Raytheon Technologies Corporation Issues $1,000,000,000 Aggregate Principal Amount of 2.375% Notes Due 2032
November 16, 2021 at 05:22 pm EST
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On November 16, 2021, Raytheon Technologies Corporation issued $1,000,000,000 aggregate principal amount of 2.375% Notes due 2032 (the ?notes due 2032?) and $1,100,000,000 aggregate principal amount of 3.030% Notes due 2052 (together with the notes due 2032, the ?Notes?). The Notes were registered under the Securities Act of 1933, as amended (the ?Act?), pursuant to the Company?s Registration Statement on Form S-3ASR (File No. 333-234027) (the ?Registration Statement?) filed on September 27, 2019. On November 3, 2021, the Company filed with the Securities and Exchange Commission (the ?SEC?) a Prospectus Supplement dated November 1, 2021 (the ?Prospectus Supplement?), containing the final terms of the Notes pursuant to Rule 424(b)(2) of the Act. In connection with the offer and sale of the Notes, the Company entered into an Underwriting Agreement, dated November 1, 2021 (the ?Underwriting Agreement?), and a Pricing Agreement, dated November 1, 2021 (the ?Pricing Agreement?), each between the Company and BNP Paribas Securities Corp., BofA Securities Inc., J.P. Morgan Securities LLC, and Morgan Stanley & Co. LLC, as Representatives of the Underwriters listed in Schedule I to the Pricing Agreement. A form of the Underwriting Agreement is included as Exhibit 1.1 to the Registration Statement. The Notes were issued under the Amended and Restated Indenture, dated as of May 1, 2001 (the ?Indenture?), between the Company and The Bank of New York Mellon Trust Company, N.A., successor to The Bank of New York, as trustee. The Indenture and a form of the Notes are included as Exhibits 4.1 and 4.2 to the Registration Statement. The Company expects to use the net proceeds received from the issuance of the Notes to fund the purchase of the Tender Offer Notes (as defined below) validly tendered (and not validly withdrawn) and accepted for purchase pursuant to the procedures outlined in the Offer to Purchase (as defined below) and the payment of related accrued and unpaid interest, premiums, fees and expenses, with any remaining proceeds to be used for general corporate purposes. On November 16, 2021, the Company announced the pricing terms of the Tender Offers. The Company has determined that the completion of the offering of the Notes satisfies the funding condition of the Tender Offers. Accordingly, on or about November 17, 2021, the Company intends to accept for purchase, and pay for, $2.1 billion aggregate purchase price, not including accrued and unpaid interest, of Tender Offer Notes validly tendered and not validly withdrawn at or prior to the Early Tender Time. The Tender Offer Notes that the Company expects to accept include the 6.125% Notes due 2038, 5.700% Notes due 2040, 7.500% Notes due 2029, 6.700% Notes due 2028, 6.050% Notes due 2036, 5.400% Notes due 2035, 7.000% Notes due 2038, 6.800% Notes due 2036 and 7.100% Notes due 2027. The 4.800% Notes due 2043, 4.500% Notes due 2042, 4.200% Notes due 2044, 4.450% Notes due 2038 and 4.625% Notes due 2048 will not be accepted for purchase.
RTX Corporation (formerly Raytheon Technologies Corporation) is among the world's leading aeronautics and defense groups. Net sales (including intragroup) break down by sector of activity as follows:
- aerial navigation systems (29.3%; Collins Aerospace): manufacturing of electrical, electronical and mechanical systems for aircrafts (compressors, airplane control, etc.), civil and military helicopters, etc.;
- aeronautics (29.2%; Pratt & Whitney): design and manufacturing of civil and military aircraft engines, gas turbines, rocket engines and propulsion systems;
- missile systems, and integrated air and anti-missile defense systems (21.1%; Raytheon Missiles & Defense): design and manufacturing of weapons systems, missiles, munitions, projectiles, radars systems, control and monitoring equipment, communication, information, detection and imaging systems, etc. ;
- aerospace systems (20.4%; Raytheon Intelligence & Space): production of radars, airborne sensors, tactical airborne communications systems, software-defined radio solutions, advanced tactical networking systems, cryptographic systems, real-time sensor networking systems, etc.
Net sales break down by source of revenue between sales of products (76.7%) and services (24.3%).
Net sales are distributed geographically as follows: the United States (86.3%), Europe (5.8%), Asia/Pacific (2.7%), North Africa and Middle East (0.2%) and other (5%).
RTX CORPORATION 
