Company A and B have been offered the following rates per annum on a $20 million 5-year loan Fixed rate Floating rate Company A 3.0% Libor +0.1% Company B 3.9% Libor +0.4% Company A requires a floating-rate loan; company B requires a fixed rate loan. Design a swap that will net an intermediary 0.1% per annum and that will appear equally attractive to both companies. Show the swap graphically.

Company A and B have been offered the following rates per annum on a $20 million 5-year loan - Company A requires a floating-rate loan; company B requires a fixed rate loan. Design a swap that will net an intermediary 0.1% per annum and that will appear equally attractive to both companies. Show the swap graphically