New Issue: Windstream prices $600 million 12-year notes at par to yield 7½%

By Paul A. Harris

Portland, Ore., March 2 - Windstream Corp. priced a $600 million issue of 12-year senior notes (Ba3/B+/) at par to yield 7½% on Wednesday, according to an informed source.

The yield printed on top of the price talk.

Citigroup Global Markets Inc., Wells Fargo Securities, BNP Paribas, RBC Capital Markets and RBS Securities Inc. were the joint bookrunners for the quick-to-market deal.

The Little Rock, Ark.-based communications and technology company plans to use the proceeds to fund a partial tender for the company's 8 5/8% senior notes due 2016.

Issuer:	Windstream Corp.
Amount:	$600 million
Maturity:	April 1, 2023
Securities:	Senior notes
Bookrunners:	Citigroup Global Markets Inc., Wells Fargo Securities, BNP Paribas, RBC Capital Markets, RBS Securities Inc.
Co-managers:	Barclays Capital Inc., Goldman Sachs & Co., Mitsubishi UFJ Securities, SunTrust Robinson Humphrey Inc.
Coupon:	7½%
Price:	Par
Yield:	7½%
Spread:	403 bps
Call protection:	Make-whole call at Treasuries plus 50 bps until April 1, 2016, then callable at 103.75, 102.5, 101.25, par on and after April 1, 2019
Equity clawback:	35% at 107.5 until April 1, 2014
Change-of-control put:	101%
Trade date:	March 2
Settlement date:	March 16
Ratings:	Moody's: Ba3
	Standard & Poor's: B+
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	7½% area
Marketing:	Quick to market

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