Bank of China (03988) issues 40 billion yuan total loss-absorbing capacity non-capital bonds.

Bank of China (03988) announced that, with the approval of relevant regulatory authorities, it will issue total loss absorbing capacity non-capital bonds in the national interbank bond market on September 3, 2026, and complete the issuance by September 7, 2026. The total scale of this bond issuance is RMB 40 billion, including two varieties: Variety One has an issuance scale of RMB 20 billion, with a fixed interest rate of 1.69% for a term of 4 years, and includes a conditional issuer call option at the end of the 3rd year; Variety Two has an issuance scale of RMB 20 billion, with a fixed interest rate of 1.79% for a term of 6 years, and includes a conditional issuer call option at the end of the 5th year. The funds raised from this bond issuance, after deducting issuance costs, will be used to enhance the bank's total loss absorbing capacity in accordance with applicable laws and the approval of regulatory authorities.