CUSIP Global Services
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