Wells Fargo & Company Announces Full Redemptions of its Series P and Series W Preferred Stock and Related Depositary Shares

Rhea-AI Summary

Wells Fargo (NYSE: WFC) announced the redemption of 25,000 shares of its Series P Preferred Stock and 40,000 shares of its Series W Preferred Stock, effective March 15, 2021. The redemption price is set at $25,000 per Series P Preferred Share and $25.00 per Series W Preferred Share. This action follows regular quarterly dividend payments on the same date, which will be made to the holders of record as of February 26, 2021. All regulatory requirements for these redemptions have been satisfied, with Equiniti Trust Company acting as the redemption agent.

Positive

• Redemption of 25,000 Series P Preferred Shares and 40,000 Series W Preferred Shares demonstrates strong capital management.
• Compliance with all regulatory requirements enhances investor confidence.

Negative

• None.

Wells Fargo & Company (NYSE: WFC) today announced that on March 15, 2021, it will redeem all 25,000 shares (the “Redeemed Series P Preferred Shares”) of its Non-Cumulative Perpetual Class A Preferred Stock, Series P (the “Series P Preferred Stock”). The redemption of the Redeemed Series P Preferred Shares will trigger the redemption of the 25,000,000 shares of the related depositary shares (the “Redeemed Series P Depositary Shares”), each representing a 1/1,000 interest in a share of Series P Preferred Stock (the “Series P Depositary Shares”) (NYSE: WFC.PRP). The redemption price will be equal to $25,000.00 per Redeemed Series P Preferred Share and $25.00 per Redeemed Series P Depositary Share. After giving effect to the redemption, no shares of the Series P Preferred Stock or the Series P Depositary Shares will remain outstanding.

Financial documents (Photo: Wells Fargo)

Wells Fargo & Company also announced that on March 15, 2021, it will redeem all 40,000 shares (the “Redeemed Series W Preferred Shares”) of its Non-Cumulative Perpetual Class A Preferred Stock, Series W (the “Series W Preferred Stock”). The redemption of the Redeemed Series W Preferred Shares will trigger the redemption of the 40,000,000 shares of the related depositary shares (the “Redeemed Series W Depositary Shares”), each representing a 1/1,000 interest in a share of Series W Preferred Stock (the “Series W Depositary Shares”) (NYSE: WFC.PRW). The redemption price will be equal to $25,000.00 per Redeemed Series W Preferred Share and $25.00 per Redeemed Series W Depositary Share. After giving effect to the redemption, no shares of the Series W Preferred Stock or the Series W Depositary Shares will remain outstanding.

Because the redemption date is also a dividend payment date for the Series P Preferred Stock, the Series P Depositary Shares, the Series W Preferred Stock, and the Series W Depositary Shares, the redemption prices noted herein do not include declared and unpaid dividends. Regular quarterly dividends will be paid separately in the customary manner on March 15, 2021, to holders of record at the close of business on Feb. 26, 2021.

All regulatory requirements relating to the redemption of the Redeemed Series P Preferred Shares, Redeemed Series P Depositary Shares, Redeemed Series W Preferred Shares, and Redeemed Series W Depositary Shares have been satisfied by Wells Fargo & Company. The redemption agent is Equiniti Trust Company, 1110 Centre Pointe Curve, Suite 101, Mendota Heights, Minnesota 55120. Payment of the redemption price for the Redeemed Series P Depositary Shares and the Redeemed Series W Depositary Shares will be sent to holders by the redemption agent on the redemption date.

About Wells Fargo

Wells Fargo & Company is a leading financial services company that has approximately $1.9 trillion in assets and proudly serves one in three U.S. households and more than 10% of all middle market companies in the U.S. We provide a diversified set of banking, investment, and mortgage products and services, as well as consumer and commercial finance, through our four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth and Investment Management. Wells Fargo ranked No. 30 on Fortune’s 2020 rankings of America’s largest corporations. In the communities we serve, the company focuses its social impact on building a sustainable, inclusive future for all by supporting housing affordability, small business growth, financial health, and a low-carbon economy.

News Release Category: WF-CF

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FAQ

What is Wells Fargo redeeming on March 15, 2021?

Wells Fargo is redeeming 25,000 Series P Preferred Shares and 40,000 Series W Preferred Shares.

What is the redemption price for the Series P and Series W Preferred Shares?

The redemption price is $25,000 per Series P Preferred Share and $25.00 per Series W Preferred Share.

When will Wells Fargo pay dividends related to the redeemed shares?

Regular quarterly dividends will be paid on March 15, 2021, to holders of record as of February 26, 2021.

Who is the redemption agent for Wells Fargo's preferred shares?

Equiniti Trust Company is the redemption agent for the preferred shares.

What will happen after the redemption of Series P and W Preferred Shares?

After the redemption, no shares of Series P or Series W Preferred Stock will remain outstanding.