Issuer:
|
USEC Inc. | |
Notes Offered:
|
$500,000,000 3.0% Convertible Senior Notes due 2014 | |
Ranking:
|
Senior unsecured | |
Price to Public:
|
100% of face amount | |
Option to Purchase Additional
Notes:
|
$75,000,000 of Notes | |
Maturity Date:
|
October 1, 2014 | |
Pricing Date:
|
September 24, 2007 | |
Settlement Date:
|
September 28, 2007 | |
Coupon:
|
3.0% | |
Interest Payment Dates:
|
April 1 and October 1, commencing on April 1, 2008 | |
Conversion Premium:
|
Approximately 22.5% above $9.76, which is the last reported sale price per share of USEC common stock on the New York Stock Exchange on September 24, 2007 | |
Initial Conversion Price:
|
Approximately $11.956 per share of USEC common stock | |
Initial Conversion Rate:
|
83.6400 shares of USEC common stock per $1,000 principal amount of Notes | |
Fundamental Change Repurchase Right: |
Holders may require USEC to repurchase Notes upon the occurrence of a fundamental change at a repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus accrued and unpaid interest, if any. |
Adjustment to Conversion Rate
Upon a Make-Whole Fundamental
Change:
|
The following table sets forth the adjustments to the conversion rate, expressed as a number of additional shares to be received per $1,000 in principal amount of the Notes, in the event of a make-whole fundamental change as described in the preliminary prospectus supplement, based on the stock price and make-whole reference date of the make-whole fundamental change: |
Stock Price | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Date | $ 9.76 | $ 10.50 | $ 12.00 | $ 13.50 | $ 15.00 | $ 16.50 | $ 18.00 | $ 20.00 | $ 22.50 | $ 25.00 | $ 35.00 | $ 50.00 | $ 75.00 | $100.00 | ||||||||||||||||||||||||||||||||||||||||||
09/24/07 |
18.8190 | 16.6974 | 13.5384 | 11.2676 | 9.5731 | 8.2691 | 7.2394 | 6.1666 | 5.1555 | 4.3902 | 2.5916 | 1.3969 | 0.5786 | 0.2348 | ||||||||||||||||||||||||||||||||||||||||||
10/01/08 |
18.6104 | 16.4533 | 13.1546 | 10.8217 | 9.1074 | 7.8068 | 6.7930 | 5.7504 | 4.7818 | 4.0578 | 2.3859 | 1.2901 | 0.5376 | 0.2187 | ||||||||||||||||||||||||||||||||||||||||||
10/01/09 |
18.3468 | 16.0523 | 12.5935 | 10.1962 | 8.4688 | 7.1825 | 6.1968 | 5.2007 | 4.2928 | 3.6259 | 2.1203 | 1.1488 | 0.4782 | 0.1908 | ||||||||||||||||||||||||||||||||||||||||||
10/01/10 |
18.1478 | 15.6520 | 11.9552 | 9.4582 | 7.7058 | 6.4337 | 5.4823 | 4.5447 | 3.7136 | 3.1181 | 1.8158 | 0.9905 | 0.4139 | 0.1633 | ||||||||||||||||||||||||||||||||||||||||||
10/01/11 |
17.9674 | 15.1774 | 11.1352 | 8.4981 | 6.7150 | 5.4685 | 4.5695 | 3.7173 | 2.9935 | 2.4943 | 1.4496 | 0.7975 | 0.3306 | 0.1234 | ||||||||||||||||||||||||||||||||||||||||||
10/01/12 |
17.7831 | 14.5381 | 9.9764 | 7.1504 | 5.3502 | 4.1690 | 3.3693 | 2.6607 | 2.1020 | 1.7398 | 1.0215 | 0.5693 | 0.2318 | 0.0749 | ||||||||||||||||||||||||||||||||||||||||||
10/01/13 |
17.5062 | 13.4454 | 8.0107 | 4.9680 | 3.2685 | 2.3082 | 1.7507 | 1.3304 | 1.0471 | 0.8794 | 0.5402 | 0.3044 | 0.1216 | 0.0321 | ||||||||||||||||||||||||||||||||||||||||||
10/01/14 |
18.8190 | 11.5981 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 | 0.0000 |
The exact stock prices and make-whole reference dates may not be set forth in the table above, in which case: | ||||
| If the stock price is between two stock price amounts in the table or the make-whole reference date is between two dates in the table, the number of additional shares will be determined by a straight-line interpolation between the number of additional shares set forth for the higher and lower stock price amounts and the two dates, as applicable, based on a 365-day year. | |||
| If the stock price is greater than $100.00 per share, subject to adjustment, no adjustments will be made in the conversion rate. | |||
| If the stock price is less than $9.76 per share, subject to adjustment, no adjustments will be made in the conversion rate. | |||
Notwithstanding the foregoing, in no event will the conversion rate exceed 102.4590 shares per $1,000 in principal amount of notes, subject to adjustments in the same manner as the conversion rate as set forth in the preliminary prospectus supplement. | ||||
Optional Redemption: | The Notes may not be redeemed prior to maturity at the option of the Company. | |||
Denominations: | $1,000 |
Concurrent Offering: | 20 million shares of common stock, par value $0.10 per share, of USEC Inc. at an initial public offering price of $9.76 per share | |||
Use of Proceeds: | The net proceeds to USEC from the sale of the Notes will be approximately $487.3 million (or approximately $560.7 million if the underwriters exercise their option to purchase additional Notes in full) and the net proceeds from the concurrent offering of 20 million shares of USEC common stock will be approximately $185.8 million (or approximately $213.8 million if the underwriters exercise their option to purchase additional shares in full). All of the net proceeds from these offerings will be applied to the development, demonstration and deployment of the American Centrifuge project and USECs general operating expenses and working capital requirements, as described in the preliminary prospectus supplement. | |||
Day Count: | 30/360 | |||
Listing: | The Notes will not be listed. | |||
CUSIP/ISIN: | 90333EAC2 / US90333EAC21 | |||
Joint Bookrunners: | Goldman, Sachs & Co. | |||
Wachovia Capital Market, LLC |