UBS Announces Note Repurchases For EURO 1 Billion

UBS offers to buy outstanding lower tier 2 debt for up to 1 billion using available cash. The note repurchases would result in a gain that will bolster UBS's tier 1 regulatory capital ratio. UBS is making a tender offer

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UBS offers to buy outstanding lower tier 2 debt for up to 1 billion using available cash. The note repurchases would result in a gain that will bolster UBS’s tier 1 regulatory capital ratio.

UBS is making a tender offer relating to four lower tier 2 bonds with maturity dates between November 2015 and September 2019 and a notional value of around CHF 7 billion. The maximum size of the tender is approximately 1 billion.

The four subordinated notes targeted in this transaction currently trade at a significant discount to their original issuance price. If the transaction proceeds as expected, it would have a small beneficial effect on UBS’s Tier 1 regulatory capital ratio.

The tender period will end on 25 March.

L.D.

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