8-KOther EventsExhibits & Filings

TRAVELERS COMPANIES, INC. 8-K Report, Corporate Update (Jun 19, 2006)

Filed June 19, 2006For Securities:TRV

Summary

The St. Paul Travelers Companies, Inc. (TRV) filed an 8-K on June 18, 2006, reporting on a significant debt issuance that closed on June 15, 2006. The company successfully raised $800 million through the sale of senior notes, divided equally between two tranches: $400 million in 6.25% Senior Notes due 2016 and $400 million in 6.75% Senior Notes due 2036. This debt offering, facilitated by an Underwriting Agreement with Goldman, Sachs & Co. and Lehman Brothers Inc. as representatives, indicates the company's strategy to strengthen its capital structure and potentially fund growth initiatives or refinance existing debt. Investors should note the specific interest rates and maturity dates of these new notes, which will impact the company's future interest expense and leverage ratios.

Key Highlights

  • 1The St. Paul Travelers Companies, Inc. (TRV) issued $800 million in senior notes.
  • 2The issuance was split into two tranches: $400 million of 6.25% Senior Notes due 2016 and $400 million of 6.75% Senior Notes due 2036.
  • 3The Underwriting Agreement for this issuance was dated June 15, 2006.
  • 4Goldman, Sachs & Co. and Lehman Brothers Inc. acted as the representatives for the underwriters.
  • 5This filing confirms the completion of the debt offering as reported in a Prospectus Supplement filed on June 16, 2006.
  • 6The 8-K filing was made on June 18, 2006, reporting on events of June 15, 2006.

Frequently Asked Questions

The primary purpose of this 8-K filing was to report on the company's entry into an Underwriting Agreement for the issuance and sale of $800 million in senior notes.

The company raised a total of $800 million through the issuance of senior notes, specifically $400 million of 6.25% Senior Notes due 2016 and $400 million of 6.75% Senior Notes due 2036.

The issuance of notes with different maturity dates (2016 and 2036) and coupon rates (6.25% and 6.75%) suggests a strategy to manage the company's debt maturity profile and potentially optimize its cost of capital.

The key parties involved were The St. Paul Travelers Companies, Inc. as the issuer, and Goldman, Sachs & Co. and Lehman Brothers Inc. as the representatives for the underwriters.