AMRO SUCCESSFULLY ENTERS U.S. COMMERCIAL PAPER MARKET STAFF BUUtTW amro scope APPOINTED MEMBER OF THE BOARD OF MANAGING DIRECTORS AUSTRALIAN COMMERCIAL DELEGATION RECEIVED DY AMRO INTERNATIONAL Dr H. Ruding: I "sasssrm amro g scope s rea< AMSTERDAM - Amro's commercial paper business in the United States is going very favourably, according to Baron R. van der Borch tot Verwolde. Amro is one of the first large European banks to have become active on the U.S. commercial paper market, which is used exclusively by large business corporations, banks, and institutional investors for the purposes of attracting and investing funds. With a current turnover of about $125 billion, this market is used to trade short-term business debt maturing within nine months; placing paper with a longer term requires registration with the Securities and Exchange Commission, a procedure which can be both complex and time-consuming. Interest rates are competitive, and businesses in a position to do so often prefer to borrow on this market than, for instance, in the form of relatively more expensive bank loans. The interest rates for commercial paper are also often lower than those on the Eurodollar market, thus enabling Amro to profitably re-invest funds attracted in this way. INTFRNATtOrtAL Amroscope International is produced specially for the personnel of Amro branches and offices abroad. Plublished every two months Editorial address: Bureau for Public Relations Herengracht 597 1017 CE Amsterdam-C. The Netherlands. Telephone: 283656 Telex: 11006 amro nl Editorial Staff: Johan B de Lange and Tonnie Marrée Editor: Joop C Twift. Articles published in Amroscope International may be reprinted with permission Amro is currently only permitted to hold a net outstanding balance of placements and redemptions totalling $300 million. The actual placement is handled by the First Boston Corporation in New York, which keeps in touch daily with the Foreign Exchange department at head office in Amsterdam. This project took considerable effort to set up, as was confirmed by Baron van der Borch, who. as assistant to Mr F. Hoogendijk (Member of the Board of Managing Directors), was responsible for the coordination. In view of the fact that this activity is in many ways comparable to bond issues, the International Division requested the New Issue and Syndicates department to take the preparatory steps. Permission from the SEC was required to gain access to this market. Potential buyers have to be able to satisfy themselves about the 'quality' of their investments, and it was important that Amro should obtain financial ratings from the two independent organizations responsible for this: Standard and Poor's Corporation (scale A3, A2. and Al) and Moody's Investor Service (scale P3. P2. and PI). The ratings in the two scales can be interpreted to mean good, better, and best, respectively; Amro was |k (From left to right): Mr C. de Koning, Mr W. Stephan and Mr R. Hamer assigned top ratings by both organizations: Al and PI. Extensive facts and figures about Amro had to be compiled for the investigation which the two rating services conducted in Amsterdam. The Financial Information and Planning Directorate undertook much of the preparatory work, a considerable task given that the American banking system differs substantially from its Dutch counterpart. Amro's move into this market should also be seen against the background of the possible expansion of our New York representative office to a full branch. AMSTERDAM - Effective 1 January 1981, Dr H. Ruding has been appointed Member of the Board of Managing Directors. Between 1965 and 1970, Dr Ruding held a position in the General Treasury of the Dutch Or H Ministry of Finance in The Hague. and was head of the International Monetary Affairs department from European Economic Community's 1969 onwards. At the same time, he Monetary Committee, was Deputy Member of the Between 1971 and 1976, Dr AMSTERDAM A commercial delegation of 23 people from the Melbourne Chamber of Commerce completed a tour of the European Economic Community countries at the beginning of June last. During its three-day stay in the Netherlands, the group was also received by Amro. In addition to numerous meetings, the programme included a canal tour of Amsterdam, a visit of the European Options Exchange (located in Amsterdam), and the Stock Market. The delegation was led by Mr R. Hamer, who is both Prime Minister and Minister of Development. Decentralisation, and Tourism of the Australian State of Victoria. Ruding was active in our bank, holding the position of General Manager of the Securities Division from 1974 onwards. In January 1977 he left for Washington D.C. as one of the Executive Directors of the International Monetary Funds. He was successor in this position to another Dutchman. Dr P. Lieftinck.

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Amro Bank - Amroscoop International | 1980 | | pagina 1