Treasury
3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp 3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp 3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp 3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp 3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp 3-MO 3.86% -1bp 6-MO 3.95% -1bp 1-YR 4.01% -3bp 2-YR 4.17% -7bp 3-YR 4.25% -6bp 5-YR 4.35% -6bp 7-YR 4.48% -7bp 10-YR 4.64% -6bp 20-YR 5.16% -5bp 30-YR 5.17% -6bp
US Treasury par yield curve · Aug 25 · Source: U.S. Treasury
Wednesday, August 26, 2026
U.S. Edition
MONEY & WORLD
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Western Digital, Form 8-K

Western Digital agreed before the opening bell to hand over shares for $191m of its convertible notes, and the number of shares will be set by a price that did not exist when it filed

Money & World
The Editorial Team ·
The Western Digital headquarters building in the Santa Teresa district of San Jose, California, a four storey office block with banded grey cladding and a full height glass curtain wall, seen from the street corner under a clear blue sky.
Photo: Cristiano Tomás / Wikimedia Commons (CC BY-SA 4.0)

The share count in this transaction does not exist yet.

Western Digital filed a Form 8-K at 06:02 on Wednesday, four hours before the market opened, disclosing that it had agreed with certain holders to take in about $191.0 million of its 3.00% convertible senior notes due 2028. The holders get roughly $192.7 million in cash, which the filing says corresponds to the principal plus accrued and unpaid interest, and a number of shares covering the remaining conversion value. That number is fixed by the volume-weighted average price of the stock on 26 August, which is to say by a trading day that had not started.

Cash for the principal, stock for the premium

The split is the standard one and the indenture drives it. On a conversion, the company must settle the principal in cash. What it does about the excess over principal, the conversion premium, is its own election, and it may pay that in cash, in shares, or in some mixture.

It has now done it both ways within a single fiscal year. On $32 million of notes tendered in March and settled in June, Western Digital paid the principal in cash and then elected to spend a further $328 million of cash on the premium rather than issue 0.8 million shares. Weeks later, on a much larger privately negotiated exchange covering $858 million of principal, it settled with $860 million of cash and 21.3 million shares. Wednesday's agreement follows the second pattern.

The company gives no reason for either choice, and none is supplied here.

What is left is smaller than it looks

The last stated balance is $710 million of the 2028 notes outstanding at the fiscal year end on 3 July. That figure is already stale by the company's own account. The annual report says $343 million of it had been tendered for conversion by that date, and that the remaining $367 million would likely be tendered within months, so the principal still outstanding on Wednesday is lower and neither filing says what it is.

Against the year-end figure, $191.0 million is 26.9 percent. Against the real one it is more.

Settlement is expected on or after 2 September. Cynthia Tregillis, the chief legal officer, signed the filing.

The document: Western Digital Corporation, Form 8-K, Items 3.02 and 8.01, convertible note exchange agreements, filed 26 August 2026.

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