NasdaqGS:ZIONBanks
Is Zions (ZION) Using Its New Senior Notes To Quietly Reposition Interest Rate Risk?
Zions Bancorporation, N.A. recently priced and settled a US$500,000,000 fixed‑to‑floating rate senior notes offering due February 9, 2029, with a 4.483% fixed coupon to February 2028 and a subsequent Compounded SOFR plus 1.055% floating rate.
The bank plans to use the proceeds to pay down short‑term borrowings while a receive‑fixed hedge converts the new debt cost to floating, reshaping its interest rate risk profile.
We’ll now examine how this US$500,000,000 senior notes issuance and...