Federated Department Stores closed its private label credit-card deal last week, which was upsized to $400 million from $300 million.

Federated issued off its Prime Receivables Master Trust, which includes retail accounts from Macy's, Bloomingdale's, Lazarus, Stern's, Bon Marche, and Goldsmith's.

It is said that the underwriter, Credit Suisse First Boston, accelerated the pricing of the deal to take advantage of a cheaper cost of funding, as Treasurys rallied.

"It was cheaper to the tune of 15 to 20 basis points," said a source close to the transaction.

Federated sold $400 million in five-year, fixed-rate, A-class certificates, and retained the B- and C-pieces of the deal. The A-class priced at five-year swaps plus 30 basis points, in line with talk.

Banc of America Securities and Chase Securities were co-managers on the deal.

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