Summary
Ameriprise Financial, Inc. (AMP) filed an 8-K on March 22, 2019, to announce the issuance of $500 million in 3.000% Senior Notes due 2022. These notes are senior unsecured obligations of the company, ranking equally with other senior unsecured debt and prior to subordinated debt. This issuance represents a capital markets activity undertaken by Ameriprise. Investors should note the specific interest rate of 3.000% and the semi-annual interest payment dates. The company retains the option to redeem these notes under certain conditions, with the redemption price calculated based on the greater of par value or a present value calculation discounted at the Treasury rate plus 15 basis points.
Key Highlights
- 1Ameriprise Financial issued $500,000,000 of 3.000% Senior Notes due 2022.
- 2The notes are senior unsecured obligations of the company.
- 3Interest rate on the notes is 3.000% per annum.
- 4Interest payments are made semi-annually on March 22 and September 22.
- 5The company has the option to redeem the notes early under specific conditions.
- 6The issuance was conducted under a previously disclosed Underwriting Agreement dated March 12, 2019.
Frequently Asked Questions
The primary purpose of this 8-K filing is to report the issuance of $500 million in 3.000% Senior Notes due 2022 by Ameriprise Financial, Inc.
The new notes carry a coupon rate of 3.000% per annum and mature in 2022.
These notes are senior unsecured obligations, meaning they rank equally with other senior unsecured indebtedness of Ameriprise Financial and are senior to any subordinated debt.
Yes, Ameriprise Financial has the option to redeem the notes, in whole or in part, prior to their maturity date under specified terms and conditions, which involve a redemption price calculated based on market rates plus a spread.