Summary
Xcel Energy Inc. (XEL) filed an 8-K on June 8, 2006, to report a significant financing event. On June 6, 2006, the company entered into an Underwriting Agreement to issue and sell $300 million in aggregate principal amount of its 6.50% Senior Notes, due in 2036. This offering was made through underwriters including Goldman, Sachs & Co., Lehman Brothers Inc., and Morgan Stanley & Co. Incorporated. This filing indicates Xcel Energy's proactive management of its debt structure and capital raising activities. The issuance of these long-term senior notes provides the company with substantial funding, likely to support ongoing operations, capital expenditures, or debt refinancing. Investors should note the specific terms of the notes, including the 6.50% interest rate and the 30-year maturity, which reflect the prevailing market conditions and Xcel Energy's credit profile at the time of issuance.
Key Highlights
- 1Xcel Energy Inc. issued $300 million in aggregate principal amount of 6.50% Senior Notes, Series due 2036.
- 2The issuance occurred on June 6, 2006, with the filing made on June 8, 2006.
- 3The Underwriting Agreement was made with prominent financial institutions: Goldman, Sachs & Co., Lehman Brothers Inc., and Morgan Stanley & Co. Incorporated.
- 4A Supplemental Indenture was executed with Wells Fargo Bank, National Association as Trustee for the Series 2036 Senior Notes.
- 5The filing serves to report a material definitive agreement and the creation of a direct financial obligation for the company.
- 6The company also included an opinion of Gary R. Johnson regarding the validity of the securities.