Business

Santee Cooper refinances $764 million in debt

santee cooper 1MONCKS CORNER, S.C. – The Santee Cooper Board of Directors approved today the sale of $736 million in revenue obligation bonds, with proceeds designated to refinance a portion of the utility’s existing debt.

The issue included $704 million in tax-exempt refunding Series C bonds and $32 million in taxable refunding Series D bonds. The all-in true interest rate is 3.78 percent, and maturities for the 2014CD issue range from 2020 through 2046. The term “tax exempt” means exempt from federal and South Carolina income taxes for South Carolina residents under current law.

The issue drew ratings of AA- from Standard & Poor’s, A1 from Moody’s and A+ from Fitch. All three agencies reaffirmed existing ratings and a stable outlook for long-term debt.

Bank of America Merrill Lynch was senior manager on the issue, with Barclays serving as co-senior manager. Co-managers were Goldman Sachs & Co., Morgan Stanley, J.P. Morgan, US Bancorp and Wells Fargo Securities. The selling group members were Citi, BB&T Capital Markets, Raymond James, JJB Hilliard Lyons, Edward D. Jones, RBC Capital Markets and Robert W. Baird & Co.

The Final Official Statement for these bonds will be available by contacting Santee Cooper Bondholder Relations at 1-877-246-3338. It will also be posted at www.santeecooper.com/investorrelations.

Santee Cooper is South Carolina’s largest power producer, the largest Green Power generator and the ultimate source of electricity for 2 million people across the state. Through its low-cost, reliable and environmentally responsible electricity and water services, and through innovative partnerships and initiatives that attract and retain industry and jobs, Santee Cooper powers South Carolina. To learn more, visit www.santeecooper.com.

Nikki Gaskins Campbell
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