ZIONS BANCORPORATION ANNOUNCES PRICING OF SENIOR NOTES

Zions Bancorporation, N.A. has successfully priced a public offering of $500 million in fixed-to-floating rate senior notes, which are set to mature on October 1, 2029. The announcement was made on July 28, 2026, with the offering expected to settle on July 31, 2026, pending customary closing conditions. The initial annual interest rate for the fixed rate period, which will last until October 1, 2028, is set at 5.239%. Following this period, the interest rate will transition to a floating rate, calculated as Compounded SOFR plus a spread of 1.08%.

Zions Bancorporation, headquartered in Salt Lake City, is one of the leading financial services companies in the United States, boasting approximately $89 billion in total assets as of December 31, 2025. The bank operates across 11 western states, leveraging local management teams and distinct brands to cater to its diverse customer base. Zions has established itself as a prominent player in small- and middle-market banking, public finance advisory services, and Small Business Administration lending, receiving numerous awards for customer satisfaction in these areas.

The strategic rationale behind this offering is to reduce short-term borrowings, thereby enhancing the bank's financial stability and flexibility. By executing a receive-fixed fair value hedge against the notes during the fixed rate period, Zions effectively converts its interest expense to a floating rate, mitigating the impact of interest rate fluctuations on its financial performance. This move aligns with broader trends in the banking sector, where institutions are increasingly seeking to optimize their capital structures in response to changing market conditions.

The involvement of major investment banks such as Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, and RBC Capital Markets, LLC as bookrunners underscores the confidence in Zions' financial health and the attractiveness of the offering. The successful pricing of these senior notes reflects a robust demand for fixed-income securities, particularly in the current economic environment where interest rates are a focal point for investors.

Looking ahead, the implications of this transaction extend beyond Zions Bancorporation itself. The successful fundraising indicates a strong appetite for bank-issued debt instruments, which may signal a favorable environment for future capital-raising efforts within the sector. As financial institutions navigate a landscape marked by fluctuating interest rates and economic uncertainty, the ability to secure funding through such offerings will be critical for maintaining operational resilience and pursuing growth opportunities.