Costco Seeks to Raise $2 Billion in Debt Offering

ISSAQUAH, Wash. -- Costco Wholesale here is seeking to raise $2 billion in five- and 10-year notes, bankers said in an offering Tuesday. The retailer is expected to use the proceeds to refinance $300 million in debt maturing next month, as well as to fund stock repurchases. Fitch Ratings, New York, gave the notes an “AA-” rating and a stable outlook, noting that although the issue adds around $1.7 billion of debt to Costco‘s capital structure, its credit measures and business strategy remain strong.