Frankfurt (ots) - KfW issued today under its Euro Benchmark
Programme a EUR 5 billion global bond maturing on April 10, 2015.
More than one third of the demand came from central banks. This trend
was already observed in recent Euro transactions. This has been the
highest central bank participation in a Euro Benchmark issue since
2008. The overall international demand amounted to 67%, demonstrating
investors focus on German credit quality.

The coupon of this large-volume global bond was fixed at 2.25%
p.a. Its re-offer price is 99.484, corresponding to a yield pick-up
of plus 25.6 basis points over the German government bond OBL 157 due
April 10, 2015. The lead managers for the Euro Benchmark II/2010 are
Barclays Capital, DZ Bank AG and JPMorgan. The bond received a
triple-A rating from Fitch Ratings, Moody's and Standard & Poor's as
all KfW bonds.

The EUR 5 billion transaction was announced to the market on
Monday afternoon, and the order book opened on Tuesday morning with
an initial price guidance of mid-swaps flat to plus 2 basis points
area. The order book grew steadily and within six hours only reached
a volume of EUR 6.2 billion. Price guidance was revised to mid-swaps
flat and the size was set at EUR 5 billion.

There were approximately 250 investors involved in this
transaction, representing an extremely well dispersed placement.

The breakdown of the order book by sector is as follows:

Breakdown by investor type:

Banks: 49%
Central Banks: 34%
Funds: 12%
Insurance: 2%
Corporations: 2%
Other: 1%

Geographical breakdown:

Europe: 77%
Germany: 33%
UK: 16%
Switzerland: 5%
France: 5%
Asia: 23%

KfW has so far this year raised approx. EUR 35 billion (46.7%) of
its announced EUR 70 - 75 billion funding requirement.

This press release is not an offer of securities for sale in the
United States. Securities may not be offered or sold in the United
States absent registration or an exemption from registration. KfW has
registered the securities that are the subject of this press release
for sale in the United States. The offering of the securities in the
United States will be made by means of a prospectus that may be
obtained from KfW and will contain detailed information about KfW and
its management, financial statements and information about the
Federal Republic of Germany.

Term Sheet KfW Euro Benchmark II/2010
EUR 5 billion - 2.25% - 2010 / 2015

ISIN: DE000A1DAMJ6
Issuer: KfW
Guarantor: Federal Republic of Germany
Rating: AAA (Fitch Ratings) / Aaa (Moody's)/AAA (Standard & Poor's)
Size: EUR 5,000,000,000
Maturity: 28 April 2010 - 10 April 2015
Coupon: 2.25% p.a.
Re-offer Price: 99.484
Yield: 2.362% p.a.
Format: Global
Listing: Frankfurt

Lead Managers (3):

Barclays Capital
DZ Bank AG
JPMorgan

Senior Co-Lead Managers (5):

Commerzbank
DekaBank Deutsche Girozentrale
Deutsche Bank
LBBW
UniCredit Bank

Co-Lead Managers (8):

Banca Akros SpA - Gruppo BBPM
Bank of America / Merrill Lynch
Danske Bank A/S
Crédit Agricole CIB
Morgan Stanley
The Royal Bank of Scotland
Société Générale Corporate & Investment Banking
UBS Investment Bank

Selling Group:

BNP Paribas Fortis
ING
Natixis
Nomura
Nordea Bank Danmark A/S
Royal Bank of Canada CM
Santander
Mitsubishi UFG

Originaltext: KfW
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Contact:
Nathalie Drücke
KfW, Palmengartenstraße 5-9, 60325 Frankfurt
Kommunikation (KOM)
Tel. 069 7431-2098, Fax: 069 7431-3266,
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