8-KOther EventsExhibits & Filings

ALLSTATE CORP 8-K Report, Corporate Update (Jun 10, 2019)

Filed June 10, 2019For Securities:ALLALL-PJALL-PBALL-PHALL-PI

Summary

The Allstate Corporation (ALL) has filed an 8-K report detailing the successful closing of a public offering for $500 million in aggregate principal amount of 3.850% Senior Notes due 2049. This offering, which was registered under a Form S-3, was executed on June 10, 2019, following an Underwriting Agreement entered into on June 5, 2019, with major underwriters including BofA Securities, Goldman Sachs, J.P. Morgan, and Morgan Stanley. These Senior Notes are senior unsecured obligations of Allstate, ranking equally with its other unsecured and unsubordinated debt. The notes carry a fixed annual interest rate of 3.850%, payable semi-annually in arrears on February 10 and August 10 each year, with the first payment due February 10, 2020. The maturity date for these notes is August 10, 2049. The filing includes several key documents related to this debt issuance, such as the Underwriting Agreement and the Twenty-Third Supplemental Indenture.

Key Highlights

  • 1Allstate Corporation successfully closed a public offering of $500 million in Senior Notes due 2049.
  • 2The Senior Notes carry a fixed interest rate of 3.850% per annum.
  • 3Interest payments will be made semi-annually, on February 10 and August 10, starting February 10, 2020.
  • 4The maturity date for these notes is August 10, 2049.
  • 5The issuance was managed by prominent underwriters, including BofA Securities, Goldman Sachs, J.P. Morgan, and Morgan Stanley.
  • 6The Senior Notes are senior unsecured obligations and rank equally with other outstanding unsecured and unsubordinated indebtedness of the company.
  • 7The offering was registered under Allstate's existing Form S-3 registration statement.

Frequently Asked Questions

This 8-K filing primarily announces the closing of The Allstate Corporation's public offering of $500 million in 3.850% Senior Notes due 2049. It provides details about the terms of the notes, the underwriting agreement, and related legal documentation.

The Senior Notes have an aggregate principal amount of $500 million, a fixed interest rate of 3.850% per annum, semi-annual interest payments on February 10 and August 10 (first payment on February 10, 2020), and mature on August 10, 2049. They are senior unsecured obligations of Allstate.

The issuance adds $500 million in long-term debt to Allstate's balance sheet. As these are senior unsecured notes, they rank alongside other existing unsecured and unsubordinated debt. Investors should consider how this increased leverage aligns with the company's overall capital management strategy and its ability to service this new debt obligation.

The offering was underwritten by a syndicate of major financial institutions, including BofA Securities, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, and Morgan Stanley & Co. LLC, acting as representatives of the several underwriters.