Summary
Marathon Petroleum Corporation (MPC) has established a commercial paper program allowing it to issue unsecured commercial paper notes up to a maximum aggregate amount of $2 billion. This program, effective February 26, 2016, is designed to address the company's short-term liquidity needs. The issuance of these notes is intended to align with MPC's strategic priorities of maintaining its investment-grade credit profile and a strong balance sheet.
Key Highlights
- 1Establishment of a $2 billion commercial paper program.
- 2The program allows for the issuance of unsecured commercial paper notes.
- 3Proceeds will be used to finance short-term liquidity needs.
- 4MPC intends to maintain its investment-grade credit profile and strong balance sheet.
- 5Maturities of the notes can be up to 397 days from the date of issue.
- 6Notes will be issued at a discount or at par with varying interest rates.
Frequently Asked Questions
The primary purpose of the commercial paper program is to provide Marathon Petroleum Corporation with a flexible source of funding to meet its short-term liquidity needs.
The company can issue commercial paper notes up to a maximum aggregate amount outstanding at any time of $2 billion.
The proceeds from the commercial paper notes will be used to finance the company's short-term liquidity needs, consistent with its capital allocation priorities.
The maturities of the commercial paper notes will vary, but they will not exceed 397 days from their respective dates of issue.