Burlington Northern Santa Fe pricing 10-, 30-year debentures Tuesday

By Andrea Heisinger

New York, March 5 - Burlington Northern Santa Fe, LLC is in Tuesday's market with an offering of debentures (A3/BBB+/) in two parts, a market source said.

The offering includes 10-year notes and 30-year bonds.

The 10-year tranche will have a make-whole call until three months prior to maturity and will have a par call afterward. The 30-year bonds have a make-whole redemption until six months before maturity and a par call afterward.

There is a change-of-control put at 101%.

Bookrunners are J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities LLC.

Proceeds will be used for general corporate purposes, including working capital, capital expenditures, debt repayment and distribution.

The company was last in the U.S. bond market with a $1.25 billion sale in two parts on Aug. 16, 2012. That offering included a 3.05% 10-year note sold at 125 basis points over Treasuries and a 4.375% 30-year bond priced at 150 bps over Treasuries.

The holding company for railroad transportation subsidiaries is based in Fort Worth, Texas.

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