New Issue: Alabama Power prices $550 million of 3.75% notes due 2045 at 107 bps spread

By Aleesia Forni

Virginia Beach, March 5 – Alabama Power Co. priced $550 million of 3.75% senior notes (A1/A/A+) on Thursday with a spread of 107 basis points over Treasuries, according to an FWP filed with the Securities and Exchange Commission.

The notes sold at the tight end of guidance set in the 110 bps area over Treasuries.

Pricing was at 99.306 to yield 3.789%.

The bookrunners were Barclays, Goldman Sachs & Co., BofA Merrill Lynch, Mizuho Securities USA Inc. and Morgan Stanley & Co. LLC.

The electric subsidiary of Southern Co. is based in Birmingham, Ala.

Issuer:	Alabama Power Co.
Amount:	$550 million
Description:	Senior notes, series 2015A
Maturity:	March 1, 2045
Bookrunners:	Barclays, Goldman Sachs & Co., BofA Merrill Lynch, Mizuho Securities USA Inc., Morgan Stanley & Co. LLC
Co-managers:	BBVA Securities Inc., BNY Mellon Capital Markets, LLC, CIBC World Markets Corp., Fifth Third Securities, Inc., Regions Securities LLC, SunTrust Robinson Humphrey, Inc., Blaylock Beal Van, LLC, CastleOak Securities, LP, Loop Capital Markets LLC
Coupon:	3.75%
Price:	99.306
Yield:	3.789%
Spread:	107 bps over Treasuries
Make-whole call:	20 bps prior to Sept. 1, 2044, then callable at par
Trade date:	March 5
Settlement date:	March 11
Ratings:	Moody’s: A1
	Standard & Poor’s: A
	Fitch: A+
Distribution:	SEC registered
Price talk:	110 bps area over Treasuries

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