As the old saying goes, you wait hours for one bus to come and then two come along at the same time. And that has been the case in Korea recently, where two banks launched the first two deals backed by future credit-card receivables to come out of the country. The transactions represent a landmark for Korea, not only because they are the first in the card asset class, but also the first to securitize future receivables of any kind.

The KEB Card Company, a wholly-owned subsidiary of Korea Exchange Bank, launched a domestic issue worth W336.6 billion ($280 million) and Kookmin Card, part of Kookmin Bank, will shortly follow suit with a W525 billion deal. Salomon Smith Barney was brought in to arrange the KEB deal, with Kookmin acting as joint lead manager on its own deal alongside Bank One.

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