LOS ANGELES--(BUSINESS WIRE)--Aug. 24, 2001--City National Corp.(NYSE:CYN) today announced the pricing of $150 million of 10-yearsubordinated notes offered by its wholly owned subsidiary, CityNational Bank.
The subordinated notes have a coupon of 6.75 percent per annum anda maturity due date of Sept. 1, 2011. The first interest pay date isMarch 1, 2002.
These subordinated notes qualify as Tier II capital for bankregulatory purposes. Proceeds will be used for general corporatepurposes.
"To support the continuing growth of City National Bank, which nowhas assets in excess of $9.1 billion, we announced our secondsubordinated debt offering in 3 1/2 years, to take advantage of anattractive opportunity to enhance our strong capital position and addto long-term shareholder value," said Russell Goldsmith, chairman andCEO of City National Bank. "The funds raised from this offering willhelp increase our capabilities to serve our clients as California'sPremier Private and Business Bank(SM)."
The subordinated notes were offered only to accredited investorswith a minimum investment of $250,000, in $1,000 increments. CreditSuisse First Boston served as lead manager and agent for placement ofthe debt offering.
The co-manager group included City National Securities Inc., asubsidiary of City National Bank; Goldman, Sachs & Co.; LehmanBrothers; Morgan Stanley; and Salomon Smith Barney.
City National Corp. is a publicly owned financial servicescorporation headquartered in California with $9.1 billion in assets.Its stock is traded on the New York Stock Exchange under the symbol"CYN."
The corporation's wholly owned subsidiary, City National Bank,provides banking, trust and investment services through its 49 officesin Contra Costa, Los Angeles, Orange, Riverside, San Bernardino, SanDiego, San Francisco, San Mateo, Santa Clara and Ventura counties.
For more information about City National, visit the company's Website at cnb.com.
This news release contains forward-looking statements about thecorporation for which the corporation claims the protection of thesafe harbor contained in the Private Securities Litigation Reform Actof 1995. Forward-looking statements include information concerning thecorporation's possible or assumed future financial condition, and itsresults of operations and business. Forward-looking statements aresubject to risks and uncertainties. A number of factors, some of whichare beyond the corporation's ability to control or predict, couldcause actual results to differ materially from those contemplated bysuch forward-looking statements. These factors include (1) an economicslowdown in California, (2) changes in interest rates, (3) significantchanges in banking laws or regulations, (4) increased competition inthe corporation's market, and (5) higher-than-expected credit losses.For a more complete discussion of these risks and uncertainties, seethe corporation's quarterly report on Form 10-Q for the quarter endedJune 30, 2001, and particularly the section of Management's Discussionand Analysis therein titled Cautionary Statement for Purposes of the"Safe Harbor" Provisions of the Private Securities Litigation ReformAct of 1995.
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