Filed Pursuant to Rule 433
Registration Statement No. 333-187398
November 5, 2015
Final Term Sheet
| Issuer: |
Westar Energy, Inc. | |||
| Legal Format: |
SEC Registered | |||
| Ratings*: |
Moody’s: A2 (stable); S&P: A (stable); Fitch: A (stable) | |||
| Trade Date: |
November 5, 2015 | |||
| Settlement Date: |
November 13, 2015 (T + 5) | |||
| Interest Payment Dates: |
Semi-annually on June 1 and December 1, beginning on June 1, 2016. | |||
| Issue of Securities: |
First Mortgage Bonds, 3.250% Series due 2025 | First Mortgage Bonds, 4.250% Series due 2045 | ||
| Principal Amount: |
$250,000,000 | $300,000,000 | ||
| Maturity Date: |
December 1, 2025 | December 1, 2045 | ||
| Benchmark Treasury: |
2.000% due August 15, 2025 | 3.000% due May 15, 2045 | ||
| Benchmark Treasury Price/Yield: |
97-26 / 2.250% | 99-16 3⁄4 / 3.024% | ||
| Spread to Benchmark Treasury: |
+100 basis points | +125 basis points | ||
| Yield to Maturity: |
3.250% | 4.274% | ||
| Coupon: |
3.250% | 4.250% | ||
| Public Offering Price: |
99.999% of the principal amount | 99.594% of the principal amount | ||
| Optional Redemption: |
Prior to September 1, 2025 (the par call date), at any time at a discount rate of Treasury plus 15 basis points (calculated to the par call date).
On or after September 1, 2025, at any time at par. |
Prior to June 1, 2045 (the par call date), at any time at a discount rate of Treasury plus 20 basis points (calculated to the par call date).
On or after June 1, 2045, at any time at par. | ||
| Gross Spread: |
0.650% | 0.875% | ||
| Net Proceeds (before expenses): | Approximately $248,372,500 after deducting the underwriters’ discount. | Approximately $296,157,000 after deducting the underwriters’ discount. | ||
| CUSIP/ISIN: |
95709TAL4 / US95709TAL44 | 95709TAM2 / US95709TAM27 | ||
| Issuance of Additional Bonds: |
As of September 30, 2015, approximately $865.3 million principal amount of additional First Mortgage Bonds could be issued under the most restrictive provisions of the company’s mortgage, taking into account the issuance of $550,000,000 of First Mortgage Bonds offered hereby and the use of proceeds described in “Use of Proceeds” in the prospectus supplement. | |||
| Joint Book-Running Managers: |
BNY Mellon Capital Markets, LLC Citigroup Global Markets Inc. Merrill Lynch, Pierce, Fenner & Smith Incorporated Wells Fargo Securities, LLC |
BNY Mellon Capital Markets, LLC Citigroup Global Markets Inc. Merrill Lynch, Pierce, Fenner & Smith Incorporated Wells Fargo Securities, LLC | ||
| Co-Managers: |
BNP Paribas Securities Corp. Regions Securities LLC Samuel A. Ramirez & Company, Inc. TD Securities (USA) LLC |
Barclays Capital Inc. J.P. Morgan Securities LLC Mitsubishi UFJ Securities (USA), Inc. U.S. Bancorp Investments, Inc. | ||
*Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.
The Issuer has filed a registration statement (including a prospectus and a preliminary prospectus supplement) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus and preliminary prospectus supplement relating to the securities described above in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you a prospectus and prospectus supplement if you request it by calling BNY Mellon Capital Markets, LLC toll-free at (800) 269-6864, Citigroup Global Markets Inc. toll-free at (800) 831-9146, Merrill Lynch, Pierce, Fenner & Smith Incorporated toll-free at (800) 294-1322 or Wells Fargo Securities, LLC toll-free at (800) 645-3751.
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