8-KRegulation FD

FEDEX CORP 8-K Report, Regulation FD Disclosure (Apr 19, 2021)

Filed April 19, 2021For Securities:FDX

Summary

FedEx Corporation (FDX) filed an 8-K on April 19, 2021, to announce the commencement of an offering for euro-denominated notes. The company may also initiate a separate offering for U.S. dollar-denominated notes. The primary purpose of these offerings is to refinance and redeem a significant portion of its outstanding debt, including notes due in 2022, 2023, 2024, 2025, and 2027, across both euro and U.S. dollar denominations. This strategic move aims to optimize the company's capital structure by replacing existing debt with new financing, potentially at more favorable terms. Any remaining proceeds from these offerings will be used for general corporate purposes. The filing also includes standard forward-looking statements and disclaimers regarding the offering, emphasizing that this report is not an offer to sell or a solicitation to buy securities, nor does it constitute a notice of redemption.

Key Highlights

  • 1FedEx commenced an offering of euro-denominated notes.
  • 2A separate offering of U.S. dollar-denominated notes may also be initiated.
  • 3Proceeds will be used to redeem a substantial amount of outstanding notes across multiple maturities and currencies.
  • 4The redemption targets notes due in 2022, 2023, 2024, 2025, and 2027.
  • 5The company aims to refinance existing debt obligations.
  • 6Any residual proceeds will be allocated for general corporate purposes.
  • 7The filing includes forward-looking statements and disclaimers regarding the offering and redemption process.

Frequently Asked Questions

The main purpose of this 8-K filing is to inform investors that FedEx Corporation has commenced an offering of euro-denominated notes and may also offer U.S. dollar-denominated notes. The proceeds from these offerings are intended to redeem a significant amount of the company's outstanding debt.

FedEx intends to redeem all outstanding notes of the following series: 3.400% notes due 2022, 0.700% notes due 2022, 2.625% notes due 2022, 1.000% notes due 2023, 2.700% notes due 2023, 4.000% notes due 2024, 3.200% notes due 2025, 3.800% notes due 2025, and 3.300% notes due 2027.

Any net proceeds from the euro-denominated and potential U.S. dollar-denominated note offerings that are not used to redeem the specified outstanding notes will be used by FedEx for general corporate purposes.

No, this filing is not an offer to sell or a solicitation of an offer to buy any securities. It also does not constitute a notice of redemption for any outstanding notes. The company states that no assurance is given that a notice of redemption will be issued or that any notes will be redeemed.