New Issue: Alabama Power prices upsized $600 million 1.45% 10-year senior notes at 85 bps spread

By Cristal Cody

Tupelo, Miss., Aug. 24 – Alabama Power Co. priced an upsized $600 million of 1.45% 10-year senior notes at 99.544 to yield 1.499% on Monday, according to a market source and an FWP filed with the Securities and Exchange Commission.

The notes (A1/A/A+) priced with a spread of 85 basis points over Treasuries compared to initial talk at the 112.5 bps area.

The deal was upsized from $500 million.

Barclays, Mizuho Securities USA Inc., PNC Capital Markets LLC and Scotia Capital (USA) Inc. were the bookrunners.

Proceeds will be used for general corporate purposes.

Alabama Power is a Birmingham, Ala.-based power company and subsidiary of Southern Co.

Issuer:	Alabama Power Co.
Amount:	$600 million
Description:	Series 2020A senior notes
Maturity:	Sept. 15, 2030
Bookrunners:	Barclays, Mizuho Securities USA Inc., PNC Capital Markets LLC and Scotia Capital (USA) Inc.
Co-managers:	BBVA Securities Inc., Regions Securities LLC, Synovus Securities, Inc., TD Securities (USA) LLC, C.L. King & Associates, Inc., Drexel Hamilton, LLC, Samuel A. Ramirez & Co. Inc. and Siebert Cisneros Shank & Co, LLC
Coupon:	1.45%
Price:	99.544
Yield:	1.499%
Spread:	Treasuries plus 85 bps
Call features:	Make-whole call at Treasuries plus 15 bps before June 15, 2030; thereafter at par
Trade date:	Aug. 24
Settlement date:	Aug. 27
Ratings:	Moody’s: A1
	S&P: A
	Fitch: A+
Distribution:	SEC registered
Price guidance:	Treasuries plus 112.5 bps area

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