8-KMaterial Agreements

CINCINNATI FINANCIAL CORP 8-K Report, Material Agreement (Jan 12, 2005)

Filed January 12, 2005For Securities:CINF

Summary

Cincinnati Financial Corporation (CINF) has filed an 8-K report detailing a significant material definitive agreement entered into on January 7, 2005. The company has contracted with Messer Construction Co. for design-build services related to a substantial expansion of its corporate headquarters. This project involves the construction of a new seven-story office building and a three-story underground parking garage, alongside campus site improvements. This expansion represents a notable capital investment, with management estimating the total cost to be approximately $100 million. The project is set to commence in the first quarter of 2005, with an anticipated completion date in September 2008. Investors should note that this is a cost-plus contract, meaning the final costs are subject to project design finalization. CINF has confirmed no other material relationships exist between the company and Messer Construction Co.

Key Highlights

  • 1CINF entered into a material definitive agreement for its headquarters expansion project on January 7, 2005.
  • 2The agreement is with Messer Construction Co. for design-build services.
  • 3The expansion includes a seven-story office building and a three-story underground garage.
  • 4The estimated total cost for the project is approximately $100 million.
  • 5Construction is scheduled to begin in Q1 2005, with completion targeted for September 2008.
  • 6The contract is a cost-plus agreement, and final costs depend on design finalization.
  • 7There is no other material relationship between CINF and Messer Construction Co.

Frequently Asked Questions

This 8-K filing announces a material definitive agreement entered into by Cincinnati Financial Corporation for its headquarters expansion project, providing details about the scope, contractor, estimated costs, and timeline.

Management estimates the total cost for the headquarters expansion project, including the new office building, underground garage, and site improvements, to be approximately $100 million.

Construction is expected to begin in the first quarter of 2005, with an estimated completion date of September 2008.

CINF is using a cost-plus contract with Messer Construction Co. This means the final cost will be the actual cost of the work plus an agreed-upon profit margin for the contractor. The exact final cost is not yet determined as the project design is still being finalized.