Bill Barrett Corporation
(NYSE: BBG) today announced that it has priced its $400 million aggregate
principal amount of 7% Senior Notes due 2022. The notes were sold to the public
at par. The notes will be unsecured obligations of the Company and will
be effectively subordinated to the Company's existing and future secured
indebtedness to the extent of the value of the assets securing that
indebtedness. Initially, all of the Company's subsidiaries will guarantee
the notes.
Interest on the notes is
payable April 15 and October 15 of each year. The first interest payment will
be payable on October 15, 2012, and will consist of interest from March 12,
2012 to that date. The notes will mature on October 15, 2022. The offering is
expected to close on March 12, 2012, subject to customary closing
conditions. The Company intends to use the net proceeds from the offering
to repay borrowings under its revolving credit facility and for general
corporate purposes, including to repay the entire $172.5 million aggregate
principal amount of its 5% Convertible Senior Notes due 2028 that the Company
assumes will be put to the Company on March 20, 2012 pursuant to the terms of
the indenture governing the 5% Convertible Senior Notes due 2028.
J.P. Morgan Securities LLC,
Merrill Lynch, Pierce, Fenner & Smith
Incorporated, Deutsche Bank Securities Inc., Wells Fargo Securities, LLC and
BMO Capital Markets Corp. were the joint book-running managers for the
offering. This offering is being made only by means of a prospectus and related
prospectus supplement.
Electronic copies of the
prospectus and, when available, the prospectus supplement may be obtained from
J.P. Morgan Securities LLC at 383 Madison Avenue, New York, NY 10179, Attention
High Yield Syndicate, or via telephone at 1-800-245-8812; BofA
Merrill Lynch at 4 World Financial Center, 7th Floor, New York, NY 10080,
Attention: Prospectus Department, via telephone at 1-800-294-1322 or via email
at dg.prospectus_requests@baml.com; Deutsche Bank Securities Inc. at 100 Plaza
One, Floor 2, Jersey City, NJ 07311-3901, Attention: Prospectus Department, via
telephone at 1-800-503-4611 or via email at prospectus.cpdg@db.com; and from
Wells Fargo Securities, LLC at 1525 West W.T. Harris Blvd.,MAC
D1109-010, Charlotte, NC, 28262, Attention: Syndicate Operations, or via
telephone at 1-800-326-5897; BMO Capital Markets Corp. at 3 Times Square, 28th
Floor, New York, NY 10036, Attention: Syndicate Desk, or via telephone at
1-800-414-3627.
The prospectus and, when
available, the prospectus supplement may also be obtained from the SEC's
website at http://www.sec.gov.
This press release shall
not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in
which such offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any state.
FORWARD-LOOKING
STATEMENTS
This press release includes
"forward-looking statements" within the meaning of the federal
securities laws. All statements, other than statements of historical
facts, included in this press release that address activities, events or
developments that the Company expects, believes or anticipates will or may
occur in the future are forward-looking statements. These statements
include the Company's plan to complete a public offering of senior notes in
aggregate principal amount of $400 million. Such statements are subject
to a number of assumptions, risks and uncertainties, many of which are beyond
the control of the Company, including market conditions, operational
developments with respect to the Company, and other factors described in the
Company's reports filed with the SEC. See the Company's Annual Report on
Form 10-K for the year ended December 31, 2011 and the Company's other filings
with the SEC for a discussion of risks and uncertainties that could cause
actual results to differ from those in such forward-looking statements.
ABOUT BILL BARRETT
CORPORATION
Bill Barrett Corporation
(NYSE: BBG), headquartered in Denver, Colorado, explores for and develops
natural gas and oil in the Rocky Mountain region of the United States.
Additional information about the Company may be found on its website www.billbarrettcorp.com.