Imperial Oil Issues Notes and Establishes MTN Programme

Imperial Oil Limited filed a short-form based shelf prospectus establishing a $1 billion medium term note programme on April 8, 2002. Under the programme, Imperial may issue notes from time to time during the next 25 months.
On May 7, 2002, Imperial issued $500 million aggregate principal of variable rate medium term notes, with an initial maturity date of May 7, 2004, subject to extension by the investors from year to year to a final maturity date of May 7, 2007. In effect, this was a two-part deal in which Imperial raised capital for a two-year fixed term and it gave investors the option to extend their holdings from year to year for up to another three years. Interest is payable quarterly at a variable rate based on the three-month BA rate plus a spread of 10 basis points. The notes are rated “AAA” by Standard & Poor’s and “AA” by Dominion Bond Rating Service Limited. Net proceeds resulting from the issuance of notes will be used by Imperial for general corporate purposes.
Blake, Cassels & Graydon LLP represented Imperial, with a team comprised of David Jackson, Sheila Murray, Anoop Dogra and James Clarke (securities/corporate) and Ron Richler (tax). The Blakes team worked under the guidance of Brian Livingston, vice-president and general counsel; John Kyle, vice-president and treasurer; John Lowman, senior counsel; Phil Dranse, assistant treasurer; and Jalaj Srivastava, financial analyst, corporate finance, Imperial.
McCarthy Tétrault LLP acted for the dealers, TD Securities Inc., RBC Capital Markets Inc., CIBC World Markets Inc. and Scotia Capital Inc., in establishing the $1 billion medium note programme, and in the underwriting of the first $500 million of notes under the programme. The McCarthy Tétrault team included Edward Kerwin, Robert Hansen and Matthew Kelleher.

Lawyer(s)

Robert O. Hansen J. David A. Jackson James D. Clarke Anoop Dogra Matthew S. Kelleher Sheila A. Murray Ronald M. Richler