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Corning (GLW -2.2%) has joined the corporate debt refinancing party. Using a $250M offering of...

Corning (GLW -2.2%) has joined the corporate debt refinancing party. Using a $250M offering of 1.45% senior notes due Nov. '17, the glassmaker has made a tender offer to buy back $75M in 6.75% and 8.875% notes, and plans to spend $174M to redeem 5.9% and 6.2% notes. Corning had $3.4B in debt as of Sep. 30.
Comments (4)
  • TwistTie
    , contributor
    Comments (2476) | Send Message
     
    Will this help the EPS in a meaningful way?
    26 Oct 2012, 05:22 PM Reply Like
  • SA Editor Eric Jhonsa
    , contributor
    Comments (853) | Send Message
     
    It helps EPS a bit. But they'd have to refinance on a bigger scale to have a major impact.
    26 Oct 2012, 05:39 PM Reply Like
  • Matthew Lewis
    , contributor
    Comments (355) | Send Message
     
    Not really. Saves about $12 million a year in interest versus 2000 million (2 billion) in net income per year. Every little bit helps I suppose.
    26 Oct 2012, 05:42 PM Reply Like
  • DeepValueLover
    , contributor
    Comments (8676) | Send Message
     
    Why not offer the $2 billion and use the savings to buy back shares under tangible book value?

     

    Seems to be an easy decision for supreme cash management...
    27 Oct 2012, 10:41 PM Reply Like
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