Haifa, Israel, September 1, 2023 – Elbit Systems Ltd. (NASDAQ: ESLT and TASE: ESLT) Elbit Systems announced today, following its announcement of August 16, 2023, that it completed an issuance in Israel of U.S. Dollar denominated commercial paper in an amount of approximately $300 million par value, bearing an annual interest of the SOFR 3M interest rate and an additional 1% (the "Issuance"). S&P Global Ratings Maalot Ltd. had assigned an ilA-1+ (on local scaling) short term rating to commercial paper.
The commercial paper is for a term of 90 days, which may be extended by additional periods of 90 days each, up to a maximum period of five years, and is also subject to early repayment at the request of an investor with a seven business days notice, or at the Company's discretion, with a 21 days prior notice. The commercial paper will not be listed on any stock exchange. The proceeds of the Issuance are intended for diversification of the Company's financing sources and for its ongoing operations.
The Company may issue, from time to time, additional commercial paper ("Additional Potential Issuances"). The execution, timing, terms and amounts to be raised in any Additional Potential Issuances have not been determined and there is no assurance that any Additional Potential Issuances will be made.
The commercial papers issued in the Issuance, and that may be issued in any Additional Potential Issuances, if completed, will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States or to U.S. Persons (as defined in Regulation “S” promulgated under the Securities Act) without registration under the Securities Act or an exemption from the registration requirements of the Securities Act. Any offering of securities in any Additional Potential Issuances, if made, will be made only in Israel. This announcement shall not constitute a solicitation or an offer to buy any securities.