|
Issuer:
|
Central Hudson Gas & Electric Corporation
|
|
Market Type:
|
Senior Unsecured MTN
|
|
Ratings:
|
S&P A (outlook negative)1, Moody’s A3, Fitch A
|
|
Notes:
|
4.776% due April 1, 2042
|
|
Principal Amount:
|
$48,000,000
|
|
Trade Date:
|
March 27, 2012
|
|
Settlement Date:
|
March 30, 2012
|
|
Final Maturity:
|
April 1, 2042
|
|
Interest Payment Dates:
|
April 1 and October 1, and at maturity
|
|
1st Coupon Payment Date:
|
October 1, 2012
|
|
Coupon:
|
4.776%
|
|
US Treasury Benchmark:
|
UST 3.125% due November 15, 2041
|
|
US Treasury Yield:
|
3.301%
|
|
Business day convention:
|
30/360 |
| 1 | On February 22, 2012, Standard & Poor’s Ratings Services placed its ratings on the Issuer on CreditWatch with negative implications following Fortis Inc.’s announcement that it plans to acquire CH Energy Group Inc., the ultimate parent company of the Issuer, and indicated that when the acquisition is complete there is a one-in-two chance that the Issuer’s credit rating will be lowered by S&P to match Fortis Inc.’s credit rating (A-/Watch Neg/--). |
|
Re-offer Price:
|
100%
|
|
Redemption:
|
Not redeemable prior to maturity
|
|
Denomination:
|
$1,000 x $1,000
|
|
Agents:
|
J.P. Morgan Securities LLC
$16,000,000
KeyBanc Capital Markets Inc.
$16,000,000
Merrill Lynch, Pierce, Fenner & Smith Incorporated
$16,000,000
|
|
CUSIP:
|
15361GBB0
|
|
Use of Proceeds:
|
The net proceeds of the sale of the Notes will be used by the Issuer to (1) repay at maturity its 6.64% Series D Medium Term Notes due March 28, 2012, of which $36 million is currently outstanding and (2) redeem its (a) Cumulative Preferred Stock, Series D, with an aggregate redemption price of approximately $6 million, and (b) 4.96% Cumulative Preferred Stock, Series E, with an aggregate redemption price of approximately $6 million.
|
|
Additional Terms:
|
The Issuer may, without notice to or consent of the holders of the Notes, "reopen" this tranche of Notes at any time by creating and issuing additional Notes ranking equally with the Notes offered hereby and otherwise identical in all respects to the Notes offered hereby (except for the issue price, the date from which interest first accrues and the first interest payment date). Such additional Notes will form a single tranche with the Notes offered hereby provided such additional Notes are fungible with the Notes offered hereby for U.S. federal income tax purposes.
|