Freeport-McMoRan Inc. Announces Redemption of Two Series of Senior Notes
November 09, 2017 at 02:00 pm
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Freeport-McMoRan Inc. announced that notices have been issued to redeem on December 11, 2017, $617 million aggregate principal amount of Freeport-McMoRan Inc. (FCX) and Freeport-McMoRan Oil & Gas LLC (FMOG) senior notes. In accordance with the terms of respective indentures governing the notes, together with accrued and unpaid interest on the notes redeemed to, but not including, the redemption date. The aggregate cash interest cost savings would approximate $40 million per annum. FCX expects to record a gain to net income of approximately $15 million in the fourth quarter of 2017 in connection with the redemptions. On November 9, 2017, U.S. Bank National Association, as trustee for the FCX senior notes, and Wells Fargo Bank, N.A., as trustee for the FMOG senior notes, distributed to the registered note holders written notice of the terms of these redemptions.
Freeport-McMoRan Inc. specializes in the exploration and operation of copper and gold mines located primarily in the United States, Peru, Chile, Indonesia and Congo. Net sales break down by family of products as follows:
- copper (74.6%): refined copper and copper concentrates (4.1 billion ounces sold in 2023);
- gold (14.5%): 1,713,000 ounces sold;
- molybdenum (8.4%): 1.3 billion ounces sold;
- other (2.5%).
Net sales are distributed geographically as follows: the United States (31.8%), Switzerland (17.4%), Japan (15%), Spain (5.5%), Singapore (5.1%), China (4.7%), Indonesia (3.3%), Germany (3.1%), Chile (1.9%), the United Kingdom (0.7%), and other (11.5%).