May 27, 2022

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Verizon selling prices its third $1 billion eco-friendly bond

NEW YORK – Verizon Communications Inc. (NYSE, Nasdaq: VZ) settled its 3rd inexperienced bond presenting of $1 billion on September 3, shortly right after the entire allocation of its 2nd environmentally friendly bond toward renewable energy commitments. The internet proceeds of its 3rd eco-friendly bond are envisioned to also be allocated fully toward renewable electricity as the company carries on to enter into long-expression virtual ability acquire agreements (VPPAs) which support the development of photo voltaic and wind electricity facilities.

“In significantly less than two yrs, Verizon has develop into just one of the major corporate prospective buyers of renewable electricity in the U.S., moving into into fourteen VPPAs for practically 1.9 gigawatts of renewable power potential,” said Matt Ellis, Verizon’s Executive Vice President and Chief Money Officer. “These investments are reliable with our commitments in help of the U.N. Sustainable Growth Ambitions, to source or generate renewable electrical power equivalent to 50% of our total once-a-year electrical power consumption by 2025, and to be web-zero in our operational emissions by 2035 (scope 1 and 2 emissions). Additionally, this transaction aligns with our commitment to advancing racial and social equity in the funds marketplaces by partnering with women of all ages- and minority-owned firms.”

Verizon has added underwriter variety standards centered on sustainability and range commitments to its up-to-date Eco-friendly Financing Framework. The framework states that a financial institution will be suitable for collection as an underwriter for green funding devices only if it meets at least 1 of the following standards: [1] it has set up apparent and impactful commitments in assist of the U.N. Sustainable Advancement Ambitions and/or is a various-owned organization and/or [2] has a main mission of endorsing Diversity, Equity and Inclusion. Primarily based on these requirements and long-standing dependable relationships, Verizon selected three minority- and women of all ages-owned firms as lead underwriters for the start of the eco-friendly bond: Loop Capital Marketplaces, Ramirez & Co., Inc. and Siebert Williams Shank

In addition, Verizon appointed Morgan Stanley as a person of its 4 lead underwriters. Morgan Stanley has been a leader in sustainability for over a ten years, currently being the very first key U.S.-centered international lender to commit to net-zero financed emissions by 2050, although also championing Variety, Equity and Inclusion with initiatives these as the Institute for Inclusion and the Multicultural Innovation Lab. All 4 lead underwriters shared equivalent accountability in bringing this productive transaction to the market.

Yr to day, Verizon has paid roughly $20 million in underwriting costs to minority- and women of all ages-owned firms, such as $4.5 million for this third eco-friendly bond and far more than $14 million in costs linked to Verizon’s $25 billion financial debt supplying in March, with the latter transaction keeping the history for the most expenses compensated to minority- and women of all ages-owned corporations in a single transaction.

“Loop Money is thrilled to associate with Verizon as an energetic lead underwriter on its third environmentally friendly bond issuance. With this transaction, and the innovations it has included into its sustainability framework, Verizon continues to display that it is at the forefront of the industry and a true leader in ESG,” claimed Jim Reynolds, Chairman and CEO, Loop Money Markets. “Verizon proceeds to embody the most impressive elements of world corporate citizenship by using obligation in safeguarding the natural environment and by marketing and advancing the abilities of minority- and females-owned companies as direct underwriters.”

“We are proud of staying chosen for our purpose on this featuring, reflecting our individual commitments such as our net-zero financed emissions goal and our shared core benefit of endorsing variety, equity and inclusion. We applaud Verizon in its exceptional sustainability journey, such as their science-dependent emissions reductions targets to lessen carbon emissions and the expansion of their Inexperienced Financing Framework to consist of new criteria for choice of underwriters. Their 3rd consecutive green bond issuance was satisfied with potent and wide world investor participation ensuring a productive outcome,” explained Melissa James, Vice Chair and Head of Morgan Stanley’s ESG Middle of Excellence.

“Congratulations to Verizon on the completion of its 3rd environmentally friendly bond. We are honored to have been appointed as a guide underwriter for this essential transaction, which enabled us to showcase our abilities and compete at the greatest levels. Verizon proceeds to display leadership and eyesight in its inclusion of DEI companies. As we celebrate our 50th anniversary in 2021, we identify that it is opportunities these types of as this that have enabled us to increase our company over the a long time,” said Sam Ramirez Jr., Senior Taking care of Director, Ramirez & Co., Inc.

“With the issuance of its third consecutive $1 billion inexperienced bond, Verizon as soon as once more demonstrates its determination to the ideas of racial range and economic inclusion, even though also continuing to be a conventional bearer for corporate environmental responsibility,” claimed Chris Williams, Chairman of Siebert Williams Shank. “We thank Verizon for offering significant economic help and the possibility for its various banking partners to gain substantive expert working experience, which permits our corporations to boost the breadth and good quality of the capital markets products and services that we produce to all of our purchasers.”

This cash sector transaction aligns with Verizon’s extended-standing determination to drive each environmental and social progress as element of its dependable business enterprise system, Citizen Verizon, empowering the engineering leader to produce on its mission to transfer the globe ahead by addressing pressing societal concerns.

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