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Overview

China Bank of Communications contributes to $2.8 billion USD syndicated term loan to Phillips 66 for general corporate and spin-off transaction purposes in 2012

Commitments (Constant USD, 2023)$104,644,481
Commitment Year2012Country of ActivityUnited StatesDirect Recipient Country of IncorporationUnited StatesSectorEnergyFlow TypeLoan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Feb 22, 2012
End (actual)
Apr 12, 2012
Last repayment (originally scheduled)
Feb 20, 2017

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

  • China Bank of Communications (BoCom or BoComm)

Cofinancing agencies

Private Sector

  • Bank of America, N.A.
  • Bank of New York Mellon Corporation (BNY Mellon)
  • Bank of Nova Scotia (Scotiabank)
  • Barclays Bank PLC
  • BBVA USA (formerly BBVA Compass or Compass Bank, now PNC Financial Services)
  • BNP Paribas S.A.
  • Chang Hwa Commercial Bank Limited
  • Citibank, N.A.
  • Comerica Bank
  • Credit Suisse AG
  • Deutsche Bank AG
  • DNB Bank ASA (formerly DnB NOR ASA)
  • First Commercial Bank Limited
  • JPMorgan Chase Bank, N.A. (Chase Bank, formerly the Chase Manhattan Bank)
  • Lloyds Bank plc (formerly Lloyds TSB Bank PLC)
  • Mizuho Corporate Bank, Ltd. (MHCB)
  • MUFG Bank, Ltd. (Formerly Bank of Tokyo-Mitsubishi UFJ, Ltd. (BTMU))
  • National Bank of Kuwait S.A.K. (NBK)
  • PNC Bank, National Association
  • Royal Bank of Canada (RBC)
  • Sumitomo Mitsui Banking Corporation (SMBC)
  • The Northern Trust Company
  • U.S. Bank National Association
  • UniCredit Bank AG

State-owned Banks

  • Bayerische Landesbank (BayernLB)
  • Royal Bank of Scotland (RBS)
  • Taiwan Cooperative Bank

State-owned companies

  • Export Development Canada (EDC)

Receiving agencies

Private Sector

  • Phillips 66

Guarantors

Private Sector

  • Phillips 66 Company (P66Co)

Loan description

China Bank of Communications contributes to $2.8 billion USD syndicated term loan to Phillips 66 for general corporate and spin-off transaction purposes in 2012

Interest rate (t₀)0.7531%Interest typeVariable Interest RateMaturity5 years

Narrative

Full Description

Project narrative

On February 22, 2012, financial close was reached on a deal in which a syndicate of 29 banks — including the Bank of Communications — entered into a $2.8 billion USD syndicated term loan agreement with Phillips 66, a Delaware-based energy manufacturing and logistics company. The maturity of the loan is five years, and the interest rate is LIBOR plus an applicable margin. The proceeds of the Loans will be used for general corporate purposes and provide financial support for the spin-off transaction from ConocoPhillips, its former parent company. While the Bank of Communications contributed to this loan, the following banks also participated: JPMorgan Chase Bank, N.A. (Administrative Agent, Swing Line Lender, and Issuing Bank), The Royal Bank of Scotland PLC, Bank of America, N.A., Citibank, N.A., The Bank of Tokyo-Mitsubishi UFJ, Ltd., DNB Bank ASA, Grand Cayman Branch, Royal Bank of Canada, Credit Suisse AG (Cayman Islands), The Bank of Nova Scotia, BNP Paribas, Lloyds TSB Bank PLC, Mizuho Corporate Bank, Ltd., PNC Bank, National Association, Sumitomo Mitsui Banking Corporation, Deutsche Bank AG New York Branch, Barclays Bank PLC, Bayerische Landesbank New York Branch, UniCredit Bank AG New York Branch, Export Development Canada, The Bank of New York Mellon, U.S. Bank National Association, Compass Bank, Comerica Bank, The Northern Trust Company, Chang Hwa Commercial Bank, Ltd., New York Branch, First Commercial Bank New York Branch, National Bank of Kuwait S.A.K., Grand Cayman Branch, and Taiwan Cooperative Bank Los Angeles Branch. On April 12, 2012, Phillips 66 successfully completed the spin-ff from its previous parent company.

Staff comments

1. Phillips 66, headquartered in Houston, Texas, is a diversified energy manufacturing and logistics company involved in refining, midstream operations, and chemicals. Established in 2012 after spinning off from ConocoPhillips, it operates globally, with primary activities in the United States. 2. AidData estimates the interest rate by adding the 6-month average LIBOR rate for February 2012 and an applicable margin based on credit ratings. However, the applicable margin is not disclosed in the original loan contract. Instead, the company's quarterly report lists the all-in interest as 1.69%. 3. The individual contributions of the 29 lenders to this $2.8 billion USD syndicated RCF are unknown. For the time being, AidData has estimated the contribution of China Bank of Communications by assuming that each lender contributed an equal amount. Hence, AidData estimated the contribution of China Bank of Communications is $96,551,724.18 USD. 3. The loan agreement for 2012 can be accessed at https://www.dropbox.com/scl/fi/vk5risx0tzgldct0x6k1e/Phillips-66-Form_-10-12B_A-Received_-03_01_2012-14_10_01.pdf?rlkey=xqkj75i811126x8z8ifpd3veb&st=ya3ojk76&dl=0