Summary
State Street Corporation (STT) has filed an 8-K report detailing its issuance of $1.5 billion in Senior Notes Due 2012. This offering, which entered into an underwriting agreement on March 3, 2009, is designed to bolster the company's liquidity. The notes carry a coupon rate of 2.150% and are guaranteed by the Federal Deposit Insurance Corporation (FDIC) under its Temporary Liquidity Guarantee Program, a critical factor given the financial market conditions of early 2009. Investors should note that the net proceeds are expected to be approximately $1.49 billion after underwriting discounts but before other offering expenses. The closing of this significant debt issuance was anticipated for March 6, 2009, subject to customary conditions. This move by State Street highlights its proactive approach to managing its capital structure and ensuring financial stability during a period of economic uncertainty.
Key Highlights
- 1State Street Corporation issued $1.5 billion in 2.150% Senior Notes Due 2012.
- 2The underwriting agreement was entered into on March 3, 2009.
- 3The notes are guaranteed by the Federal Deposit Insurance Corporation (FDIC) under its Temporary Liquidity Guarantee Program.
- 4The company expects to receive net proceeds of approximately $1.49 billion.
- 5The offering was structured as a public offering under a Registration Statement on Form S-3.
- 6The closing of the offering was expected on March 6, 2009.
- 7The filing includes the Underwriting Agreement and legal opinions as exhibits.