DENVER, April 17, 2017 /PRNewswire/ -- CoBank, ACB ("CoBank"), a cooperative bank serving agribusinesses, rural infrastructure providers and Farm Credit associations throughout the United States, today announced that it intends to exercise its option to redeem on June 15, 2017 its Floating Rate Series 2007A Subordinated Notes due 2022 ("Subordinated Notes") in the outstanding principal amount of $500 million.
On April 13, 2017, CoBank's regulator, the Farm Credit Administration, announced that it had approved the redemption of Subordinated Notes on March 16, 2017. CoBank intends to notify the holders of the Subordinated Notes of the optional redemption in accordance with the terms of the Subordinated Notes on or before May 15, 2017.
The Subordinated Notes will be redeemed at a redemption price of 100% of the principal amount of the Subordinated Notes to be redeemed together with accrued and unpaid interest to, but excluding, the redemption date (less any applicable tax withholding as required by law). The redemption and paying agent for the redemption is The Bank of New York Mellon Trust Company, N.A.
CoBank is a $126 billion cooperative bank serving vital industries across rural America. The bank provides loans, leases, export financing and other financial services to agribusinesses and rural power, water and communications providers in all 50 states. The bank also provides wholesale loans and other financial services to affiliated Farm Credit associations serving farmers, ranchers and other rural borrowers in 23 states around the country.
CoBank is a member of the Farm Credit System, a nationwide network of banks and retail lending associations chartered to support the borrowing needs of U.S. agriculture, rural infrastructure and rural communities. Headquartered outside Denver, Colorado, CoBank serves customers from regional banking centers across the U.S. and also maintains an international representative office in Singapore.
For more information about CoBank, visit the bank's web site at www.cobank.com.
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