Cisco Sells $4 Billion of Senior Debt

SAN JOSE, Calif. -- Cisco Systems(CSCO Quote) sold $4 billion worth of senior unsecured debt, a sign that credit markets may be easing as companies are increasingly able to find buyers for their bonds.

The offering is expected to close on Feb. 17.

Of these notes, $2 billion will mature in February 2019 and will bear interest at an annual rate of 4.95%, and $2 billion will mature in February 2039 and will bear interest at an annual rate of 5.90%.

Cisco said it will use the proceeds from this offering for general corporate purposes and to repay $500 million worth of floating rate notes due this year.

Bank of America, Goldman Sachs, JPMorgan, Citigroup, Morgan Stanley, and Wachovia acted as bookrunning managers on the transaction.