Suppose the quote for a five-year swap with semiannual payments is 8.50-8.60 percent in dollar against dollar LIBOR (London Interbank Offered Rate) flat. It means O the swap bank will pay semiannual fixed-rate dollar payments of 8.60 percent against receiving six-month dollar LIBOR The swap bank stands ready to pay 8.60 percent against receiving dollar LIBOR on five-year loans the swap bank will receive semiannual fixed-rate dollar payments of 8.50 percent against paying six-month dollar LIBOR O if the swap bank is successful in getting counterparties to both legs of the swap at these prices, the bank will have an annual profit of ten basis points