Business Context and Reporting Period
This Form 8-K is a current report filed by Structured Products Corp. on behalf of the CorTS Trust for PECO Energy Capital Trust III. The report date is October 31, 2018, which corresponds to the Distribution Date for the trust's securities. The filing serves to notify holders of the 8% Corporate-Backed Trust Securities (CorTS) Certificates Class A regarding the distribution payable on this date.
Key Financial Metrics
- Distribution Amount: $1.000000 per $25 Certificate (Class A), consisting entirely of interest ($1.000000) with no principal or premium component ($0.000000).
- Outstanding Certificates: 1,014,750 Class A Certificates were outstanding at the close of business on the Distribution Date.
- Aggregate Certificate Principal Balance: $25,368,750.
- Underlying Assets: The trust holds $27,500,000 aggregate principal amount of PECO Energy Capital Trust III 7.38% Capital Securities due April 6, 2028 (Term Assets).
- Unpaid Interest: $0.000000 aggregate interest was due and not paid as of the Distribution Date.
- Trustee Fees: No fees were paid to the Trustee or any other party from the proceeds of the Term Assets.
Material Changes
The filing does not provide comparative financial data or a prior period to assess material changes in revenue, profit, or margins. The document is a routine notification of a scheduled distribution event rather than a periodic financial statement detailing operational changes.
Guidance, Outlook, and Risks
- Rating Information: The current credit rating of the Term Assets is not provided in this report. Holders are directed to contact Standard & Poor's or Moody's for rating information.
- Due Diligence Disclaimer: Structured Products Corp. and the Trustee explicitly state they have not participated in the preparation of the issuer's (PECO Energy Company) reporting documents, nor have they verified the accuracy or completeness of such documents.
- Contingencies: There is no assurance that events affecting the issuer or the underlying securities have not occurred or have not yet been publicly disclosed which could affect the accuracy of publicly available documents.
Investor Verification Checklist
- Verify the current credit rating of the underlying PECO Energy Capital Trust III 7.38% Capital Securities due 2028 with rating agencies.
- Confirm the financial health and reporting status of the underlying issuer, PECO Energy Company (Exchange Act File Number 000-16844), as the Trustee does not verify this data.
- Review the specific terms of the 8% Corporate-Backed Trust Securities to understand the relationship between the distribution amount and the underlying asset yield.
- Check for any subsequent filings by PECO Energy Company that may impact the value of the Term Assets held by the trust.