Summary
This 8-K filing from November 29, 2004, reports a material definitive agreement entered into by Mastercard Incorporated on November 23, 2004. The agreement involves an amendment to a guarantee related to Mastercard International's 7.36% Series A Senior Secured Notes, originally issued in 1999 to finance a technology and operations facility. The primary change is the transfer of certain guarantee obligations from Mastercard International to its parent company, Mastercard Incorporated. This amendment signifies a restructuring aimed at better aligning Mastercard's corporate structure with its financial reporting and debt covenant obligations. Mastercard Incorporated now assumes responsibility for specific covenant compliance, including financial reporting and maintaining consolidated net worth, which will now be consistent with obligations under its other debt instruments. The company states this change is intended to simplify compliance and reduce administrative burdens.
Key Highlights
- 1Mastercard Incorporated amended a material definitive agreement concerning its 7.36% Series A Senior Secured Notes.
- 2Obligations under the guarantee for these notes have been transferred from Mastercard International to the parent company, Mastercard Incorporated.
- 3Mastercard Incorporated has assumed covenant compliance obligations, including financial reporting and consolidated net worth maintenance.
- 4The amendment aims to align financial reporting and net worth covenants with those of other debt instruments.
- 5The change reflects Mastercard's corporate structure and is intended to reduce compliance costs and administrative burdens.
- 6The Senior Secured Notes were originally issued in 1999 to finance a global technology and operations facility in O'Fallon, Missouri.