AKRON—Goodyear has priced its offering of $900 million aggregate principal amount of eight-year senior notes, which are senior unsecured obligations of the company.
The company said the notes will be sold at 100 percent of the principal amount and will bear interest at a rate of 6.5 percent. Goodyear expects the offering to close on Feb. 25, subject to customary closing conditions.
The offering was increased from a previously announced offering size of $750 million, Goodyear said, and it intends to use the net proceeds from this offering to fund discretionary contributions to its frozen U.S. pension plans and, to the extent not used for such purposes, for general corporate purposes.
Goldman, Sachs & Co., Barclays Capital Inc., Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities L.L.C. and Morgan Stanley & Co. L.L.C. are acting as the joint book-running managers for the offering, Goodyear said.