KeyCorp to redeem $361.11 million trust preferreds from four trusts

By Toni Weeks

San Diego, Aug. 2 - KeyCorp has issued a call to redeem $361,110,885 of trust preferred securities from four trusts, according to a filing with the Securities and Exchange Commission.

Affected are the following securities, which will be redeemed Sept. 1:

• KeyCorp Capital V's $115,454,125 of 5.875% trust preferred securities;

• KeyCorp Capital VI's $54,591,475 of 6.125% trust preferred securities;

• KeyCorp Capital VIII's $171,063,250 of 7% enhanced trust preferred securities; and

• Union State Capital Trust I's $20 million of 9.58% capital securities.

The 9.58% securities will be redeemed at 102.874, the filing noted.

The redemptions are in connection with KeyCorp's updated capital plan, which was submitted to the Federal Reserve System on June 10 and provided for one additional capital action related to the redemption of some of the company's trust preferred securities. The Federal Reserve System notified KeyCorp on Aug. 1 that it had no objection to the updated capital plan.

The redemptions will be funded with existing available cash.

The financial services company is based in Cleveland.

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