New Issue: American Axle prices $400 million eight-year notes at par to yield 6¼%

By Paul A. Harris

Portland, Ore., Feb. 14 - American Axle & Manufacturing, Inc. priced a $400 million issue of eight-year senior notes (B2/B-) at par to yield 6¼% on Thursday, according to a syndicate source.

The yield printed on top of yield talk.

BofA Merrill Lynch, J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc. and RBC Capital Markets LLC were the joint bookrunners for the quick-to-market deal.

Proceeds will be used to fund a tender for all of the company's existing 7 7/8% notes and for general corporate purposes.

American Axle is a Detroit-based producer of driveline and drivetrain systems and related components and chassis modules for the automotive industry.

Issuer:	America Axle Manufacturing, Inc.
Amount:	$400 million
Maturity:	March 15, 2021
Securities:	Senior notes
Bookrunners:	BofA Merrill Lynch, J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., RBC Capital Markets LLC
Senior co-managers:	KeyBanc Capital Markets LLC, U.S. Bancorp Investments Inc.
Co-managers:	HSBC Securities (USA) Inc. and Huntington
Coupon:	6¼%
Price:	Par
Yield:	6¼%
Call protection:	Make-whole call at Treasuries plus 50 bps until March 15, 2016, then callable at 104.688
Equity clawback:	35% at 106.25 until March 15, 2016
Investor put:	101% upon change of control
Trade date:	Feb. 14
Settlement date:	Feb. 28
Ratings:	Moody's: B2
	Standard & Poor's: B-
Distribution:	SEC registered
Price talk:	6¼% area
Marketing:	Quick to market

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