Summary
This 8-K filing by United Parcel Service, Inc. (UPS) reports on the entry into a Material Definitive Agreement. Specifically, on May 30, 2008, UPS entered into a Distribution Agreement with Merrill Lynch, Pierce, Fenner & Smith Incorporated to offer and sell up to $500 million in aggregate principal amount of notes. As of the filing date, UPS had already sold $267.4 million of these notes, leaving a remaining capacity of approximately $232.6 million for future offerings under this program. The notes will be issued under an existing Indenture and will have maturities of nine months or longer. The agreement outlines terms for the sale, including pricing and discounts, and contains standard representations, warranties, and covenants. This action indicates UPS's intent to access capital markets for funding purposes, with the flexibility to continue issuing these notes.
Key Highlights
- 1UPS entered into a Distribution Agreement with Merrill Lynch to issue notes.
- 2The company has the authority to offer up to $500 million in aggregate principal amount of notes.
- 3As of May 30, 2008, UPS had already sold $267.4 million of these notes.
- 4An additional $232.6 million in notes can still be offered under this program.
- 5The notes will have maturities of nine months or more.
- 6The agreement includes standard provisions for representations, warranties, covenants, and indemnification.
- 7UPS retains the discretion to suspend the offering of notes.