By Lisa Kerner
Charlotte, N.C., May 4 – AT&T Inc.’s $4 billion in reopenings of five tranches of senior notes (Baa1//A-) that priced on Tuesday will settle on May 12, according to an FWP filed with the Securities and Exchange Commission.
As previously reported, the final book size was more than $11 billion.
The company sold $750 million of 2.3% notes due March 11, 2019 at a spread of 73 basis points over Treasuries. The 2019 notes priced at 101.817 plus accrued interest.
The notes originally priced on March 5, 2014 in a $1.1 billion offering at Treasuries plus 77 bps. The total outstanding is $1.85 billion.
AT&T priced $750 million of 2.8% notes due Feb. 17, 2021 at 103 bps over Treasuries. The notes sold at 102.259 plus accrued interest. They have a make-whole spread of 25 basis points.
The company first printed the issue on Jan. 29, 2016 in a $1.25 billion offering at Treasuries plus 150 bps. The total outstanding is $2 billion.
The company also sold $1.1 billion of 3.6% notes due Feb. 17, 2023 at Treasuries plus 135 bps. The notes priced at 104.003 plus accrued interest. The notes have a make-whole spread of 30 bps.
The notes originally were brought to market on Jan. 29, 2016 in a $1.5 billion tranche at Treasuries plus 195 bps. The issue has a total outstanding amount of $2.6 billion.
In the fourth tranche, AT&T priced $900 million of 4.125% notes due Feb. 17, 2026 at 150 bps over Treasuries. The notes sold at 106.671 plus accrued interest and have a make-whole spread of 35 bps.
The notes were originally sold on Jan. 29, 2016 in a $1.75 billion offering at 220 bps over Treasuries. The total outstanding is $2.65 billion.
Finally, AT&T priced $500 million of 4.8% notes due June 15, 2044 at 210 bps over Treasuries. The notes priced at 100.745 plus accrued interest. They have a make-whole spread of 25 bps.
The company originally sold the issue in a $2 billion tranche on June 3, 2014 at 140 bps over Treasuries. The total outstanding is $2.5 billion.
The bookrunners were BNP Paribas Securities Corp., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC and RBC Capital Markets, LLC.
Proceeds from the reopenings will be used to repay outstanding bank loan debt.
AT&T is a Dallas-based telecommunications company.
| Issuer: | AT&T Inc.
|
| Amount: | $4 million reopenings
|
| Securities: | Senior notes
|
| Bookrunners: | BNP Paribas Securities Corp., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC, RBC Capital Markets, LLC
|
| Senior co-managers: | BNY Mellon Capital Markets, LLC; Regions Securities LLC, U.S. Bancorp Investments, Inc.
|
| Co-managers: | CastleOak Securities, LP; C.L. King & Associates, Inc.; Loop Capital Markets LLC; Mischler Financial Group, Inc.; MFR Securities, Inc.; Samuel A. Ramirez & Co., Inc.; Siebert Brandford Shank & Co., LLC, Williams Capital Group, LP
|
| Pricing date: | May 3
|
| Settlement date: | May 12
|
| Ratings: | Moody’s: Baa1
|
| Fitch: A-
|
|
|
| Notes due 2019
|
| Amount: | $750 million
|
| Maturity: | March 11, 2019
|
| Coupon: | 2.3%
|
| Price: | 101.817, plus accrued interest
|
| Spread: | Treasuries plus 73 bps
|
| Call: | Make-whole call at Treasuries plus 15 bps
|
| Total outstanding: | $1.85 billion, including $1.1 billion priced March 5, 2014 at 77 bps over Treasuries
|
|
|
| Notes due 2021
|
| Amount: | $750 million
|
| Maturity: | Feb. 17, 2021
|
| Coupon: | 2.8%
|
| Price: | 102.259, plus accrued interest
|
| Spread: | Treasuries plus 103 bps
|
| Call: | Make-whole call at Treasuries plus 25 bps, callable at par from Jan. 17, 2021
|
| Total outstanding: | $2 billion, including $1.25 billion priced Jan. 29, 2016 at 150 bps over Treasuries
|
|
|
| Notes due 2023
|
| Amount: | $1.1 billion
|
| Maturity: | Feb. 17, 2023
|
| Coupon: | 3.6%
|
| Price: | 104.003, plus accrued interest
|
| Spread: | Treasuries plus 135 bps
|
| Call: | Make-whole call at Treasuries plus 30 bps, callable at par from Dec. 17, 2022
|
| Total outstanding: | $2.6 billion, including $1.5 billion priced Jan. 29, 2016 at 195 bps over Treasuries
|
|
|
| Notes due 2026
|
| Amount: | $900 million
|
| Maturity: | Feb. 17, 2026
|
| Coupon: | 4.125%
|
| Price: | 106.671, plus accrued interest
|
| Spread: | Treasuries plus 150 bps
|
| Call: | Make-whole call at Treasuries plus 35 bps, callable at par from Nov. 17, 2025
|
| Total outstanding: | $2.65 billion, including $1.75 billion priced Jan. 29, 2016 at 220 bps over Treasuries
|
|
|
| Notes due 2044
|
| Amount: | $500 million
|
| Maturity: | June 15, 2044
|
| Coupon: | 4.8%
|
| Price: | 100.745, plus accrued interest
|
| Spread: | Treasuries plus 210 bps
|
| Call: | Make-whole call at Treasuries plus 25 bps, callable at par from Dec. 15, 2043
|
| Total outstanding: | $2.5 billion, including $2 billion priced June 3, 2014 at 140 bps over Treasuries
|
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