Summary
This 8-K filing from Wal-Mart Stores, Inc. (WMT) dated September 15, 2004, reports on the pricing and upcoming sale of $1 billion in Floating Rate Notes due 2006. The transaction, set to close on September 16, 2004, with Citigroup Global Markets Inc. as the underwriter, aims to raise substantial capital for the company. The net proceeds, estimated at approximately $999.9 million after expenses, are intended to support Wal-Mart's ongoing operations and strategic initiatives. This offering provides insight into Wal-Mart's debt financing strategy at the time, highlighting their access to capital markets to fund growth and maintain financial flexibility. Investors should note the floating rate nature of these notes, which means their interest payments will adjust over time, influenced by prevailing market interest rates.
Key Highlights
- 1Wal-Mart Stores, Inc. is issuing $1,000,000,000 in aggregate principal amount of Floating Rate Notes due 2006.
- 2The sale of these notes is scheduled to be consummated on September 16, 2004.
- 3Citigroup Global Markets Inc. is acting as the underwriter for this debt issuance.
- 4The company expects to receive net proceeds of approximately $999,895,000 after transaction expenses.
- 5The notes are a newly created series of Floating Rate Notes due 2006, established under an Indenture dated December 11, 2002.
- 6The terms of the notes are detailed in a prospectus supplement filed with the SEC on September 13, 2004.
- 7This filing includes various exhibits such as the Pricing Agreement, Underwriting Agreement, Series Terms Certificate, Form of Global Note, and a legality opinion.