the open market. A short position is more likely to be created if underwriters are concerned that there may be downward pressure on the price of the notes in the open market prior to the completion of the offering. Stabilizing transactions consist of various bids for or purchases of the notes made by the underwriters in the open market prior to the completion of the offering.
The underwriters may impose a penalty bid. This occurs when a particular underwriter repays to the other underwriters a portion of the underwriting discount received by it because the representatives of the underwriters have repurchased notes sold by or for the account of that underwriter in stabilizing or short-covering transactions.
Purchases to cover a short position and stabilizing transactions may have the effect of preventing or slowing a decline in the market prices of the notes. In addition, these purchases, along with the imposition of the penalty bid, may stabilize, maintain or otherwise affect the market prices of the notes. As a result, the prices of the notes may be higher than the prices that might otherwise exist in the open market. These transactions may be effected in the over-the-counter market or otherwise. If the underwriters commence any of these transactions, they may discontinue them at any time.
The underwriters and their affiliates are full-service financial institutions engaged in various activities, which may include securities trading, commercial and investment banking, corporate trust, financial advisory, investment management, principal investment, hedging, financing and brokerage activities. Certain of the underwriters and their affiliates have provided in the past to us and our affiliates and may provide, from time to time, in the future certain commercial banking, investment banking and financial and other advisory services for us and our affiliates, from time to time, for which they have received and may continue to receive customary fees and commissions. In addition, from time to time, certain of the underwriters and their affiliates may engage in transactions with and perform services for us and our affiliates in the ordinary course of their business for which they may receive customary fees and reimbursement of expenses.
In addition, for our $2,000,000,000 Revolving Credit Agreement, dated May 6, 2020 (the “364-Day Revolving Credit Agreement”), JPMorgan Chase Bank, N.A. serves as the administrative agent, and Bank of America, N.A. and Citibank, N.A. serve as syndication agents. JPMorgan Chase Bank, N.A., BofA Securities, Inc., Citibank, N.A., and Deutsche Bank Securities Inc. serve as joint bookrunners and joint lead arrangers and Deutsche Bank Securities Inc. serves as a documentation agent under the 364-Day Revolving Credit Agreement. JPMorgan Chase Bank, N.A., Bank of America, N.A., Citibank, N.A. and Deutsche Bank AG New York Branch, are lenders under the 364-Day Revolving Credit Agreement. For our $5,000,000,000 Revolving Credit Agreement, dated March 16, 2020 (the “Credit Agreement”), JPMorgan Chase Bank, N.A. serves as the administrative agent, and Bank of America, N.A. and Citibank, N.A. serve as syndication agents. JPMorgan Chase Bank, N.A., BofA Securities, Inc. and Citibank, N.A. serve as joint bookrunners and joint lead arrangers under the Credit Agreement. JPMorgan Chase Bank, N.A., Bank of America, N.A., Citibank, N.A. and Deutsche Bank AG New York Branch are lenders under the Credit Agreement. Additionally, Ms. Denise Ramos serves on the board of directors of both Bank of America Corporation, the parent of BofA Securities, Inc. as well as the board of directors of RTX.
In the ordinary course of their various business activities, the underwriters and their respective affiliates may make or hold a broad array of investments, including serving as counterparties to certain derivative and hedging arrangements, and actively trade debt and equity securities (or related derivative securities) and financial instruments (including bank loans) for their own account or the account of customers. Such investment and securities activities may involve securities and instruments of the issuer or its affiliates. If any of the underwriters or their affiliates have a lending relationship with us, certain of those underwriters or their affiliates routinely hedge, and certain other of those underwriters or their affiliates may hedge, their credit exposure to us consistent with their customary risk management policies. Typically, these underwriters and their affiliates would hedge such exposure by entering into transactions which consist of either the purchase of credit default swaps or the creation of short positions in our securities, including potentially the notes offered hereby. Any such credit default swaps or short positions could adversely affect future trading prices of the notes offered hereby. The underwriters and their affiliates may also make investment recommendations and/or publish or express independent research views in respect of such securities or financial instruments and may hold, or recommend to clients that they acquire, long and/or short positions in such securities and instruments.