TOKYO-Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Takeshi Hashimoto) today announced that it has determined the conditions for the issuance of publicly offered hybrid  corporate bonds (no collateral and subordinated corporate bonds) (the “Hybrid Bonds”). The company issued a press release on March 17 announcing its intent to issue the bonds (Note 1). Details are as follows.

(1)Name of bondsMitsui O.S.K. Lines, Ltd. 1st unsecured subordinated bonds with an interest payment deferrable clause and optional early redemption conditions
(2)Issued amountJPY 50 billion
(3)Initial interest rate1.60% (Note 2)
(4)Closing dateApril 27, 2021
(5)Date of maturityApril 27, 2056
(6)Early redemptionMitsui O.S.K. Lines, Ltd. may redeem the Hybrid Bonds before redemption at its discretion on any interest payment date from and including April 27, 2026, or upon the occurrence and continuation of a Tax Event or an Equity Credit Change Event on or after the issue date.
(7)Interest payment dateApril 27 and October 27 of each year
(8)Deferral of interest paymentsMitsui O.S.K. Lines, Ltd. may, at its discretion, defer all or part of the interest payments on the Hybrid Bonds, subject to mandatory payment clauses.
(9)SubordinationThe Hybrid Bonds are ranked subordinated to MOL’s general debt and senior to the common stock.
(10)Bond ratingBBB (Japan Credit Rating Agency, Ltd.)
(11)Equity creditIntermediate equity credit 50% (Japan Credit Rating Agency, Ltd.)

(Note 1) Please refer to March 17, 2021 press release:
MOL Announces Issuance of Publicly Offered Hybrid Corporate Bonds

(Note 2) The fixed interest rate will be applied from the day after April 27, 2021, to April 27, 2026, and a variable interest rate from the day after April 27, 2026 (“Step-up interest rates” will be applied from the day after April 27, 2026).

Note: This announcement is prepared solely for purpose of public disclosure regarding the issuance of hybrid corporate bonds (no collateral and subordinated corporate bonds), and does not constitute a solicitation of investments or any similar acts.