Waste Management Inc 8-K, filed Jul 15, 2020
Waste Management Inc (WM)
About this 8-K
Waste Management Inc filed this 8-K on July 15, 2020.
Items reported
- Item 2.04: Debt obligation accelerated or increased
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| Item 2.04 | Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement. |
On May 22, 2019, Waste Management, Inc., a Delaware corporation (the “Company”), issued $750,000,000 aggregate principal amount of its 2.950% Senior Notes due 2024, $750,000,000 aggregate principal amount of its 3.200% Senior Notes due 2026, $1,000,000,000 aggregate principal amount of its 3.450% Senior Notes due 2029 and $500,000,000 aggregate principal amount of its 4.000% Senior Notes due 2039 (collectively, the “Notes”). Pursuant to the terms of the Indenture, dated as of September 10, 1997 (the “Base Indenture”), between the Company and The Bank of New York Mellon Trust Company, N.A. (the current successor to Texas Commerce Bank National Association), as trustee (the “Trustee”), the respective officers’ certificates dated as of May 22, 2019 issued thereunder relating to the applicable series of the Notes (collectively with the Base Indenture, the “Indenture”) and Section 5 of each series of the Notes, because the Company’s pending acquisition of Advanced Disposal Services, Inc. (“Advanced Disposal”) was not completed on or prior to July 14, 2020, the Company is required to redeem the entire outstanding principal amount of the Notes, totaling $3,000,000,000, at a redemption price equal to 101% of the aggregate principal amount of each series of the Notes, plus accrued but unpaid interest on the principal amount of such series of the Notes to, but not including, the redemption date. Pursuant to the terms of the Indenture and Section 5 of each series of the Notes, the Company provided notice of the redemption to the Trustee and the holders of the Notes on July 15, 2020. The date of redemption will be July 20, 2020.
The Company plans to use a combination of cash on hand and borrowings under its revolving credit facility to fund the redemption and currently anticipates funding the acquisition of Advanced Disposal using a combination of credit facilities and commercial paper.
Cautionary Note Regarding Forward-Looking Statements
This filing contains forward-looking statements that involve risks and uncertainties. Factors that could cause actual results to differ materially from those expressed or implied by the forward-looking statements in this filing are discussed in the Company’s most recent Annual Report on Form 10-K and subsequent reports on Form 10-Q.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
| WASTE MANAGEMENT, INC. | ||
| Date: July 15, 2020 | By: | /s/ Charles C. Boettcher |
| Charles C. Boettcher | ||
| Executive Vice President, Corporate Development & Chief Legal Officer | ||