SAN BERNARDINO, Calif. — Stater Bros. Holdings here, corporate parent of Stater Bros. Markets, said Tuesday it has completed its private offering of $255 million worth of 7 3/8% senior notes, due in 2018, as part of a plan to refinance some of its existing debt at a lower rate.
The company said earlier this month it would issue the bonds and use the capital, along with $132 million in cash and a $145 million loan, to repay about $525 million in bonds with an 8.125% rate due in 2012.
The transaction is expected to save the company between $16 million and $18 million a year in interest payments and reduce its overall debt load by $125 million.