Quarterly report pursuant to Section 13 or 15(d)

Financing Activities

v3.21.1
Financing Activities
3 Months Ended
May 01, 2021
Debt Disclosure [Abstract]  
Financing Activities

5.

Financing Activities

The following table shows the detail of debt repayments:

 

 

 

13 Weeks Ended

 

 

 

May 1, 2021

 

 

May 2, 2020

 

 

 

(millions)

 

9.5% Amortizing debentures due 2021

 

$

2

 

 

$

2

 

9.75% Amortizing debentures due 2021

 

 

1

 

 

 

1

 

3.875% Senior notes due 2022

 

 

156

 

 

 

 

2.875% Senior notes due 2023

 

 

136

 

 

 

 

4.375% Senior notes due 2023

 

 

49

 

 

 

 

3.625% Senior notes due 2024

 

 

150

 

 

 

 

6.65% Senior debentures due 2024

 

 

5

 

 

 

 

7.6% Senior debentures due 2025

 

 

4

 

 

 

 

 

 

$

503

 

 

$

3

 

On March 17, 2021, Macy’s Retail Holdings, LLC (“MRH”), a direct, wholly owned subsidiary of Macy’s, Inc., completed an offering of $500 million in aggregate principal amount of 5.875% senior notes due 2029 (the “2029 Notes”) in a private offering (the “Notes Offering”). The 2029 Notes mature on April 1, 2029.  The 2029 Notes are senior unsecured obligations of MRH and are unconditionally guaranteed on a senior unsecured basis by Macy’s, Inc.  MRH used the net proceeds from the Notes Offering, together with cash on hand, to fund the tender offer discussed below.

 

On March 17, 2021, the Company completed a tender offer in which $500 million of senior notes and debentures were tendered for early settlement and purchased by MRH. The total cash cost for the tender offer was $17 million with the remainder funded through the net proceeds from the private offering discussed above. The Company recognized $11 million of loss related to the early retirement of debt on the Consolidated Statements of Operation during the first quarter of 2021.