Summary
This Wells Fargo & Company/MN (WFC) 8-K filing from July 26, 2019, primarily serves to disclose the details of new Medium-Term Notes, Series A, issued by its subsidiary Wells Fargo Finance LLC. These notes are linked to the performance of specific market indices: the EURO STOXX 50® Index and the S&P 500® Index. The issuance includes notes with maturity dates in January 2022 and July 2022. Crucially, Wells Fargo & Company provides a full and unconditional guarantee for these notes, meaning the parent company is directly liable for the obligations of these debt instruments.
Key Highlights
- 1Wells Fargo Finance LLC issued new Medium-Term Notes, Series A, as of July 25, 2019.
- 2The notes are principal-at-risk securities, meaning investors could lose principal based on index performance.
- 3Two series of notes are linked to the EURO STOXX 50® Index with different maturity dates (January 2022 and July 2022).
- 4One series of notes is linked to the S&P 500® Index.
- 5Wells Fargo & Company (WFC) provides a full and unconditional guarantee for these notes.
- 6The filing includes the forms of the notes and a legal opinion from Faegre Baker Daniels LLP.
- 7This filing is related to a Form S-3 registration statement.
Frequently Asked Questions
The primary purpose of this 8-K filing is to officially disclose the issuance of new Medium-Term Notes, Series A, by Wells Fargo Finance LLC and to provide associated legal documentation, including the forms of the notes and a legal opinion regarding their validity and the guarantee.
These are structured debt products where the repayment of the principal amount is not guaranteed and may be reduced or lost entirely depending on the performance of an underlying reference asset, in this case, the EURO STOXX 50® Index or the S&P 500® Index. Investors in these notes face potential principal loss.
The full and unconditional guarantee from Wells Fargo & Company means that the parent company is directly responsible for the payment obligations of these notes if Wells Fargo Finance LLC defaults. This provides a higher level of credit security for the noteholders, as they can look to the stronger financial standing of the parent company.
Faegre Baker Daniels LLP is a law firm that has provided a legal opinion on the Notes and the Guarantee. Their consent is also included, indicating they are comfortable with their legal opinion being referenced in relation to this filing.