By Cristal Cody
Chicago, Nov. 29 – Burlington Northern Santa Fe, LLC sold $625 million of 2.875% notes due June 15, 2052 (A3/AA-) at 99.435 to yield 2.903%, according to an FWP filed with the Securities and Exchange Commission.
The notes priced with a Treasuries plus 102 basis points spread, lower than talk in the Treasuries plus 120 bps area, according to price talk provided by a market source earlier in the day.
The debentures feature a make-whole call at Treasuries plus 20 bps before Dec. 15, 2051 and then a par call.
Barclays, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC are the joint bookrunners.
Proceeds will be used for general corporate purposes, including working capital, capital expenditures, debt repayment, and distributions.
The holding company for railroad transportation subsidiaries is based in Fort Worth.
| Issuer: | Burlington Northern Santa Fe, LLC
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| Amount: | $625 million
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| Issue: | Senior debentures
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| Maturity: | June 15, 2052
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| Bookrunners: | Barclays, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC
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| Co-managers: | PNC Capital Markets LLC, Siebert Williams Shank & Co., LLC and U.S. Bancorp Investments, Inc.
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| Coupon: | 2.875%
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| Price: | 99.435
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| Yield: | 2.903%
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| Spread: | Treasuries plus 102 bps
|
| Call features: | Make-whole call at Treasuries plus 20 bps before Dec. 15, 2051; thereafter at par
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| Trade date: | Nov. 29
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| Settlement date: | Dec. 8
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| Ratings: | Moody’s: A3
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| S&P: AA-
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| Distribution: | SEC registered
|
| Price talk: | Treasuries plus 120 bps area
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| Cusip: | 12189LBH3
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