Target tenders for six note series until Friday in separate offers

By Susanna Moon

Chicago, Oct. 16 – Target Corp. is holding six separate tender offers for six series of notes until 5 p.m. ET on Oct. 20.

Pricing will be set using a reference security plus a fixed spread for a hypothetical purchase price for each $1,000 principal amount as follows:

• $659,818,000 7% notes due 2038 using the 3% Treasury note due May 15, 2047 plus 85 bps for a hypothetical purchase price of $1,475.24;

• $580,611,000 6.5% notes due 2037 using the 3% Treasury note due May 15, 2047 plus 85 bps for a hypothetical purchase price of $1,400.85;

• $502,557,000 6.35% debentures due 2032 using the 2.25% Treasury note due Aug. 15, 2027 plus 120 bps for a hypothetical purchase price of $1,334.52

• $218,332,000 7% debentures due 2031 using the 2.25% Treasury note due Aug. 15, 2027 plus 115 bps for a hypothetical purchase price of $1,389.13;

• $115,827,000 6.65% debentures due 2028 using the 2.25% Treasury note due Aug. 15, 2027 plus 105 bps for a hypothetical purchase price of $1,299.13

• $135,479,000 6.75% debentures due 2028 using the 2.25% Treasury note due Aug. 15, 2027 plus 105 bps for a hypothetical purchase price of $1,294.09.

Tendered notes may be withdrawn before the end of the offer.

The purchase price will be set using a fixed spread plus the yield of the bid-side price of the U.S. Treasury security at 2 p.m. ET on Oct. 20.

Settlement is expected to occur on Oct. 23.

Holders will also receive accrued interest up to but excluding the payment date. Settlement for notes tendered by guaranteed delivery is expected to occur on Oct. 25.

Global Bondholder Services Corp. (866 470-3900, 212 430-3774 or gbsc-usa.com/Target/) is the tender and information agent. BofA Merrill Lynch (888 292-0070 or 980 387-3907), Deutsche Bank Securities (866 627-0391 or 212 250-2955) and Goldman Sachs & Co. LLC (800 828-3182 or 212 902-6595) are the dealer managers.

Target is a discount merchandise retailer based in Minneapolis.

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