Verizon (NYSE: VZ) will redeem a portion of its 4.329% Notes due 2028 on June 20, 2026. The company plans to redeem $1,295,282,000 of the currently outstanding $2,545,282,000 aggregate principal amount across three CUSIPs.
The redemption price will be the greater of 100% of principal or the discounted value of remaining payments at the Treasury Rate plus 25 basis points, plus accrued and unpaid interest to, but excluding, the Redemption Date.
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Positive
Redemption of $1,295,282,000 of 4.329% Notes due 2028 on June 20, 2026
Outstanding 4.329% Notes due 2028 reduced from $2,545,282,000 to $1,250,000,000 after redemption
Redemption price set by clear formula using Treasury Rate plus 25 basis points
In the May 20 session, VZ gained 0.17%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Market Context
This announcement details Verizon’s plan to redeem $1,295,282,000 of its 4.329% Notes due 2028 from ...
Analysis
This announcement details Verizon’s plan to redeem $1,295,282,000 of its 4.329% Notes due 2028 from a total of $2,545,282,000 outstanding, with pricing tied to the Treasury Rate plus 25 basis points. It follows earlier May 2026 tender offers and private exchanges, and recent issuance of long-dated junior subordinated notes. Investors may monitor how these moves collectively affect interest expense, maturity profiles, and overall leverage over time.
Key Figures
Coupon rate:4.329%Redemption amount:$1,295,282,000Principal outstanding:$2,545,282,000+5 more
Coupon rate
4.329%
Notes due 2028 being partially redeemed
Redemption amount
$1,295,282,000
Principal amount of 4.329% Notes to be redeemed on June 20, 2026
Principal outstanding
$2,545,282,000
Aggregate principal amount of 4.329% Notes due 2028 before redemption
CUSIP 92343V ER1 redemption
$1,274,166,000
Portion of the Notes under CUSIP 92343V ER1 to be redeemed
Redemption spread
25 basis points
Spread over Treasury Rate used to calculate Redemption Price
Tender offer cap
$1.25 billion
Cap for Waterfall Tender Offers announced May 11, 2026
6.050% notes
$2,000,000,000
Junior subordinated notes due 2058 offered under 424B2/8-K
6.200% notes
$2,000,000,000
Junior subordinated notes due 2056 offered under 424B2/8-K
A CUSIP is a nine-character alphanumeric code that uniquely identifies a U.S. or Canadian financial security—such as a stock, bond, or fund share—like a Social Security number for an investment. It matters to investors because brokers, exchanges and record-keepers use the CUSIP to match trades, track ownership, settle transactions and pull accurate records, reducing errors and ensuring money and securities go to the right place.
"discounted to the Redemption Date ... at the Treasury Rate (as defined in the Notes) plus 25 basis points"
The treasury rate is the interest yield governments pay when they borrow by issuing debt securities; it represents the baseline cost of money set by a sovereign issuer. Investors use it as a benchmark because it helps value other investments, sets borrowing costs across the economy, and signals confidence in public finances—think of it as the financial equivalent of a ruler or reference price that many other rates and valuations are measured against.
basis pointsfinancial
"at the Treasury Rate (as defined in the Notes) plus 25 basis points (the “Redemption Price”)"
Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.
business daytechnical
"calculated in accordance with the terms of the Notes on the third Business Day (as defined in the Notes)"
A business day is any weekday when banks, stock exchanges and most government offices are open for normal operations, excluding weekends and public holidays. For investors it matters because transaction timing, settlement of trades, filing deadlines and interest calculations are all measured in business days—think of it as the financial world’s working calendar that determines when money moves and official actions take effect.
NEW YORK, May 20, 2026 (GLOBE NEWSWIRE) -- Verizon Communications Inc. (“Verizon”) (NYSE, NASDAQ: VZ) today announced that it will redeem the following notes on June 20, 2026 (the “Redemption Date”):
I.D. Number
Title of Security
Amount to be Redeemed
Principal Amount Outstanding
CUSIP: 92343V ER1 / 92343V EQ3 / U9221A BK3
4.329% Notes due 2028 (the “Notes”)
$1,295,282,000
$2,545,282,000
We are redeeming (i) $1,274,166,000 of the Notes under CUSIP 92343V ER1, (ii) $11,012,000 of the Notes under CUSIP 92343V EQ3, and (iii) $10,104,000 of the Notes under CUSIP U9221A BK3 for a total redemption amount of $1,295,282,000 of the outstanding $2,545,282,000 aggregate principal amount of the Notes. The redemption price for the Notes being redeemed will be equal to the greater of (i) 100% of the principal amount of the Notes being redeemed, or (ii) the sum of the present values of the remaining scheduled payments of principal and interest on the Notes being redeemed (exclusive of interest accrued to the Redemption Date), as the case may be, discounted to the Redemption Date on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the Treasury Rate (as defined in the Notes) plus 25 basis points (the “Redemption Price”), plus, in either case, accrued and unpaid interest on the principal amount being redeemed to, but excluding, the Redemption Date. The Redemption Price will be calculated in accordance with the terms of the Notes on the third Business Day (as defined in the Notes) preceding the Redemption Date.
Questions relating to the notice of redemption and related materials should be directed to the paying agent: U.S. Bank Trust Company, National Association, 333 Thornall Street, Edison, New Jersey 08837, United States of America, or via telephone at 1-800-934-6802.
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What debt securities will Verizon (VZ) redeem on June 20, 2026?
Verizon will redeem a portion of its 4.329% Notes due 2028 on June 20, 2026. According to Verizon, these notes are identified by CUSIPs 92343V ER1, 92343V EQ3, and U9221A BK3 and are part of a larger outstanding issuance.
How much of Verizon’s 4.329% Notes due 2028 is being redeemed in 2026?
Verizon plans to redeem $1,295,282,000 of its 4.329% Notes due 2028. According to Verizon, this amount comes from a total outstanding principal of $2,545,282,000, leaving $1,250,000,000 of these notes outstanding after the June 20, 2026 redemption.
How is the redemption price for Verizon (VZ) 4.329% Notes due 2028 calculated?
The redemption price will be the greater of 100% of principal or the discounted value of remaining payments. According to Verizon, the discount rate equals the Treasury Rate defined in the notes plus 25 basis points, excluding interest accrued to the Redemption Date, plus accrued unpaid interest.
When will Verizon determine the final redemption price for its notes due 2028?
The redemption price will be calculated on the third Business Day before June 20, 2026. According to Verizon, this timing follows the terms of the notes, using the Treasury Rate plus 25 basis points to discount remaining scheduled payments when applicable.
Who is the paying agent for Verizon’s June 20, 2026 note redemption?
U.S. Bank Trust Company, National Association, is serving as the paying agent. According to Verizon, investors can contact the agent at 333 Thornall Street, Edison, New Jersey 08837, United States, or by telephone at 1-800-934-6802 for redemption-related questions.
