American Assets Trust, Inc. (NYSE:AAT) Q3 2024 Earnings Conference Call October 30, 2024 11:00 AM ET
Company Participants
Ernest Rady - Chairman & Chief Executive Officer
Adam Wyll - President & Chief Operating Officer
Bob Barton - Chief Financial Officer
Steve Center - Senior Vice President, Office Properties
Conference Call Participants
Ravi Vaidya - Mizuho
Reny Pire - Green Street Advisors
Todd Thomas - KeyBanc Capital Markets
Operator
Welcome to American Assets Trust Inc.'s Third Quarter 2024 Earnings Call. As a reminder, today's conference is being recorded.
Please note that statements made on this conference call include forward-looking statements, based on current expectations which statements are subject to risks and uncertainties discussed in the company's filings with the SEC. You are cautioned not to place undue reliance on these forward-looking statements, as actual events could cause the company's results to differ materially from these forward-looking statements.
Yesterday afternoon, American Assets Trust earnings release and supplemental information were furnished to the SEC on Form 8-K. Both are now available on the Investors section of the website americanassetstrust.com.
It is now my pleasure to turn the conference over to Ernest Rady, Chairman and CEO of American Assets Trust. Please go ahead, sir.
Ernest Rady
Good morning, everyone, and thank you again for joining us today. At American Assets Trust, we've always emphasized that our strength lies in our diversified high-quality portfolio top-tier operating platform, disciplined financial strategy and our highly experienced and capable management team. These factors position us well to navigate any economic environment.
Along those lines throughout the year, we've been closely monitoring the debt markets. In September, we made the strategic decision to approach the investment grade bond market for our latest issuance. The strong demand led us to upsize the offering after it was initially more than four times oversubscribed.
In the end, we issued a 10-year, $525 million bond at a 6.15% coupon. We were fortunate to lock in favorable rates taking advantage of a market rally and they lead up to our issuance. This bond strengthens our liquidity and flexibility addressing all of our debt maturities into early 2027.
I'm sure you're all familiar with the saying better to be lucky than smart. Fortunately, we have checked both boxes as rates quickly surged following our offering with a 10-year yield climbing over 55 basis points since our issuance. We were able to capture a favorable window in the market.