Goodyear Tire & Rubber Co. announced on Friday, Feb. 24, 2012, that it has priced its offering of $700 million aggregate principal amount of 10-year senior notes.
The notes are "senior unsecured obligations of the company," and will be sold at 100% of the principal amount and will bear interest at a rate of 7%. Goodyear expects the offering to close on Feb. 28, 2012, subject to customary closing conditions.
Goodyear intends to use the net proceeds from this offering -- together with current cash and cash equivalents -- "to redeem all of its $650 million in aggregate principal amount of its 10.5% senior notes due 2016."
Deutsche Bank Securities Inc., BNP Paribas Securities Corp., Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., Goldman, Sachs & Co. and Wells Fargo Securities LLC are acting as the book-running managers for the offering.
The offering was made under a shelf registration statement that was filed with the U.S. Securities and Exchange Commission (SEC) and became automatically effective on August 10, 2010. The offering of the notes may be made only by means of a prospectus supplement and accompanying prospectus, copies of which may be obtained from:
1. Deutsche Bank Securities Inc., c/o ADP Prospectus Services, 1155 Long Island Ave., Edgewood, NY 11747 ([email protected]).
2. Goodyear Tire & Rubber Co., Investor Relations Dept., 1144 E. Market St., Akron, OH 44316, telephone (330) 796-3751.
"This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction," adds Goodyear.
