Press Releases

National Bank of Canada announces $350 million offering of medium term notes

Montreal, 15 December 2004 -

National Bank of Canada (the “Bank”) announced today the offering of Series 3 Medium Term Notes for gross proceeds of up to $350 million. The net proceeds from the issuance of the Notes will be added to the general funds of the Bank and will be used for general banking purposes. The offering is scheduled to close on December 20, 2004.

The Bank will issue CAD$350 million of 4.926% Series 3 Notes, which will be dated December 20, 2004 and will mature on December 22, 2019. Interest on the Notes will be paid semi-annually at 4.926% per annum until December 22, 2014 and thereafter will be equal to the 90-day Bankers' Acceptance Rate plus 1% and will be payable quarterly.

The Series 3 Notes have been assigned a rating of A (low) with a stable trend from Dominion Bond Rating Services Limited, A- from Standard & Poor's Rating Service and A2 with a positive outlook from Moody's Investors Service, Inc.

The offering of the Series 3 Notes is made pursuant to the Short Form Base Shelf Prospectus dated March 4, 2004 and a pricing supplement relating to the Series 3 Notes which will be filed by the Bank with the securities regulatory authorities in all provinces of Canada. National Bank Financial Inc. acted as lead agent for the offering and CIBC World Markets Inc. acted as co-lead agent. The other members of the syndicate included RBC Capital Markets, Scotia Capital Inc., BMO Nesbitt Burns Inc., TD Securities Inc., Merrill Lynch Canada Inc., Laurentian Bank Securities Inc., HSBC Securities (Canada) Inc. and Casgrain and Company Limited.

About the National Bank of Canada
National Bank of Canada is an integrated group which provides comprehensive financial services to consumers, small and medium-sized enterprises and large corporations in its core market, while offering specialized services to its clients elsewhere in the world. The National Bank offers a full array of banking services, including retail, corporate and investment banking. It is an active player on international capital markets and, through its subsidiaries, is involved in securities brokerage, insurance and wealth management as well as mutual fund and retirement plan management. The National Bank has assets close to $89 billion and, together with its subsidiaries, employs nearly 16,500 people. The Bank's securities are listed on the Toronto Stock Exchange (NA:TSX). For more information, visit the Bank's website at

Information: (The telephone number provided below is for the exclusive use of journalists and other media representatives.)

Denis Dubé
Manager, Public Relations Department
National Bank of Canada
Tel.: (514) 394-8644