AES Announces Pricing of $500 Million of Unsecured Senior Notes.Business Editors ARLINGTON, Va.--(BUSINESS WIRE)--Feb. 10, 2004 The AES Corporation (NYSE NYSE See: New York Stock Exchange :AES) announced today that it had priced an offering of $500 million of unsecured senior notes. The notes mature on March 1, 2014 and are callable Callable Applies mainly to convertible securities. Redeemable by the issuer before the scheduled maturity under specific conditions and at a stated price, which usually begins at a premium to par and declines annually. at the Company's option at any time at a redemption price Redemption price See: Call price redemption price 1. The price at which an open-end investment company will buy back its shares from the owners. In most cases, the redemption price is the net asset value per share. 2. equal to 100% of the principal amount of the notes plus a "make-whole" premium. The notes will be issued at a price of 98.288% and pay interest semi-annually at an annual coupon rate Coupon rate In bonds, notes, or other fixed income securities, the stated percentage rate of interest, usually paid twice a year. of 7.75%. AES plans to use the net proceeds of the offering to repay $500 million of the term loan under its senior secured credit facilities which mature on July 31, 2007 (subject to a possible extension to April 30, 2008 if certain conditions are met) and bear interest at a floating rate of either LIBOR LIBOR See: London Interbank Offered Rate LIBOR See London interbank offered rate (LIBOR). plus 4% or a base rate plus 3%. The offering will be made under AES's effective shelf registration statement which has been filed with, and declared effective by, the Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there by any sale of these securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful. "Safe Harbor" Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995: Statements in this press release regarding The AES Corporation's business which are not historical facts are "forward looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year. |
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