Filed under Rule 433
File No. 333-195496-01

 

Final Term Sheet

 

November 2, 2015

 

Issuer:

 

Consumers Energy Company

Security:

 

4.10% First Mortgage Bonds due 2045

Aggregate Principal Amount Offered:

 

$250,000,000

Maturity Date:

 

November 15, 2045

Coupon:

 

4.10%

Yield to Maturity:

 

4.105%

Spread to Benchmark Treasury:

 

+115 basis points

Benchmark Treasury Security:

 

3.000% due May 15, 2045

Benchmark Treasury Price and Yield:

 

100-28; 2.955%

Interest Payment Dates:

 

May 15 and November 15

First Interest Payment Date:

 

May 15, 2016

Public Offering Price:

 

99.913%

Optional Redemption:

 

Make-whole call at any time prior to May 15, 2045 at Treasury rate plus 20 basis points and, thereafter, at par

Trade Date:

 

November 2, 2015

Settlement Date:

 

November 6, 2015 (T+4)

Expected Ratings:

 

A1 / A / A- (Moody’s / S&P / Fitch)
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

Joint Book-Running Managers:

 

BNP Paribas Securities Corp.

Citigroup Global Markets Inc.

Deutsche Bank Securities Inc.

Mizuho Securities USA Inc.

RBC Capital Markets, LLC

Scotia Capital (USA) Inc.

SunTrust Robinson Humphrey, Inc.

Co-Managers:

 

KeyBanc Capital Markets Inc.

 

 

U.S. Bancorp Investments, Inc.

CUSIP/ISIN:

 

210518 CY0 / US210518CY08

 

Consumers Energy Company has filed a registration statement (including a prospectus, as supplemented) with the Securities and Exchange Commission (“SEC”) for the offering to which this communication relates.  Before you invest, you should read the prospectus (as supplemented) in that registration statement and other documents Consumers Energy Company has filed with the SEC for more complete information about Consumers Energy Company and this offering.  You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov.  Alternatively, Consumers Energy Company, 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, Citigroup Global Markets Inc. toll-free at 1-800-831-9146, Deutsche Bank Securities Inc. toll-free at 1-800-503-4611, Mizuho Securities USA Inc. toll-free at 1-866-271-7403, RBC Capital Markets, LLC toll-free at 1-866-375-6829, Scotia Capital (USA) Inc. toll-free at 1-800-372-3930 and SunTrust Robinson Humphrey, Inc. toll-free at 1-800-685-4786.

 

Any disclaimers or other notices that may appear below are not applicable to this communication and should be disregarded.  Such disclaimers were automatically generated as a result of this communication being sent via email or another communication system.

 

2