Royal Bank to redeem $500 million of subordinated debentures

Royal Bank of Canada (TSX:RY) intends to redeem all outstanding 7.10% subordinated debentures due January 25, 2015, the bank said Monday.

The bank said it will redeem the 7.10% debentures for 100% of their principal amount plus accrued interest to the redemption date. The redemption will occur on January 25, 2010.

There is currently $500 million principal amount of 7.10% debentures outstanding.

The redemption of the debentures will be financed out of the general corporate funds of Royal Bank of Canada.