ANZ (ASX:ANZ) said it would redeem US$350 million ($384.7 million) worth of trust securities in 2010, reducing its Tier 1 capital to around 9.3%.

The company has held the securities, which qualified as innovative tier 1 capital under Australian Prudencial Regulation Authority definitions, since November 2003.

The redemption price per preference share has been set at US$1,000, ANZ has told security holder BNY Mellon Trust today.

The notes had an interest rate of around 4.8%.