Walt Disney Company sold $1.1 billion through the issuance of two new bonds today.
Disney sold $750m of a bond maturing in three years with an interest rate that floats seven basis points over the three month London interbank offered rate (LIBOR).
The second bond was $350 million in size and matures in 2017. The company will pay an interest rate fixed at 6.00%. It was initially priced to the public to give a yield of 6.03%, or 90 basis points over the 10-year Treasury bond.
Walt Disney Co. is rated A2 by Moody’s and A- by S&P.
The transaction was managed by BNP Paribas, Credit Suisse First Boston, Goldman Sachs and JP Morgan.