Summary
Ameriprise Financial, Inc. (AMP) has filed an 8-K report detailing a significant debt offering. On May 27, 2009, the company entered into an Underwriting Agreement to issue $200 million in aggregate principal amount of 7.75% Senior Notes due 2039. This issuance, which could increase to $230 million if underwriters exercise their over-allotment option, aims to raise capital for general corporate purposes. The notes are senior unsecured obligations, ranking equally with other senior unsecured indebtedness and senior to subordinated debt. The offering is conducted through a prospectus supplement filed with the SEC.
Key Highlights
- 1Ameriprise Financial entered into an Underwriting Agreement on May 27, 2009.
- 2The agreement facilitates the offering and sale of $200,000,000 in principal amount of 7.75% Senior Notes due 2039.
- 3An option exists for underwriters to purchase an additional $30,000,000 in principal amount, bringing the potential total to $230,000,000.
- 4The Notes are senior unsecured obligations of the Company.
- 5Interest on the Notes accrues at 7.75% per annum and is payable quarterly.
- 6The Company has the option to redeem the Notes on or after June 15, 2014.
- 7The filing also includes the Company's computation of consolidated ratios of earnings to fixed charges.