8-KOther EventsExhibits & Filings

FEDEX CORP 8-K Report, Corporate Update (Jan 16, 2019)

Filed January 16, 2019For Securities:FDX

Summary

FedEx Corporation (FDX) filed a Current Report on Form 8-K on January 16, 2019, to announce the issuance of $500 million in aggregate principal amount of 3.400% Notes due 2022. This issuance is being filed to incorporate by reference the exhibits into their existing Form S-3 registration statement. The report primarily serves to provide documentation and legal compliance related to this debt financing. From an investor's perspective, this filing indicates that FedEx is accessing the debt markets to raise capital. While the specific use of proceeds is not detailed in this particular 8-K, such debt issuances are typically used for general corporate purposes, which could include funding operations, capital expenditures, acquisitions, or refinancing existing debt. The coupon rate of 3.400% for notes maturing in 2022 provides a benchmark for the cost of debt at that time for FedEx.

Key Highlights

  • 1FedEx Corp. issued $500 million in 3.400% Notes due 2022.
  • 2The filing is for the purpose of incorporating exhibits into a Form S-3 registration statement.
  • 3The event date for the issuance was January 15, 2019.
  • 4The report includes the Underwriting Agreement and a Supplemental Indenture.
  • 5Legal opinions from external counsel and internal general counsel are attached as exhibits.
  • 6The issuance represents a debt financing activity by FedEx.

Frequently Asked Questions

The primary purpose of this 8-K filing is to officially report the issuance of $500 million in 3.400% Notes due 2022 and to incorporate the relevant exhibits, such as the underwriting agreement and indenture, into FedEx's existing Form S-3 registration statement. This is a legal and procedural step to ensure the debt issuance is properly documented and registered.

The notes have a coupon rate of 3.400% and mature in 2022.

This specific 8-K filing does not detail the intended use of the $500 million raised. Such filings primarily focus on the debt issuance event itself and its legal documentation. Companies typically disclose the use of proceeds in their prospectus supplements or other financial reports.

The underwriters for this issuance include BNP Paribas Securities Corp., Citigroup Global Markets Inc., Deutsche Bank Securities Inc., ING Financial Markets LLC, and Wells Fargo Securities, LLC, acting as representatives for the several underwriters.