8-KMaterial AgreementsExhibits & Filings

AMERIPRISE FINANCIAL INC 8-K Report, Material Agreement (Mar 11, 2010)

Filed March 11, 2010For Securities:AMP

Summary

Ameriprise Financial, Inc. (AMP) filed an 8-K report on March 11, 2010, to announce a significant financing transaction. The company has issued $750 million in aggregate principal amount of 5.30% Senior Notes due 2020. This issuance was made under an Underwriting Agreement dated March 8, 2010, with several prominent underwriters, including Goldman, Sachs & Co., Credit Suisse Securities (USA) LLC, and Morgan Stanley & Co. Incorporated. The Notes are senior unsecured obligations and rank equally with other senior unsecured indebtedness of the company, but senior to any subordinated debt. Interest payments are set at 5.30% annually, payable semi-annually. The company retains the option to redeem the notes under specific conditions outlined in the filing. This transaction provides Ameriprise Financial with additional capital, the terms of which are detailed in the accompanying prospectus supplement and prospectus.

Key Highlights

  • 1Ameriprise Financial issued $750 million in 5.30% Senior Notes due 2020.
  • 2The notes are senior unsecured obligations of the company.
  • 3The Underwriting Agreement was entered into on March 8, 2010, with a syndicate of underwriters.
  • 4Interest on the notes is 5.30% per annum, payable semi-annually.
  • 5The company has the option to redeem the notes under specified terms.
  • 6The transaction was facilitated by a prospectus supplement filed on March 10, 2010.

Frequently Asked Questions

The primary purpose of this 8-K filing is to announce Ameriprise Financial's entry into a material definitive agreement, specifically the issuance of $750 million in 5.30% Senior Notes due 2020.

The Senior Notes have a principal amount of $750 million, a coupon rate of 5.30% per annum, and mature in 2020. Interest is payable semi-annually on March 15 and September 15, commencing September 15, 2010. The notes are senior unsecured obligations of the company.

The underwriters for this debt issuance include Goldman, Sachs & Co., Credit Suisse Securities (USA) LLC, and Morgan Stanley & Co. Incorporated, acting as representatives for the several underwriters.

Yes, the company has the option to redeem the notes, in whole or in part, at its discretion. The redemption price would be based on the greater of 100% of the principal amount or a calculated present value of remaining payments, plus accrued interest, discounted at the Treasury rate plus 25 basis points.