Summary
D. R. Horton, Inc. (DHI) filed an 8-K report on June 3, 2005, to announce a significant financial action: the redemption of its 9 3/8% Senior Notes due 2009. These notes, originally issued by Schuler Homes, Inc. and assumed by DHI through a merger, are being called for full redemption on July 15, 2005. The company is exercising its right to retire this debt ahead of its maturity date. This redemption represents a substantial financial commitment, with DHI expecting to pay approximately $246 million for the principal amount of the notes, plus an additional $11 million in accrued interest. Investors holding these specific notes will receive notice of the redemption procedures and are due to be paid on the specified redemption date. This action indicates a proactive approach by D. R. Horton to manage its debt obligations.
Key Highlights
- 1D. R. Horton, Inc. (DHI) is calling its 9 3/8% Senior Notes due 2009 for full redemption.
- 2The redemption date is scheduled for July 15, 2005.
- 3The notes were originally issued by Schuler Homes, Inc. and assumed by DHI in February 2002.
- 4The aggregate redemption price for the principal is approximately $246 million.
- 5An additional $11 million in accrued interest will be paid to noteholders.
- 6Interest will be paid to holders of record as of July 1, 2005.
- 7A press release announcing the redemption is included as an exhibit.