Filed pursuant to Rule 433
Dated November 18, 2019
Relating to
Preliminary Prospectus Supplement dated November 18, 2019 to
Prospectus dated December 6, 2017
Registration Statement No. 333-221917
Packaging Corporation of America
$500,000,000 3.000% Senior Notes Due 2029 (the “2029 Notes”)
$400,000,000 4.050% Senior Notes Due 2049 (the “2049 Notes”)
Pricing Term Sheet
November 18, 2019
| Terms Applicable to Each Series of Notes | ||
| Issuer: |
Packaging Corporation of America | |
| Ratings (Moody’s / S&P)*: |
Moody’s: Baa2 / S&P: BBB | |
| Security Type: |
Senior Unsecured Notes | |
| Pricing Date: |
November 18, 2019 | |
| Settlement Date: |
November 21, 2019 (T+3) | |
| Interest Payment Dates: |
Semi-annually on June 15 and December 15 of each year, beginning on June 15, 2020 | |
| Record Dates: |
June 1 and December 1 | |
| Terms Applicable to the 2029 Notes | ||
| Principal Amount: |
$500,000,000 | |
| Maturity Date: |
December 15, 2029 | |
| Benchmark Treasury: |
1.750% due November 15, 2029 | |
| Benchmark Treasury Price / Yield: |
99-13 / 1.815% | |
| Spread to Benchmark Treasury: |
+120 basis points | |
| Yield to Maturity: |
3.015% | |
| Coupon: |
3.000% | |
| Public Offering Price: |
99.869% of the principal amount, plus accrued interest, if any, from the settlement date | |
| Optional Redemption |
||
| Make-Whole Call: |
Treasury Rate plus 20 basis points (prior to September 15, 2029) | |
| Par Call: |
On or after September 15, 2029 | |
| CUSIP / ISIN: |
695156 AU3 / US695156AU37 | |
| Terms Applicable to the 2049 Notes | ||
| Principal Amount: |
$400,000,000 | |
| Maturity Date: |
December 15, 2049 | |
| Benchmark Treasury: |
2.250% due August 15, 2049 | |
| Benchmark Treasury Price / Yield: |
98-29 / 2.301% | |
| Spread to Benchmark Treasury: |
+180 basis points | |
| Yield to Maturity: |
4.101% | |
| Coupon: |
4.050% | |
| Public Offering Price: |
99.120% of the principal amount, plus accrued interest, if any, from the settlement date | |
| Optional Redemption |
||
| Make-Whole Call: |
Treasury Rate plus 30 basis points (prior to June 15, 2049) | |
| Par Call: |
On or after June 15, 2049 | |
| CUSIP / ISIN: |
695156 AV1 / US695156AV10 | |
| Joint Book-Running Managers: |
Deutsche Bank Securities Inc. Well Fargo Securities, LLC | |
| Co-Managers: |
BMO Capital Markets Corp. BofA Securities, Inc. Citigroup Global Markets Inc. J.P. Morgan Securities LLC PNC Capital Markets LLC Siebert Williams Shank & Co., LLC BB&T Capital Markets, a division of BB&T Securities, LLC Mizuho Securities USA LLC U.S. Bancorp Investments, Inc. | |
* 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.
The issuer has filed a registration statement (including a prospectus) and a preliminary prospectus supplement with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement, the preliminary prospectus supplement 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 and the prospectus supplement if you request it by calling (toll free) either of the representatives of the underwriters:
| Deutsche Bank Securities Inc. | 800-503-4611 | |||||||
| Wells Fargo Securities, LLC | 800-645-3751 |
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 Bloomberg or another email system.
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