Summary
CMS Energy Corporation (CMS) filed an 8-K on July 5, 2007, to report on the issuance and sale of $400 million in senior notes. Specifically, the company issued $250 million of 6.55% Senior Notes due 2017 and $150 million of Floating Rate Senior Notes due 2013. These notes were sold under an effective shelf registration statement. The proceeds from this offering, along with available cash, were used to fund CMS Energy's tender offer for all outstanding 7.5% Senior Notes due 2009.
Key Highlights
- 1CMS Energy issued $250 million in 6.55% Senior Notes due 2017.
- 2CMS Energy issued $150 million in Floating Rate Senior Notes due 2013.
- 3Total aggregate principal amount of new notes issued is $400 million.
- 4The offering was conducted under an effective Shelf Registration Statement on Form S-3.
- 5Proceeds were used to fund a tender offer for outstanding 7.5% Senior Notes due 2009.
- 6The filing includes various supplemental indentures and a legal opinion as exhibits.
- 7The report contains forward-looking statements subject to risks and uncertainties, with references to related disclosures in the company's 10-K filings.
Frequently Asked Questions
The primary purpose of this 8-K filing was to report on CMS Energy's issuance and sale of $400 million in senior notes and to file related documentation, such as supplemental indentures and a legal opinion, as exhibits.
The proceeds from the issuance of the new senior notes, combined with available cash, were used by CMS Energy to fund its tender offer for all of its outstanding 7.5% Senior Notes due 2009.
The key debt issuances are $250 million principal amount of 6.55% Senior Notes due 2017 and $150 million principal amount of Floating Rate Senior Notes due 2013.
Investors can find more information about the risks and uncertainties associated with CMS Energy's business in the 'FORWARD-LOOKING STATEMENTS AND INFORMATION' and 'RISK FACTORS' sections of their Form 10-K filings, as well as a Form 8-K filed on June 4, 2007, concerning discontinued operations.