Freeport-McMoRan Copper & Gold Inc. Announces Redemption of its 8.375% Senior Notes due 2017
Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX) announced today that it
has issued a notice to redeem all of its outstanding 8.375% Senior Notes
due 2017 ('Notes?) on March 14, 2012. Approximately $3.0 billion
aggregate principal amount of Notes is currently outstanding. FCX plans
to use proceeds from its $3.0 billion senior notes offering completed
earlier today, plus cash on hand to fund the redemption of the Notes.
Annual interest cost savings associated with the refinancing will total
approximately $160 million.
Holders of record will receive the principal amount together with the
applicable premium plus accrued and unpaid interest from October 1, 2011
to but excluding the redemption date. The Notes bear interest at 8.375%
per annum. FCX expects to record an approximate $147 million charge to
net income in the first quarter of 2012 in connection with the
redemption. The Bank of New York Mellon Trust Company, N.A., as trustee,
has distributed to the registered note holder written notice of the
terms of the redemption.
FCX is a leading international mining company with headquarters in
Phoenix, Arizona. FCX operates large, long-lived, geographically diverse
assets with significant proven and probable reserves of copper, gold and
molybdenum. FCX has a dynamic portfolio of operating, expansion and
growth projects in the copper industry and is the world′s largest
producer of molybdenum.
The company′s portfolio of assets includes the Grasberg minerals
district in Indonesia, the world′s largest copper and gold mine in terms
of recoverable reserves; significant mining operations in the Americas,
including the large scale Morenci minerals district in North America and
the Cerro Verde and El Abra operations in South America; and the Tenke
Fungurume minerals district in the Democratic Republic of Congo.
Additional information about FCX is available on FCX's website at 'www.fcx.com.?
Freeport-McMoRan Copper & Gold Inc.
Financial
Contacts:
Kathleen L. Quirk, 602-366-8016
or
David
P. Joint, 504-582-4203
or
Media Contact:
Eric
E. Kinneberg, 602-366-7994
