2013-02-26 23:48:29 -
February 26, 2013
COVINGTON, Ky. - Ashland Inc. (NYSE: ASH) announced today that it has closed its
previously announced offering of $600 million aggregate principal amount of
3.000% senior notes due 2016, $700 million aggregate principal amount of 3.875%
senior notes due 2018, $650 million aggregate principal amount of 4.750% senior
notes due 2022 and $350 million aggregate principal amount of 6.875% senior
notes due 2043 (collectively, the Notes). The Notes are unsecured,
unsubordinated obligations of Ashland.
Ashland used the net proceeds of the Notes offering (after deducting the initial
purchasers' discounts and other fees and expenses), together with cash on hand,
(i) to
prepay $1.21 billion of the term loan A facility under the senior secured
credit facility, (ii) to pay off in full the remaining $1.03 billion outstanding
under the term loan B facility under the senior secured credit facility and
(iii) to pay $52 million to terminate certain interest rate swaps entered into
in connection with the senior secured credit facility. The remaining principal
amount outstanding under Ashland's term loan A facility is $200 million. In
connection with the completion of the Notes offering and the foregoing use of
proceeds, Ashland reaffirms its expectation that fiscal 2013 interest expense
under U.S. GAAP will be approximately $180 million, excluding expenses
associated with the prepayment of debt and the termination of related interest
rate swaps.
The Notes were offered in the United States to qualified institutional buyers
pursuant to Rule 144A under the Securities Act of 1933, as amended (the
Securities Act), and outside the United States pursuant to Regulation S under
the Securities Act. The Notes have not been registered under the Securities Act
and may not be offered or sold in the United States without registration or an
applicable exemption from the registration requirements.
This news release shall not constitute an offer to sell, or a solicitation of an
offer to buy, any security, including the Notes. No offer, solicitation, or sale
will be made in any jurisdiction in which such an offer, solicitation, or sale
would be unlawful.
About Ashland
In more than 100 countries, the people of Ashland Inc. (NYSE: ASH) provide the
specialty chemicals, technologies and insights to help customers create new and
improved products for today and sustainable solutions for tomorrow. Our
chemistry is at work every day in a wide variety of markets and applications,
including architectural coatings, automotive, construction, energy, food and
beverage, personal care, pharmaceutical, tissue and towel, and water treatment.
Visit ashland.com to see the innovations we offer through our four commercial
units - Ashland Specialty Ingredients, Ashland Water Technologies, Ashland
Performance Materials and Ashland Consumer Markets.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Ashland has identified some of
these forward-looking statements with words such as "anticipates,"
"believes,"
"expects," "estimates," "may," "will,"
"should" and "intends" and the negative
of these words or other comparable terminology. In addition, Ashland may from
time to time make forward-looking statements in its filings with the Securities
and Exchange Commission (SEC), news releases and other written and oral
communications. These forward-looking statements are based on Ashland's
expectations and assumptions, as of the date such statements are made, regarding
Ashland's future operating performance and financial condition, the economy and
other future events or circumstances. Ashland's expectations and assumptions
include, without limitation, internal forecasts and analyses of current and
future market conditions and trends, management plans and strategies, operating
efficiencies and economic conditions (such as prices, supply and demand, cost of
raw materials, and the ability to recover raw-material cost increases through
price increases), and risks and uncertainties associated with the following:
Ashland's substantial indebtedness (including the possibility that such
indebtedness and related restrictive covenants may adversely affect Ashland's
future cash flows, results of operations, financial condition and its ability to
repay debt), severe weather, natural disasters, and legal proceedings and claims
(including environmental and asbestos matters). Various risks and uncertainties
may cause actual results to differ materially from those stated, projected or
implied by any forward-looking statements, including, without limitation, risks
and uncertainties affecting Ashland that are described in its most recent Form
10-K (including Item 1A Risk Factors) filed with the SEC, which is available on
Ashland's website at
investor.ashland.com or on the SEC's website at
www.sec.gov. Ashland believes its expectations and assumptions are
reasonable, but there can be no assurance that the expectations reflected herein
will be achieved. Ashland undertakes no obligation to subsequently update any
forward-looking statements made in this news release or otherwise except as
required by securities or other applicable law.
C-ASH
FOR FURTHER INFORMATION:
Media Relations:
Gary Rhodes
+1 (859) 815-3047
glrhodes@ashland.com
Investor Relations:
Jason Thompson
+1 (859) 815-4454
jlthompson@ashland.com
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Ashland Inc. via Thomson Reuters ONE
[HUG#1681365]
