BB&T 2009 Annual Report Download - page 124

BB&T CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
In November 1997, MainStreet Capital Trust I (“MSCT I”) issued $50 million of 8.90% Trust Securities.
MSCT I, a statutory business trust created under the laws of the State of Delaware, was formed by MainStreet
Financial Corporation, (“MainStreet”) for the sole purpose of issuing the Trust Securities and investing the
proceeds thereof in 8.90% Junior Subordinated Debentures issued by MainStreet. MainStreet, which merged into
BB&T on March 5, 1999, entered into agreements which, taken collectively, fully, irrevocably and unconditionally
guarantee, on a subordinated basis, all of MSCT I’s obligations under the Trust Securities. MSCT I’s sole asset is
the Junior Subordinated Debentures issued by MainStreet and assumed by BB&T, which mature December 1,
2027, but are subject to early mandatory redemption in whole under certain limited circumstances and are
callable in whole or in part anytime after December 1, 2007. The Trust Securities of MSCT I are subject to
mandatory redemption in whole on December 1, 2027, or such earlier date in the event the Junior Subordinated
Debentures are redeemed by BB&T pursuant to one of the prescribed limited circumstances or pursuant to the
call provisions. One Valley Bancorp, Inc., which merged into BB&T Corporation on July 6, 2000 and a subsidiary
of Mason-Dixon Bancshares, Inc, which merged into BB&T on July 14, 1999, each owned $2 million of the Trust
Securities issued by MSCT I.
In November 1997, Premier Capital Trust I (“PCT I”) issued $29 million of 9.00% Preferred Securities. PCT
I, a statutory business trust created under the laws of the State of Delaware, was formed by Premier Bancshares,
Inc., (“Premier”) for the purpose of issuing the Preferred Securities and investing the proceeds thereof in 9.00%
Junior Subordinated Debentures issued by Premier. Premier, which merged into BB&T on January 13, 2000,
entered into agreements which, taken collectively, fully, irrevocably and unconditionally guarantee, on a
subordinated basis, all of PCT I’s obligations under the Preferred Securities. PCT I’s sole asset is the Junior
Subordinated Debentures issued by Premier and assumed by BB&T, which mature December 31, 2027, but are
subject to early mandatory redemption in whole under certain limited circumstances and are callable in whole or
in part anytime after December 31, 2007. The Preferred Securities of PCT I, are subject to mandatory
redemption in whole on December 31, 2027, or such earlier date in the event the Junior Subordinated Debentures
are redeemed by BB&T pursuant to one of the prescribed limited circumstances or pursuant to the call
provisions.
In November 2002, Main Street Banks Statutory Trust I (“MSBT I”) issued $5 million of floating rate Capital
Securities. MSBT I, a statutory business trust created under the laws of the State of Connecticut, was formed by
Main Street Banks, Inc., (“MSBK”) for the purpose of issuing the Capital Securities and investing the proceeds
thereof in floating rate Junior Subordinated Debentures issued by MSBK. MSBK, which merged into BB&T on
June 1, 2006, entered into agreements which, taken collectively, fully, irrevocably and unconditionally guarantee,
on a subordinated basis, all of MSBT I’s obligations under the Capital Securities. MSBT I’s sole asset is the Junior
Subordinated Debentures issued by MSBK and assumed by BB&T, which mature November 15, 2032, but are
subject to early mandatory redemption in whole under certain limited circumstances and are callable in whole or
in part anytime after November 15, 2007. The Capital Securities of MSBT I, are subject to mandatory redemption
in whole on November 15, 2032, or such earlier date in the event the Junior Subordinated Debentures are
redeemed by BB&T pursuant to one of the prescribed limited circumstances or pursuant to the call provisions.
In May 2003, Main Street Banks Statutory Trust II (“MSBT II”) issued $45 million of floating rate Capital
Securities. MSBT II, a statutory business trust created under the laws of the State of Connecticut, was formed by
MSBK for the purpose of issuing the Capital Securities and investing the proceeds thereof in floating rate Junior
Subordinated Debentures issued by MSBK. MSBK, which merged into BB&T on June 1, 2006, entered into
agreements which, taken collectively, fully, irrevocably and unconditionally guarantee, on a subordinated basis,
all of MSBT II’s obligations under the Capital Securities. MSBT II’s sole asset is the Junior Subordinated
Debentures issued by MSBK and assumed by BB&T, which mature June 30, 2033, but are subject to early
mandatory redemption in whole under certain limited circumstances and are callable in whole or in part anytime
after June 30, 2008. The Capital Securities of MSBT II, are subject to mandatory redemption in whole on June 30,
2033, or such earlier date in the event the Junior Subordinated Debentures are redeemed by BB&T pursuant to
one of the prescribed limited circumstances or pursuant to the call provisions.
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