MILWAUKEE, May 8 /PRNewswire-FirstCall/ — Wisconsin Energy (NYSE:WEC) announced today it has agreed to sell $500 million principal amount of 2007 Series A Junior Subordinated Notes due 2067. The junior subordinated notes will initially bear interest at 6.25%. Beginning May 15, 2017, the junior subordinated notes will bear interest at the rate of three-month LIBOR plus 211.25 basis points, reset quarterly.
Proceeds from the sale will be used to repay short-term debt incurred to fund the construction of new generating units under Wisconsin Energy’s Power the Future plan and for working capital purposes.
The public offering is being underwritten by J.P. Morgan Securities Inc. and Citi Markets & Banking as joint book-running managers and joint structuring advisors, and Banc of America Securities LLC and Deutsche Bank Securities Inc. as co-managers. The offering is expected to close on May 11, 2007.
The offering is being made pursuant to an effective shelf registration statement filed with the Securities and Exchange Commission on May 7, 2007, by means of a separate prospectus supplement and a final term sheet. This announcement is not an offer to sell or a solicitation of an offer to buy these securities. The securities are being offered only by means of a prospectus, which can be obtained by contacting J.P. Morgan Securities Inc., 270 Park Avenue, New York, New York 10017, Attn: Investment Grade Syndicate Desk, or by telephone collect at 212-834-4533 or Citigroup Global Markets Inc., Prospectus Department, Brooklyn Army Terminal, 140 58th Street, 8th Floor, Brooklyn, New York 11220 or by telephone toll-free at 1-877-858-5407.
Wisconsin Energy Corporation (NYSE:WEC) , based in Milwaukee, is one of the nation’s premier energy companies, serving more than 1.1 million electric customers in Wisconsin and Michigan’s Upper Peninsula and more than 1 million natural gas customers in Wisconsin. The company’s principal utilities are We Energies and Edison Sault Electric. The company’s non-utility businesses include renewable energy technology and real estate development.
Wisconsin Energy Corporation has more than $11 billion of assets, 5,200 employees and approximately 53,000 stockholders of record.
