By Lisa Kerner
Charlotte, N.C., May 15 - Sara Lee Corp. closed a private placement of $650 million of senior notes.
The notes were issued as follows:
• $232 million of 3.60% senior notes due May 15, 2019;
• $120 million of 3.81% senior notes due May 15, 2020;
• $124 million of 4.03% senior notes due May 15, 2021; and
• $174 million of 4.20% senior notes due May 15, 2022.
Proceeds will be used to pay debt and for general corporate purposes, according to a company news release.
Once Sara Lee completes the proposed spinoff of its international coffee and tea business, it will satisfy its obligations under the notes with a mandatory exchange of DE US, Inc. notes. DE US currently is a subsidiary of Sara Lee and will become a subsidiary of DE Master Blenders 1753 in connection with the spinoff.
The notes have not been and will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
Sara Lee is a consumer food products company based in Downers Grove, Ill.
| Issuer: | Sara Lee Corp.
|
| Issue: | Senior notes
|
| Amount: | $650 million
|
| Distribution: | Private placement
|
|
|
| Seven-year notes
|
| Amount: | $232 million
|
| Maturity: | May 15, 2019
|
| Coupon: | 3.60%
|
|
|
| Eight-year notes
|
| Amount: | $120 million
|
| Maturity: | May 15, 2020
|
| Coupon: | 3.81%
|
|
|
| Nine-year notes
|
| Amount: | $124 million
|
| Maturity: | May 15, 2021
|
| Coupon: | 4.03%
|
|
|
| 10-year notes
|
| Amount: | $174 million
|
| Maturity: | May 15, 2022
|
| Coupon: | 4.2%
|
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