The Goodyear Tire & Rubber Co. has priced its offering of $900 million aggregate principal amount of 8-year senior notes.
The notes are senior unsecured obligations of the company, will be sold at 100% of the principal amount and will bear interest at a rate of 6.5%. Goodyear says it expects the offering to close on Feb. 25, 2013.
The offering was increased from a previously announced offering size of $750 million. Goodyear says it intends to use the net proceeds from this offering to fund discretionary contributions to its frozen U.S. pension plans and, to the extent not used for such purposes, for general corporate purposes.
The offering was made under a shelf registration statement that was filed with the U.S. Securities and Exchange Commission and became automatically effective on August 10, 2010.
