8-KOther EventsExhibits & Filings

BANK OF AMERICA CORP /DE/ 8-K Report, Corporate Update (Jun 26, 2023)

Filed June 26, 2023For Securities:BACBAC-PBBAC-PKBAC-PLBAC-PMBAC-PNBAC-PSBML-PJBAC-PEBAC-PPBAC-PQBACRPBML-PGBML-PHBML-PLBAC-POMER-PK

Summary

Bank of America Corporation (BAC) has filed an 8-K report detailing an important update regarding its outstanding debt securities and certificates of deposit that are linked to USD LIBOR ICE Swap Rate benchmarks. Following the cessation of LIBOR, interest rates and payments for these specific financial instruments will be determined by established fallback provisions after June 30, 2023. This action is a proactive measure to ensure continued functionality and clarity for these securities as the financial markets transition away from LIBOR. Investors holding these particular debt securities or certificates of deposit should pay close attention to the information released. The company has provided a press release, incorporated by reference, which lists the affected CUSIP numbers and other pertinent details. This announcement is crucial for understanding how the interest and amounts payable on these instruments will be calculated moving forward, ensuring transparency and compliance with evolving regulatory standards.

Key Highlights

  • 1BAC is announcing the transition of interest rates and payments for certain debt securities and certificates of deposit from USD LIBOR ICE Swap Rate benchmarks to established fallback provisions.
  • 2This change will take effect for affected securities after June 30, 2023.
  • 3The company has issued a press release containing a list of CUSIP numbers for the affected securities.
  • 4The press release also provides other relevant information regarding these debt instruments.
  • 5This filing is an 'Other Events' disclosure (Item 8.01) and includes a press release as an exhibit (Exhibit 99).
  • 6Investors holding these specific securities are advised to review the provided press release for detailed information.

Frequently Asked Questions

The main purpose of this 8-K filing is to inform investors that Bank of America Corporation (BAC) will be transitioning certain debt securities and certificates of deposit from using USD LIBOR ICE Swap Rate benchmarks to fallback provisions after June 30, 2023. This is a standard procedure related to the discontinuation of LIBOR.

The affected securities are those issued by BAC and BofA Finance LLC that are linked to one or more tenors of the USD LIBOR ICE Swap Rate benchmarks and are held through The Depository Trust Company. A detailed list of CUSIP numbers for these securities is available in the press release attached to the filing.

Investors holding the affected securities are strongly encouraged to carefully review the press release that is attached as Exhibit 99 to this 8-K filing. This press release contains critical information, including the specific CUSIP numbers of the securities and other details necessary to understand the upcoming changes in interest rate calculations and payment amounts.

Fallback provisions are pre-determined terms within a financial contract that specify what will happen when a benchmark rate, such as LIBOR, ceases to be available. In this case, they will dictate how the interest rates and amounts payable on the affected debt securities will be calculated after the LIBOR transition.