Filed pursuant to Rule 433
November 14, 2016
Relating to
Preliminary Prospectus Supplement dated November 14, 2016 to
Prospectus dated September 23, 2016
Registration Statement No. 333-213765-05
Duke Energy Carolinas, LLC
First and Refunding Mortgage Bonds,
$600,000,000 2.95% Series due 2026
Pricing Term Sheet
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Issuer: |
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Duke Energy Carolinas, LLC |
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Trade Date: |
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November 14, 2016 |
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Settlement Date: |
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November 17, 2016; T+3 |
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Ratings (Moody’s/S&P/Fitch)*: |
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(Aa2/A/AA-) (Stable/Negative/Stable) |
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Security Description: |
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First and Refunding Mortgage Bonds, 2.95% Series due 2026 (the “Bonds”) |
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Interest Payment Dates: |
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June 1 and December 1, beginning on June 1, 2017 |
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Principal Amount: |
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$600,000,000 |
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Maturity Date: |
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December 1, 2026 |
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Price to Public: |
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99.758% per Bond, plus accrued interest, if any, from November 17, 2016 |
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Coupon: |
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2.95% |
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Benchmark Treasury: |
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2.000% due November 15, 2026 |
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Benchmark Treasury Price: |
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97-31 |
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Benchmark Treasury Yield: |
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2.228% |
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Spread to Benchmark Treasury: |
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+75 bps |
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Yield to Maturity: |
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2.978% |
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Redemption Provisions/Make-Whole Call: |
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At any time before September 1, 2026 (which is the date that is three months prior to maturity of the Bonds (the “Par Call Date”)), redeemable at the Treasury Rate + 15 bps. At any time on or after the Par Call Date, redeemable at par. |
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CUSIP / ISIN: |
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26442C AS3 / US26442CAS35 |
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Joint Book-Running Managers: |
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BNP Paribas Securities Corp. |
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Senior Co-Manager: |
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Loop Capital Markets LLC |
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Co-Managers: |
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CIBC World Markets Corp. |
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Junior Co-Managers: |
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Academy Securities, Inc. |
* 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) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus 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 Web site at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling BNP Paribas Securities Corp. toll free at 1-800-854-5674, Goldman, Sachs & Co. toll free at 1-866-471-2526, Mizuho Securities USA Inc. toll-free at 1-866-271-7403, and RBC Capital Markets, LLC toll free at 1-866-375-6829.