Starbucks Corporation (NASDAQ:SBUX) today announced that it has priced
an underwritten public offering of senior notes. The company plans to
use the net proceeds from the offering of $400 million of 0.875% Senior
Notes due 2016 and $350 million of 2.000% Senior Notes due 2018 to fund
a portion of the payment required by the previously announced
arbitration award in the Kraft litigation matter. The remaining net
proceeds from this offering will be used for general corporate purposes,
which may include business expansion, payment of cash dividends on
Starbucks common stock, the repurchase of common stock under the
company's ongoing share repurchase program, or financing of possible
acquisitions. The offering of the notes is expected to close on December
5, 2013, subject to customary closing conditions.
BofA Merrill Lynch, J.P. Morgan and Morgan Stanley are serving as the
joint book-running managers of the offering. The offering is being made
under an automatic shelf registration statement on Form S-3 filed with
the Securities and Exchange Commission (“SEC”) on September 3, 2013. The
offering may be made only by means of a prospectus and related
prospectus supplement, copies of which may be obtained from:
An electronic copy of the registration statement and prospectus
supplement, together with the prospectus, is available on the SEC’s
website at www.sec.gov.
This press release does not constitute an offer to sell nor a
solicitation of an offer to buy the securities described herein, nor
shall there be any sale of these securities in any state or other
jurisdiction in which such offer, solicitation or sale would be unlawful
prior to registration or qualification under the securities laws of any
such state or other jurisdiction.
About Starbucks
Since 1971, Starbucks Coffee Company has been committed to ethically
sourcing and roasting the highest quality arabica coffee in the
world. Today, with stores around the globe, the company is the premier
roaster and retailer of specialty coffee in the world. Through our
unwavering commitment to excellence and our guiding principles, we bring
the unique Starbucks Experience to life for every customer
through every cup. To share in the experience, please visit us in our
stores or online at www.starbucks.com.
Forward-Looking Statement
This release includes forward-looking statements, including about the
expected closing of a public offering of senior unsecured notes and the
use of proceeds from such offering. These forward-looking statements are
based on current management expectations and satisfaction of certain
conditions that are subject to various risks and uncertainties,
including those detailed in the Company’s filings with the Securities
and Exchange Commission, including the “Risk Factors” section of
Starbucks Annual Report on Form 10-K for the fiscal year ended September
29, 2013, and the prospectus and prospectus supplement delivered in
connection with the offering. The Company assumes no obligation to
update these forward-looking statements.
© 2013 Starbucks Coffee Company. All rights reserved.
Copyright Business Wire 2013