8-KOther EventsExhibits & Filings

BANK OF AMERICA CORP /DE/ 8-K Report, Corporate Update (Nov 23, 2005)

Filed November 23, 2005For Securities:BACBAC-PBBAC-PKBAC-PLBAC-PMBAC-PNBAC-PSBML-PJBAC-PEBAC-PPBAC-PQBACRPBML-PGBML-PHBML-PLBAC-POMER-PK

Summary

This 8-K filing from Bank of America Corporation (BAC) on November 23, 2005, primarily announces the approval and terms of a significant public offering of senior notes. The company authorized the issuance of $500 million in One-Month LIBOR Floating Rate Senior Notes and $1.5 billion in Three-Month LIBOR Floating Rate Senior Notes, both due in November 2008. These offerings were established through underwriting agreements with various underwriters and are being conducted under the company's existing shelf registration statement. This action indicates Bank of America's proactive approach to managing its capital structure and funding needs during this period. The floating rate nature of the notes suggests a strategy to manage interest rate risk in a dynamic economic environment. Investors can view this as a standard debt issuance aimed at raising capital, with the specifics of the notes and their sale detailed in supplementary prospectus documents.

Key Highlights

  • 1Bank of America Corporation approved a public offering of senior notes.
  • 2The offering includes $500 million in One-Month LIBOR Floating Rate Senior Notes due November 2008.
  • 3The offering also includes $1.5 billion in Three-Month LIBOR Floating Rate Senior Notes due November 2008.
  • 4Underwriting agreements were entered into with various underwriters for these notes.
  • 5The notes were issued under the company's Form S-3 shelf registration statement (Registration No. 333-112708).
  • 6The total aggregate initial offering price registered under the shelf was up to $30 billion for various unsecured debt securities and equity.
  • 7The filing includes the underwriting agreements and forms of the notes as exhibits.

Frequently Asked Questions

Bank of America Corporation is offering a total of $2 billion in senior notes, comprised of $500 million in One-Month LIBOR Floating Rate Senior Notes and $1.5 billion in Three-Month LIBOR Floating Rate Senior Notes.

Both the One-Month LIBOR Floating Rate Senior Notes and the Three-Month LIBOR Floating Rate Senior Notes have a maturity date of November 2008.

These senior notes are being issued under Bank of America's existing shelf registration statement on Form S-3, specifically Registration No. 333-112708, which allows for the delayed offering of various debt securities and equity.

It means the interest rate paid on these notes will fluctuate based on the London Interbank Offered Rate (LIBOR) for the respective one-month or three-month period. This implies that the interest expense for Bank of America, and the yield for investors, will change over the life of the notes depending on market conditions.