Aflac Incorporated Prices ¥38 Billion of Yen-Denominated Senior Notes

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Dec 10, 2019, 21:47 ET

COLUMBUS, Ga., Dec. 10, 2019 /PRNewswire/ -- Aflac Incorporated announced today that it has priced ¥38 billion principal amount of fixed-rate, yen-denominated senior notes. The offering consists of ¥12.6 billion of 0.500% senior notes due 2029, ¥9.3 billion of 0.843% senior notes due 2031, ¥9.8 billion of 0.934% senior notes due 2034, and ¥6.3 billion of 1.122% senior notes due 2039.

The company intends to use the net proceeds from this offering to fund all or a portion of the redemption price of its 4.000% senior notes due February 2022 (the "2022 senior notes"), of which $350 million principal amount are outstanding. The company intends to use proceeds in excess of such redemption price, if any, for general corporate purposes.

This press release does not constitute a notice of redemption of the 2022 senior notes. A notice of redemption will be sent to all currently registered holders of the 2022 senior notes by the trustee, The Bank of New York Mellon Trust Company, N.A. Information about the notice of redemption and procedures for redemption may be obtained from The Bank of New York Mellon Trust Company, N.A. by calling 800.254.2826.

This offering is being made pursuant to an effective shelf registration statement previously filed by Aflac Incorporated with the Securities and Exchange Commission (the "SEC") and only by means of a prospectus supplement and accompanying prospectus. You may obtain the registration statement and other documents that Aflac Incorporated has filed with the SEC that contain more complete information about Aflac Incorporated and this offering by contacting:

Goldman Sachs International
Plumtree Court, 25 Shoe Lane
London EC4A 4AU
Tel: +44 207 774 904

Mizuho Securities USA LLC
320 Park Avenue, 12th Floor
New York, NY 10022
Tel: 866.271.7403

Morgan Stanley & Co. International plc
25 Cabot Square
Canary Wharf
London E14 4QA
United Kingdom
Tel: +44 20 7677 3409

SMBC Nikko Securities America, Inc.
Attn: Securities Operations
277 Park Avenue
New York, NY 10172
Tel: 888.868.6856
Email: [email protected]

Alternatively, these documents may be obtained by visiting the SEC website at www.sec.gov.

This press release shall not constitute an offer to sell nor the solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

About Aflac Incorporated
Aflac Incorporated (NYSE: AFL) is a Fortune 500 company, helping provide protection to more than 50 million people through its subsidiaries in Japan and the U.S., where it is a leading supplemental insurer by paying cash fast when policyholders get sick or injured. For more than six decades, insurance policies of Aflac Incorporated's subsidiaries have given policyholders the opportunity to focus on recovery, not financial stress. Aflac Life Insurance Japan is the leading provider of medical and cancer insurance in Japan where it insures 1 in 4 households. Through its trailblazing One Day Pay^SM initiative in the United States, for eligible claims, Aflac can process, approve and electronically send funds to claimants for quick access to cash in just one business day. For 13 consecutive years, Aflac has been recognized by Ethisphere as one of the World's Most Ethical Companies. In 2018, Fortune magazine recognized Aflac as one of the 100 Best Companies to Work for in America for the 20th consecutive year and in 2019 Fortune included Aflac on its list of World's Most Admired Companies for the 18th time. To find out more about One Day Pay^SM and learn how to get help with expenses health insurance doesn't cover, get to know us at aflac.com.

Forward-looking Information
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" to encourage companies to provide prospective information, so long as those informational statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those included in the forward-looking statements. The company desires to take advantage of these provisions. This press release contains cautionary statements identifying important factors that could cause actual results to differ materially from those projected herein, and in any other statements made by company officials in communications with the financial community and contained in documents filed with the Securities and Exchange Commission (SEC). Forward-looking statements are not based on historical information and relate to future operations, strategies, financial results or other developments. Furthermore, forward-looking information is subject to numerous assumptions, risks and uncertainties. In particular, statements containing words such as "expect," "anticipate," "believe," "goal," "objective," "may," "should," "estimate," "intends," "projects," "will," "assumes," "potential," "target," "outlook" or similar words as well as specific projections of future results, generally qualify as forward-looking. Aflac undertakes no obligation to update such forward-looking statements.

The company cautions readers that the following factors, in addition to other factors mentioned from time to time, could cause actual results to differ materially from those contemplated by the forward-looking statements:

events related to the ongoing Japan Post investigation
difficult conditions in global capital markets and the economy
exposure to significant interest rate risk
concentration of business in Japan
foreign currency fluctuations in the yen/dollar exchange rate
limited availability of acceptable yen-denominated investments
U.S. tax audit risk related to conversion of the Japan branch to a subsidiary
deviations in actual experience from pricing and reserving assumptions
ability to continue to develop and implement improvements in information technology systems
competitive environment and ability to anticipate and respond to market trends
ability to protect the Aflac brand and the Company's reputation
ability to attract and retain qualified sales associates, brokers, employees, and distribution partners
interruption in telecommunication, information technology and other operational systems, or a failure to maintain the security, confidentiality or privacy of sensitive data residing on such systems
failure to comply with restrictions on patient privacy and information security
extensive regulation and changes in law or regulation by governmental authorities
tax rates applicable to the Company may change
defaults and credit downgrades of investments
decline in creditworthiness of other financial institutions
significant valuation judgments in determination of amount of impairments taken on the Company's investments
subsidiaries' ability to pay dividends to the Parent Company
decreases in the Company's financial strength or debt ratings
inherent limitations to risk management policies and procedures
concentration of the Company's investments in any particular single-issuer or sector
differing judgments applied to investment valuations
ability to effectively manage key executive succession
catastrophic events including, but not necessarily limited to, epidemics, pandemics, tornadoes, hurricanes, earthquakes, tsunamis, war or other military action, terrorism or other acts of violence, and damage incidental to such events
changes in accounting standards
increased expenses and reduced profitability resulting from changes in assumptions for pension and other postretirement benefit plans
level and outcome of litigation
allegations or determinations of worker misclassification in the United States