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FWP 1 d807126dfwp.htm FINAL TERM SHEET Final Term Sheet

Filed Pursuant to Rule 433
Registration No. 333-190954

 

Final Term Sheet

October 22, 2014

VERIZON COMMUNICATIONS INC.

$1,500,000,000 3.00% Notes due 2021

$2,500,000,000 3.50% Notes due 2024

$2,500,000,000 4.40% Notes due 2034

 

         
Issuer:    Verizon Communications Inc. (“Verizon”)
Title of Securities:    3.00% Notes due 2021 (the “Notes due 2021”)
     3.50% Notes due 2024 (the “Notes due 2024”)
     4.40% Notes due 2034 (the “Notes due 2034” and together with the Notes due 2021 and the Notes due 2024, the “Notes”)
Trade Date:    October 22, 2014     
Settlement Date (T+5):    October 29, 2014     
Maturity Date:    Notes due 2021:    November 1, 2021
     Notes due 2024:    November 1, 2024
     Notes due 2034:    November 1, 2034
Interest Payment Dates:    Semiannually on each May 1 and November 1, commencing May 1, 2015
Aggregate Principal Amount Offered:    Notes due 2021:    $1,500,000,000
     Notes due 2024:    $2,500,000,000
     Notes due 2034:    $2,500,000,000
Public Offering Price:    Notes due 2021: 99.699% plus accrued interest, if any, from October 29, 2014
     Notes due 2024: 99.340% plus accrued interest, if any, from October 29, 2014
     Notes due 2034: 99.276% plus accrued interest, if any, from October 29, 2014
Underwriting Discount:    Notes due 2021:    0.40%
     Notes due 2024:    0.45%
     Notes due 2034:    0.75%
Proceeds to Verizon (before expenses):    Notes due 2021:    99.299%
     Notes due 2024:    98.890%
     Notes due 2034:    98.526%
Interest Rate:    Notes due 2021:    3.00% per annum
     Notes due 2024:    3.50% per annum
     Notes due 2034:    4.40% per annum
Denominations:    Minimum of $2,000 and integral multiples of $1,000 in excess of $2,000

 


Use of Proceeds:

Verizon intends to use the net proceeds from the sale of the Notes primarily to redeem all or a portion of one or more of the following series of securities:

 

    4.90% notes due 2015 issued by Verizon, with an outstanding aggregate principal amount of $500,000,000,

 

    5.55% notes due 2016 issued by Verizon, with an outstanding aggregate principal amount of $598,324,000,

 

    3.00% notes due 2016 issued by Verizon, with an outstanding aggregate principal amount of $1,250,000,000,

 

    2.50% notes due 2016 issued by Verizon, with an outstanding aggregate principal amount of $3,182,335,000,

 

    5.50% notes due 2017 issued by Verizon, with an outstanding aggregate principal amount of $396,969,000,

 

    8.75% notes due 2018 issued by Verizon, with an outstanding aggregate principal amount of $735,653,000,

 

    7.00% debentures due 2016 issued by Verizon’s subsidiary Alltel Corporation, with an outstanding aggregate principal amount of $143,328,000 and

 

    8.50% notes due 2018 issued by Verizon’s subsidiaries Cellco Partnership and Verizon Wireless Capital LLC, with an outstanding aggregate principal amount of $380,591,000.

 

  Verizon expects that the redemptions will be completed during the fourth quarter of 2014. Any remaining net proceeds will be used for general corporate purposes

 

Optional Redemption:

Notes due 2021: At any time prior to September 1, 2021, make-whole call at the greater of 100% of the principal amount of the Notes due 2021 being redeemed or the discounted present value at Treasury Rate plus 20 basis points, plus accrued and unpaid interest. At any time on or after September 1, 2021, at 100% of the principal amount of the Notes due 2021 being redeemed, plus accrued and unpaid interest

 

  Notes due 2024: At any time prior to August 1, 2024, make-whole call at the greater of 100% of the principal amount of the Notes due 2024 being redeemed or the discounted present value at Treasury Rate plus 25 basis points, plus accrued and unpaid interest. At any time on or after August 1, 2024, at 100% of the principal amount of the Notes due 2024 being redeemed, plus accrued and unpaid interest

 

  Notes due 2034: At any time prior to May 1, 2034, make-whole call at the greater of 100% of the principal amount of the Notes due 2034 being redeemed or the discounted present value at Treasury rate plus 25 basis points, plus accrued and unpaid interest. At any time on or after May 1, 2034, at 100% of the principal amount of the Notes due 2034 being redeemed, plus accrued and unpaid interest

 

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Representatives:    J.P. Morgan Securities LLC
     Morgan Stanley & Co. LLC
     Wells Fargo Securities, LLC

 

                         
Allocation:    Principal Amount of
Notes due 2021:
     Principal Amount of
Notes due 2024:
     Principal Amount of
Notes due 2034:
 

J.P. Morgan Securities LLC

   $ 300,000,000       $ 500,000,000       $ 500,000,000   

Morgan Stanley & Co. LLC

     300,000,000         500,000,000         500,000,000   

Wells Fargo Securities, LLC

     300,000,000         500,000,000         500,000,000   

Citigroup Global Markets Inc.

     127,500,000         212,500,000         212,500,000   

Deutsche Bank Securities Inc.

     127,500,000         212,500,000         212,500,000   

Mizuho Securities USA Inc.

     127,500,000         212,500,000         212,500,000   

RBS Securities Inc.

     127,500,000         212,500,000         212,500,000   

BNY Mellon Capital Markets, LLC

     22,500,000         37,500,000         37,500,000   

CastleOak Securities, L.P.

     11,250,000         18,750,000         18,750,000   

C.L. King & Associates, Inc.

     11,250,000         18,750,000         18,750,000   

Drexel Hamilton, LLC

     11,250,000         18,750,000         18,750,000   

Lebenthal & Co., LLC

     11,250,000         18,750,000         18,750,000   

Loop Capital Markets LLC

     11,250,000         18,750,000         18,750,000   

U.S. Bancorp Investments, Inc.

     11,250,000         18,750,000         18,750,000   
    

 

 

    

 

 

    

 

 

 

Total

   $ 1,500,000,000       $ 2,500,000,000       $ 2,500,000,000   
    

 

 

    

 

 

    

 

 

 

 

     

Reference Document:

     Preliminary Prospectus Supplement, subject to completion, dated October 22, 2014, Prospectus dated October 22, 2014.

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 J.P. Morgan Securities LLC collect at 1-212-834-4533, Morgan Stanley & Co. LLC toll-free at 1-866-718-1649 or Wells Fargo Securities, LLC toll-free at 1-800-326-5897.

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

 

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https://www.sec.gov/Archives/edgar/data/732712/000119312514378923/d807126dfwp.htm