Summary
PepsiCo, Inc. (PEP) has filed an 8-K report on August 29, 2019, to announce the redemption of all its outstanding 4.50% Senior Notes due 2020. The redemption date is set for September 30, 2019. This action will result in the complete retirement of these specific notes, with payments to be made upon surrender to the Trustee. Interest on these notes will cease to accrue after the redemption date.
Key Highlights
- 1PepsiCo is redeeming its 4.50% Senior Notes due 2020 in full.
- 2The redemption date is scheduled for September 30, 2019.
- 3All outstanding 2020 Senior Notes will be retired upon completion of the redemption.
- 4Payment will be made upon presentation and surrender of the notes to the Trustee.
- 5Interest on the notes will cease to accrue from September 30, 2019, onwards.
Frequently Asked Questions
The main purpose of this 8-K filing is to formally notify investors and relevant parties about PepsiCo's decision to redeem all of its outstanding 4.50% Senior Notes due 2020.
The redemption means PepsiCo is proactively retiring this portion of its debt. It signals a potential debt management strategy, possibly to refinance at more favorable rates or to simplify its capital structure.
Holders of these notes must present and surrender them to The Bank of New York Mellon (the Trustee) on or after the redemption date of September 30, 2019, to receive the redemption price and any accrued interest.
Interest on the 4.50% Senior Notes due 2020 will cease to accrue from the redemption date, which is September 30, 2019.