Summary
Northrop Grumman Corporation (NOC) filed an 8-K report on December 1, 2016, to announce the issuance of $750 million in aggregate principal amount of 3.200% Senior Notes due 2027. These notes were issued under an existing indenture, as supplemented by a seventh supplemental indenture executed on the same date. The issuance was facilitated by an Underwriting Agreement with Goldman, Sachs & Co. and J.P. Morgan Securities LLC. The new debt matures on February 1, 2027, and carries a fixed interest rate of 3.200%. The company retains the option to redeem the notes early, with specific redemption prices detailed in a prospectus supplement. The indenture includes standard covenants related to liens, sale and leaseback transactions, and asset sales, which are subject to certain exceptions and qualifications. This debt issuance is a material definitive agreement and creates a direct financial obligation for the company.
Key Highlights
- 1Northrop Grumman issued $750 million in 3.200% Senior Notes due 2027.
- 2The notes mature on February 1, 2027.
- 3The company has the option to redeem the notes early at specified prices.
- 4The issuance was conducted under an existing indenture, as amended by a seventh supplemental indenture.
- 5Goldman, Sachs & Co. and J.P. Morgan Securities LLC acted as underwriters.
- 6The filing reports the entry into a material definitive agreement and the creation of a direct financial obligation.
- 7The company has an effective registration statement on Form S-3 filed previously.