Apple, Intel, Kansas City Power, Kommunalbanken, IADB price; Apple existing notes tighten

By Cristal Cody

Tupelo, Miss., June 13 – Investment-grade primary action slowed on Tuesday with just under $4 billion of bonds reported priced over the session.

Apple Inc. tapped the primary market with $1 billion of 10-year senior notes.

Intel Corp. sold $600 million of seven-year senior notes.

Kansas City Power & Light Co. brought $300 million of 30-year notes to the primary market.

In addition, American Equity Investment Life Holding Co. priced $500 million of 5% split-rated 10-year notes at a Treasuries plus 280 basis points spread.

In SSA issuance, Kommunalbanken AS sold $1 billion of long three-year dollar-denominated notes.

Also, Inter-American Development Bank placed $600 million of five-year global floating-rate notes.

Coming up on Wednesday, the Federal Reserve will hold a press conference to announce its monetary policy decision following a two-day meeting. The Fed is widely expected to raise rates, a market source said.

In secondary market activity, Apple’s existing 3.35% notes due Feb. 9, 2027 tightened about 6 bps to 81 bps bid on Tuesday, a source said. Apple sold $2.25 billion of the notes on Feb. 2 at par to yield a Treasuries plus 88 bps spread.

The Markit CDX North American Investment Grade index firmed 1 bp over the day to close at a spread of 59 bps.

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