Summary
Dominion Resources, Inc. (now Dominion Energy, Inc.) filed an 8-K on May 26, 2016, to report on the successful completion of the optional remarketing of $550 million aggregate principal amount of its 2013 Series B 1.18% remarketable subordinated notes due 2019. This event involved a reset of the interest rate on these notes from 1.18% to 2.962% per annum. The company did not receive any proceeds from this remarketing; instead, the funds were used to purchase a portfolio of treasury securities maturing shortly thereafter.
Key Highlights
- 1Completion of the optional remarketing of $550 million in subordinated notes.
- 2The interest rate on the Series B Notes was reset from 1.18% to 2.962% per annum.
- 3Dominion Resources, Inc. did not receive any proceeds from the remarketing.
- 4Proceeds from the remarketing were used to acquire treasury securities maturing on June 23, 2016.
- 5The company expects to use funds from the maturing treasury securities to settle purchase contracts related to its 2013 Series B Equity Units on July 1, 2016.
- 6The Series B Notes were redesignated as 2.962% Junior Subordinated Notes due 2019 following the remarketing.