The senior notes were issued at a price of 99.314% of par and will bear interest at a rate of 4.375% per annum. The senior notes will be fully and unconditionally guaranteed on a senior unsecured basis by Macy’s, Inc. The transaction is expected to close on or about September 6, 2013.
Macy’s Retail Holdings will use the net proceeds for general corporate purposes, which may include working capital, capital expenditures, retirement of indebtedness and repurchasing outstanding common stock of Macy’s, Inc.
Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated are acting as joint book-running managers. Jones Day is acting as counsel to Macy’s, Inc. and Macy’s Retail Holdings.
Macy’s, Inc., with corporate offices in Cincinnati and New York, is one of the nation’s premier retailers, with fiscal 2012 sales of $27.7 billion. The company operates about 840 department stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names of Macy’s and Bloomingdale’s, as well as the macys.com and bloomingdales.com websites. The company also operates 13 Bloomingdale’s Outlet stores.