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Health Care Provider Executes I-Rate Swap

10 Aug 2003

Humana, a publicly traded health care provider, has entered an interest rate swap to convert a USD300 million fixed-rate bond into a synthetic floater. Walter Stark, assistant treasurer in Louisville, Ky., said the corporate entered the swap to hedge its interest rate exposure.

The swap mirrors the size and maturity of the 15-year bond, said Stark, declining to detail what the company pays and receives in the transaction. Banc of America Securities and JPMorgan lead managed the bond sale, but stark declined to name the swap counterparty.

10 Aug 2003