New York, December 30, 2004 - Answering to the declining volume of the past three years, the U.S. syndicated loan market roared back with a record-breaking $1.3 trillion in issuance, according to Loan Pricing Corporation, a New York City-based firm that analyzes the global bank loan and high yield bond markets.

Leveraged lending (loans to companies rated below investment grade) increased by 46% to $480 billion, shattering any record LPC has documented since the late 80's. 2003's leveraged volume of $329 billion was the closest year to nip at 2004's heels. In the same leveraged universe, lending by non-bank investors (i.e. hedge funds, mutual funds, insurance companies) tallied a record $221 of overall issuance, nearly doubling the previous record of $118 billion set in 2003.

Thank the LBO and M&A binge for the leveraged market's new heights. LBO-related loans topped $50 billion, a number not reached since the go-go Eighties. Corporate M&A more than doubled 2003's $72 billion - and seems poised to explode into 2005. And what of investment grade borrowing in 2004? Issuance by companies rated BBB-/Baa3 or better totaled $612 billion, up 46% from 2003, but well short of 2001's record $690 billion. A late entrance to the merger party kept the investment grade market from hitting new highs.

Once again, J.P. Morgan was the leading bank loan lender in 2004, arranging $410.35 billion. Bank of America was second in overall lending, with $272.67 billion, followed by Citigroup ($200.65 billion), Wachovia ($85.43 billion) and Deutsche ($45.72 billion).

Rank	Bank Holding Company	Lead Arranger Volume	# of deals	Market Share
1	J.P. Morgan	$410,347,355,216	996	30%
2	Bank of America	272,665,698,701	999	20%
3	Citigroup	200,649,904,048	357	15%
4	Wachovia Securities	85,426,669,287	397	6%
5	Deutsche Bank	45,716,495,801	131	3%
6	Credit Suisse First Boston	45,402,468,262	145	3%
7	Barclays Bank Plc	24,542,400,000	55	2%
8	Wells Fargo & Co.	22,279,768,338	182	2%
9	Lehman Brothers	20,619,491,514	60	2%
10	Goldman Sachs & Co.	15,814,233,798	72	1%

Leveraged Lending
J.P. Morgan edged out Bank of America for the top spot in LPC's 2004 Leveraged League Table, posting $98.6 billion. BofA (which held top spot in 2003 leveraged position) finished second in terms of leveraged lending with $84.55 billion, followed by Citigroup ($44.03 billion), Deutsche ($38.22 billion) and Credit Suisse First Boston ($35.1 billion). Leveraged loans, which often back M&A transactions and leveraged buyouts, have been prized by lenders because of the hefty interest rates and fees often paid by borrowers on those loans and related business.

Rank	Bank Holding Company	Lead Arranger Volume	# of deals	Market Share
1	J.P. Morgan	98,595,395,245	450	21%
2	Bank of America	84,545,216,946	538	18%
3	Citigroup	44,033,054,048	137	9%
4	Deutsche Bank	38,221,245,801	113	8%
5	Credit Suisse First Boston	35,097,468,262	131	7%
6	Wachovia Securities	34,653,889,687	235	7%
7	Goldman Sachs & Co.	13,754,733,798	68	3%
8	GE Capital Corp.	11,940,513,431	111	2%
9	Lehman Brothers	11,675,311,514	52	2%
10	Wells Fargo & Co.	11,590,217,338	122	2%

About Loan Pricing Corporation
Since 1985, Loan Pricing Corporation (LPC)'s DealScan database has captured detailed terms and conditions on over 147,000 loan and high yield bond transactions. It delivers its products, which include real-time news, data and analytics via LoanConnector, an Internet-based product distribution platform. Gold Sheets, LPC's flagship print publication, is the industry's leading weekly publication of loan news, data and analysis.

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