Goodyear redeems senior notes, as promised
Goodyear Tire & Rubber Co. has completed its previously announced redemption of $350 million in senior notes due 2016 (see "Goodyear redeems outstanding senior notes").
Following its successful mandatory convertible preferred stock offering in March, Goodyear exercised its right to redeem $350 million in aggregate principal amount of its outstanding 10.500% senior notes due 2016. The redemption price was 110.500% of the principal amount of the notes redeemed, plus accrued and unpaid interest to, but excluding, May 27, 2011.
"The redemption will result in savings to annualized interest expense of approximately $40 million, of which about $23 million will be realized in 2011," according to the company.
For more information about Goodyear or its products, visit www.goodyear.com.