MOUNT LAUREL, N.J.,
May 23, 2017 /PRNewswire/ -- Sun
Bancorp, Inc. (NASDAQ: SNBC) (the "Company"), the holding company
for Sun National Bank (the "Bank"),
announced today that $40 million of
its outstanding trust preferred securities have been called for
redemption. Specifically, the securities being redeemed are:
(i) $25 million of the Floating Rate
Preferred Securities (the "Trust V Securities") issued by Sun
Capital Trust V, an affiliated Delaware statutory trust ("Trust V") and (ii)
$ 15 million of the Floating Rate
Capital Securities (the "Trust VI Securities" and, together with
the Trust V Securities, the "Trust Preferred Securities") issued by
Sun Capital Trust VI, an affiliated Delaware statutory trust ("Trust VI").
The Trust Preferred Securities are being redeemed, along with the
common securities issued by Trust V and Trust VI and held by the
Company, as a result of the concurrent redemption of the Company's
outstanding Floating Junior Subordinated Notes due 2033 (the
"Junior Subordinated Notes") held by Trust V and the outstanding
Floating Rate Junior Subordinated Debt Securities due 2034 (the
"Junior Subordinated Debt Securities") held by Trust VI, which
underlie the Trust Preferred Securities. These redemptions
are pursuant to the optional prepayment provisions of the
respective indentures. The redemption of the Trust V Securities is
scheduled to occur on June 30, 2017
and the redemption of the Trust VI Securities is scheduled to occur
on July 23, 2017.
The redemption price for each of the Junior Subordinated Notes
and the Junior Subordinated Debt Securities being redeemed will be
equal to 100% of the principal amount plus accrued interest, if
any, up to, but not including, the date of redemption. The
proceeds from the redemption of the Junior Subordinated Notes and
the Junior Subordinated Debt Securities will be simultaneously
applied to redeem all of the outstanding Trust Preferred Securities
at a price of 100% of the aggregate liquidation amount of such
securities plus accumulated but unpaid distributions up to but not
including the respective dates of redemption.
About Sun Bancorp, Inc.
Sun Bancorp, Inc. (NASDAQ: SNBC) is a $2.26 billion asset bank holding company
headquartered in Mount Laurel, New
Jersey. Its primary subsidiary is Sun National Bank, a community bank serving
customers throughout New Jersey
and the metro New York region.
Sun National Bank is an Equal Housing Lender and its deposits
are insured up to the legal maximum by the FDIC. For more
information about Sun National Bank
and Sun Bancorp, Inc., visit www.sunnationalbank.com.
Cautionary Note Regarding Forward-Looking
Statements
The foregoing material contains forward-looking statements,
as defined in the Private Securities Litigation Reform Act of 1995,
which may be identified by the use of such words as "allow,"
"anticipate," "believe," "continues," "could," "estimate,"
"expect," "intend," "may," "opportunity," "outlook,"
"plan," "potential," "predict," "project," "reflects,"
"should," "typically," "usually," "view," "will," "would," and
similar terms and phrases, including references to
assumptions. Examples of forward-looking statements include,
but are not limited to, estimates with respect to the financial
condition, results of operations and business of the Company and
the Bank, the banking industry, the economy in general,
expectations of the business environment in which the Company
operates, projections of future performance and other statements
contained herein that are not historical facts. These remarks
are based upon current management expectations, and may, therefore,
involve risks and uncertainties that cannot be predicted or
quantified and are beyond the Company's control and are subject to
a variety of uncertainties that could cause future results to vary
materially from the Company's historical performance, or from
current expectations. Factors that could cause actual results
to differ from those expressed or implied by such forward-looking
statements include, but are not limited to: (i) the Company's
ability to attract and retain key management and staff; (ii)
changes in business strategy or an inability to successfully
execute strategy due to the occurrence of unanticipated events;
(iii) the ability to attract deposits and other sources of
liquidity; (iv) changes in the financial performance and/or
condition of the Bank's borrowers; (v) changes in consumer
spending, borrowing and saving habits; (vi) the ability to increase
market share and control expenses; (vii) changes in estimates of
future loan loss reserve requirements based upon the periodic
review thereof under relevant regulatory and accounting
requirements; (viii) local, regional and national economic
conditions and events and the impact they may have on the Company
and its customers; (ix) volatility in the credit and equity markets
and its effect on the general economy; (x) the credit risks of
lending activities, including changes in the level and trend of
loan delinquencies and write-offs; (xi) the overall quality of the
composition of the Company's loan and securities portfolios; (xii)
inflation, interest rate, securities market and monetary
fluctuations;(xiii) legislative and regulatory changes, including
the Dodd-Frank Wall Street Reform and Consumer Protection Act and
the implementing regulations, changes in banking, securities and
tax laws and regulations and their application by regulators and
changes in the scope and cost of the Federal Deposit Insurance
Corporation insurance and other coverages; (xiv) the effects of,
and changes in, monetary and fiscal policies and laws, including
interest rate policies of the Board of Governors of the Federal
Reserve System; (xv) competition among providers of financial
services; (xvi) other economic, competitive, governmental,
regulatory and technological factors affecting our operations,
pricing, products and services and the other risks detailed under
the headings "Risk Factors" and "Management's Discussion and
Analysis of Financial Condition and Results of Operations" in the
Company's Form 10-K for the fiscal year ended December 31, 2016 and in other filings made
pursuant to the Securities Exchange Act of 1934, as amended.
No undue reliance should be placed on any forward-looking
statements. The Company does not undertake, and specifically
disclaims, any obligation to publicly release the results of any
revisions that may be made to any such forward-looking statements
to reflect the occurrence of anticipated or unanticipated events or
circumstances after the date of such statements.
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SOURCE Sun Bancorp, Inc.