Summary
BB&T Corporation (TFC) filed an 8-K on September 27, 2004, reporting the successful completion of consent solicitations for its 6.50% Subordinated Notes due 2011 and 4.75% Subordinated Notes due 2012. The solicitation aimed to amend the terms of these notes, and sufficient consents were obtained from noteholders. This allowed BB&T and the Trustee, U.S. Bank National Association, to execute a Second Supplemental Indenture on September 24, 2004. The primary impact of this amendment is significant for BB&T's regulatory capital position. The 2011 Notes and 2012 Notes can now be included in the calculation of BB&T's Tier 2 capital and total regulatory capital for future filings with the Federal Reserve. This is a positive development as it enhances the company's reported capital ratios, which can be viewed favorably by investors and regulators.
Key Highlights
- 1BB&T Corporation successfully completed consent solicitations for its 6.50% Subordinated Notes due 2011 and 4.75% Subordinated Notes due 2012.
- 2The consent solicitation was necessary to amend the terms of the subordinated notes.
- 3A Second Supplemental Indenture was executed on September 24, 2004, reflecting the approved amendments.
- 4The amended notes can now be included in BB&T's calculations for Tier 2 capital.
- 5The amended notes can also be included in BB&T's calculations for total regulatory capital.
- 6These capital enhancements are for the purpose of future Federal Reserve filings.
- 7The filing indicates a proactive measure by BB&T to optimize its regulatory capital structure.