The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from CNW Group

Royal Bank of Canada Issues Subordinated Debentures

Monday, December 03, 2012

Royal Bank of Canada Issues Subordinated Debentures16:20 EST Monday, December 03, 2012TORONTO, Dec. 3, 2012 /CNW/ - Royal Bank of Canada (RY on TSX and NYSE) today announced the issuance of $2 billion of subordinated debentures ("the Notes") through its Canadian Medium Term Note Program.The Notes bear interest at a fixed rate of 2.99 per cent per annum (paid semi-annually) until December 6, 2019, and at the three-month Banker's Acceptance Rate plus 1.10 per cent thereafter until their maturity on December 6, 2024 (paid quarterly).  The issue is expected to close on December 6, 2012.The bank may, at its option, with the prior approval of the Office of the Superintendent of Financial Institutions Canada, redeem the Notes on or after December 6, 2019, in whole at any time or in part from time to time, on not less than 30 days and not more than 60 days notice to the registered holders.Proceeds of the issue will be added to the bank's general funds and will be utilized for general banking purposes.RBC Capital Markets acted as lead agent on the issue.SOURCE: RBCFor further information: Investor Contact: Karen McCarthy, Investor Relations, (416) 955-7809, Media Contact: Tanis (Robinson) Feasby, Corporate Communications, (416) 955-5172,