Company: USB-PA
Filing Date: 2025-02-24
Form Type: 424B2
Source: 0001193125-25-033179
Chunk: 14

Company: US BANCORP \DE\
Filing Date: 2025-02-24
Form: 424B2
Chunk 14
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However, if, as of the Issue Date, redeeming the Notes on the Reset Date would reduce the yield of the equivalent fixed rate debt instrument, the Notes should be treated as fixed rate debt instruments maturing on the Reset Date (the “Reset Date
Maturity Notes”). Under those circumstances, if the Notes are not actually redeemed by us on the Reset Date, solely for purposes of the OID rules, they should be deemed retired and reissued for their principal amount, and should thereafter be
treated as floating rate debt instruments issued on the Reset Date and maturing on the Maturity Date (the “Remaining Term Note”). The Reset Date Maturity Notes would be treated as issued with no more than de minimis OID, and all payments
of interest thereon would be treated as QSI. Interest on the Remaining Term Note should generally be taken into account when received or accrued, according to your method of tax accounting, but it is possible that the Remaining Term Note could be
subject to the rules described under “Certain United States Federal Income Taxation Consequences—U.S. Holders—Short-Term Notes” in the accompanying prospectus supplement.

If, as of the Issue Date, redeeming the Notes on the Reset Date would not reduce the yield on the equivalent fixed rate debt instrument, the
rules under “Certain United States Federal Income Tax Consequences—U.S. Holders—Original Issue Discount” in the accompanying prospectus supplement should be applied to the equivalent fixed rate debt instrument to determine
the amounts of QSI and OID on the Notes. Under those circumstances, the Notes may be issued with OID.

A U.S. holder is required to
include any QSI in income in accordance with the U.S. holder’s regular method of accounting for U.S. federal income tax purposes. U.S. holders will be required to include any OID in income for U.S. federal income tax purposes as it accrues, in
accordance with a constant yield method based on a compounding of interest. All amounts will be determined in the denomination currency and then translated into U.S. dollars according to the rules described in the section of the accompanying
prospectus supplement called “Certain United States Federal Income Tax Consequences—U.S. Holders—Foreign Currency Notes.” QSI allocable to an accrual period must be increased (or decreased) by the amount, if any, which the
interest actually accrued or paid during an accrual period (including the fixed rate payments made during the initial period