8-KOther EventsExhibits & Filings

REALTY INCOME CORP 8-K Report, Corporate Update (Sep 16, 2005)

Filed September 16, 2005For Securities:O

Summary

Realty Income Corporation (O) announced on September 8, 2005, the successful completion of a public offering and sale of $175,000,000 aggregate principal amount of 5 3/8% Senior Notes due 2017. The offering, which closed on September 15, 2005, generated net proceeds of approximately $173.4 million. These proceeds are strategically allocated to strengthen the company's financial position. A significant portion will be used to repay outstanding borrowings under its existing $250 million credit facility, thereby reducing leverage and improving liquidity. The remaining funds are designated for general corporate purposes, providing flexibility for future investments or operational needs. This debt issuance reflects a proactive approach to capital management and supports Realty Income's ongoing business objectives.

Key Highlights

  • 1Realty Income Corporation issued $175 million in 5 3/8% Senior Notes due 2017.
  • 2The notes offering closed on September 15, 2005.
  • 3Net proceeds from the offering totaled approximately $173.4 million.
  • 4A primary use of proceeds is to repay outstanding debt under the company's $250 million credit facility.
  • 5Remaining proceeds will be used for general corporate purposes.
  • 6The issuance was underwritten by Banc of America Securities LLC and Citigroup Global Markets Inc.

Frequently Asked Questions

The primary purpose of issuing the $175 million in Senior Notes due 2017 is to repay outstanding borrowings under Realty Income's existing $250 million credit facility. The remaining proceeds will be used for general corporate purposes, offering financial flexibility.

The new notes carry a coupon rate of 5 3/8% and mature in 2017.

Realty Income raised $175,000,000 in aggregate principal amount from the sale of the Senior Notes, with net proceeds amounting to approximately $173.4 million.

The underwriters for this offering were Banc of America Securities LLC and Citigroup Global Markets Inc., acting as representatives of the underwriters.