Issue of Equity

Lloyds TSB Group PLC
08 November 2006

Lloyds TSB issue US$1,000 million American Depositary Shares representing Fixed/
Floating Rate Non-cumulative Callable Preference Shares


Lloyds TSB Group plc announced today that it has priced an issue of US$1,000
million American Depositary Shares representing fixed/floating rate
non-cumulative callable preference shares (the "preference shares").  The
proceeds of the issue will be used for general business purposes.

The preference shares are perpetual but callable after 10 years, with no step-up
in dividend at that point, and have been priced with a dividend of 6.267% and
issued at par.  This represents a margin of 157 basis points over the yield at
the time of pricing on the 4.875% US Treasury bond due 15 August 2016.
Dividends, if paid, will be paid half-yearly in arrear until 14 November 2016.
The preference shares are callable at par on 14 November 2016, and on every
subsequent tenth anniversary dividend date, and if not called, the dividend will
be set at a floating rate equal to 103.5 basis points over three month US dollar
LIBOR.

No application has been or will be made to list the preference shares on the
London Stock Exchange or any other stock exchange.


This announcement is not an offer for sale of securities in the United States.
The preference shares have not been and will not be registered under the US
Securities Act of 1933, as amended (the "Securities Act") and may not be offered
or sold in the United States absent registration or an exemption from
registration under the Securities Act.


Enquiries:
Michael Oliver
Director of Investor Relations
Lloyds TSB Group plc
020 7356 2167
E-mail: [e-mail]

Sarah Pollard
Senior Manager, Investor Relations
Lloyds TSB Group plc
020 7356 1571
E-mail: [e-mail]

Mary Walsh
Director of Corporate Relations
Lloyds TSB Group plc
020 7356 2121
E-mail: [e-mail]


                      This information is provided by RNS
            The company news service from the London Stock Exchange