8-KOther EventsExhibits & Filings

KINDER MORGAN, INC. 8-K Report, Corporate Update (Mar 12, 2015)

Filed March 12, 2015For Securities:KMIEP-PC

Summary

Kinder Morgan, Inc. (KMI) filed an 8-K on March 11, 2015, reporting on a significant debt issuance that occurred on March 9, 2015. The company successfully issued €1.25 billion in aggregate principal amount of senior notes, split between €750 million of 1.500% Senior Notes due 2022 and €500 million of 2.250% Senior Notes due 2027. This debt issuance, conducted under a shelf registration statement, is a key event for investors to note as it impacts KMI's capital structure and future interest expenses. The proceeds are intended to bolster the company's financial flexibility, and the notes are guaranteed by a cross-guarantee agreement, providing an additional layer of security. Investors should monitor KMI's debt levels and interest coverage ratios following this transaction.

Key Highlights

  • 1Kinder Morgan (KMI) issued €1.25 billion in aggregate principal amount of senior notes on March 9, 2015.
  • 2The issuance includes €750 million of 1.500% Senior Notes due 2022.
  • 3The issuance also includes €500 million of 2.250% Senior Notes due 2027.
  • 4The notes are guaranteed by a Cross Guarantee Agreement, detailed in KMI's 2014 10-K.
  • 5The debt offering was made under a shelf registration statement (Form S-3, File No. 333-200421).
  • 6The Underwriting Agreement contains standard representations, warranties, indemnification, and contribution provisions.
  • 7The 2022 Notes mature on March 16, 2022, and the 2027 Notes mature on March 16, 2027.

Frequently Asked Questions

The main purpose of this 8-K filing was to report on Kinder Morgan, Inc.'s (KMI) entry into an underwriting agreement to issue €1.25 billion in aggregate principal amount of senior notes.

KMI issued €750 million of 1.500% Senior Notes due 2022, which mature on March 16, 2022, and €500 million of 2.250% Senior Notes due 2027, which mature on March 16, 2027. Interest is payable annually on March 16.

The Cross Guarantee Agreement ensures that the notes are guaranteed, providing investors with an additional layer of security. Details of this guarantee are available in KMI's prior filings.

The filing mentions that upon an event of default under the Indenture (including payment defaults, covenant breaches, or bankruptcy), KMI's obligations under the notes may be accelerated, making the entire principal amount immediately due and payable.