CDW Corp Form 8-K Summary
Business Context and Reporting Period
This Current Report on Form 8-K was filed by CDW Corporation on January 22, 2014. The filing reports a specific triggering event regarding the company's debt obligations rather than providing comprehensive periodic financial results.
Key Financial Metrics
The filing details a partial redemption of outstanding debt instruments:
- Instrument: 12.535% Senior Subordinated Exchange Notes due 2017.
- Redemption Amount: $20.0 million aggregate principal amount.
- Total Outstanding Principal: $62.5 million (prior to redemption).
- Redemption Price: 104.178% of principal ($1,041.78 per $1,000 principal amount).
- Additional Costs: Plus accrued and unpaid interest to, but not including, the redemption date.
- Redemption Date: February 21, 2014.
The filing text does not provide clear values for revenue, profit, cash flow, margins, or overall liquidity metrics for the reporting period.
Material Changes
The primary material change is the reduction of the company's long-term debt load. CDW LLC and CDW Finance Corporation have initiated the redemption of approximately 32% of the outstanding principal of their 2017 Notes.
Guidance, Outlook, and Risks
The filing does not contain updated financial guidance, management commentary on future outlook, or new risk factors. The transaction is executed in accordance with the provisions of the indenture governing the Notes. The immediate financial impact involves the cash outflow required to pay the redemption price and accrued interest on February 21, 2014.
Key Facts for Investor Verification
- Verify the cash impact of the redemption, including the premium (4.178%) and accrued interest.
- Confirm the remaining principal balance of the 12.535% Notes after the $20.0 million reduction.
- Review the attached press release (Exhibit 99.1) for any additional context on the company's capital allocation strategy.
- Check subsequent filings to confirm the execution of the redemption on February 21, 2014.