Ball Corporation Announces Issuance of Notice of Redemption for its 7.375% Senior Notes due 2019
BROOMFIELD, Colo., Dec. 9, 2013 /PRNewswire/ -- Ball Corporation (NYSE: BLL) announced today that it has issued a notice of redemption for all of its outstanding 7.375% Senior Notes due 2019 (CUSIP No. 058498 AN6) (the "Notes"). The redemption date is January 10, 2014, and the redemption price is 100% of the principal amount of the Notes outstanding plus the Applicable Premium (as defined in the Third Supplemental Indenture, dated as of August 20, 2009, by and among Ball, the subsidiary guarantors named therein and The Bank of New York Mellon Trust Company, N.A., as trustee (the "Indenture")) as of, and accrued and unpaid interest to, the redemption date, payable in cash. Ball intends to use cash on hand and borrowings under its bank credit facilities and accounts receivable securitization program to fund the redemption.
As of the date hereof, approximately $315.4 million principal amount of Notes remain outstanding. On and after the redemption date, the Notes will no longer be deemed outstanding and interest will cease to accrue, unless Ball defaults in making the redemption payment.
The notice of redemption containing information required by the Indenture was sent by the Trustee to registered holders of the Notes today. In accordance with the instructions specified in the notice of redemption, Notes are to be surrendered to The Bank of New York Mellon, as trustee and paying agent, in exchange for payment of the redemption price, which will be paid on January 10, 2014, as provided in the Indenture.
As a result of the 2019 Senior Notes redemption, Ball will record an after-tax charge of approximately $21 million in the first quarter of 2014.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, including the Notes.
About Ball Corporation
Ball Corporation supplies innovative, sustainable packaging solutions for beverage, food and household products customers, as well as aerospace and other technologies and services primarily for the U.S. government. Ball Corporation and its subsidiaries employ 15,000 people worldwide and reported 2012 sales of more than $8.7 billion. For more information, visit www.ball.com, or connect with us on Facebook or Twitter.
This release contains "forward-looking" statements concerning future events and financial performance. Words such as "expects," "anticipates," "estimates" and similar expressions identify forward-looking statements. Such statements are subject to risks and uncertainties, which could cause actual results to differ materially from those expressed or implied. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Key risks and uncertainties are summarized in filings with the Securities and Exchange Commission, including Exhibit 99 in our Form 10-K, which are available on our website and at www.sec.gov. Factors that might affect: a) our packaging segments include fluctuation in product demand; availability and cost of raw materials; competitive packaging, pricing and substitution; changes in climate and weather; crop yields; competitive activity; failure to achieve productivity improvements or cost reductions; mandatory deposit or other restrictive packaging laws; changes in major customer or supplier contracts or loss of a major customer or supplier; political instability and sanctions; and changes in foreign exchange or tax rates; b) our aerospace segment include funding, authorization, availability and returns of government and commercial contracts; and delays, extensions and technical uncertainties affecting segment contracts; c) the company as a whole include those listed plus: changes in senior management; successful or unsuccessful acquisitions and divestitures; regulatory action or laws including tax, environmental, health and workplace safety, including U.S. FDA and other actions affecting products filled in our containers, or chemicals or substances used in raw materials or in the manufacturing process; technological developments and innovations; litigation; strikes; labor cost changes; rates of return on assets of the company's defined benefit retirement plans; pension changes; uncertainties surrounding the U.S. government budget, sequestration and debt limit; reduced cash flow; ability to achieve cost-out initiatives; interest rates affecting our debt.
SOURCE Ball Corporation