BEAM ANNOUNCES REDEMPTION OF $400 MILLION OF OUTSTANDING PUBLIC DEBT
Deerfield, Illinois, October 5, 2011 - Beam Inc. (NYSE: BEAM), a leading global premium spirits company, today announced that it has called for redemption all $400 million in outstanding principal amount of its 3.000% notes due 2012. Along with the tender offers completed in August 2011, the redemption is part of the company's previously announced plan for the reduction of outstanding debt by approximately $1.7 billion. Beam intends to fund the redemption using a portion of the $500 million dividend received from Fortune Brands Home & Security in connection with the separation of Fortune Brands' businesses completed on October 3rd. Formerly known as Fortune Brands, Beam is the remaining company following the separation of Fortune Brands' businesses.
The redemption date for the 3.000% notes will be November 4, 2011. The contractual redemption price for the notes is the sum of the present values of the remaining scheduled payments on the notes, discounted to the redemption date using a defined treasury rate plus 40 basis points (0.40%), and will be determined as of the third business day prior to the redemption date. Accrued and unpaid interest will also be paid to the redemption date.
On and after the date of redemption, the notes will no longer be outstanding and interest on the notes will cease to accrue. The notice of redemption will be sent to registered holders of the notes on or about October 5, 2011. Notes are to be surrendered to The Bank of New York Mellon, as trustee, in exchange for payment of the redemption price.
About Beam Inc.
As one of the world's leading premium spirits companies, Beam is Crafting the Spirits that Stir the World. Consumers from all corners of the globe call for the company's brands, including Jim Beam® Bourbon, Maker's Mark® Bourbon, Sauza® Tequila, Canadian Club® Whisky, Courvoisier® Cognac, Teacher's® Scotch Whisky, Laphroaig® Scotch Whisky, Cruzan® Rum, Hornitos™ Tequila, Knob Creek® Bourbon, EFFEN® Vodka, Pucker™ Flavored Vodka, Larios® Gin, Whisky DYC®, DeKuyper® Cordials, and Skinnygirl® Cocktails. The Beam portfolio includes 10 of the world's top 100 premium spirits brands and some of the industry's fastest growing innovations. Beam is focused on delivering superior performance with its unique combination of scale with agility and a strategy of Creating Famous Brands, Building Winning Markets and Fueling Our Growth. Beam and its 3,200 passionate associates worldwide generated 2010 sales of $2.7 billion on volume of 33 million 9-liter cases.
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