Filed Pursuant to Rule 433
Registration Statement No. 333-209122
Registration Statement No. 333-209122-01
Pricing Term Sheet
BERKSHIRE HATHAWAY FINANCE CORPORATION
Pricing Term Sheet
$750,000,000 1.450% Senior Notes due 2018
$1,000,000,000 Floating Rate Senior Notes due 2018
$1,250,000,000 1.700% Senior Notes due 2019
$500,000,000 Floating Rate Senior Notes due 2019
Issuer: | Berkshire Hathaway Finance Corporation | |
Offering Format: | SEC Registered | |
Guarantor: | Berkshire Hathaway Inc. | |
Trade Date: | March 8, 2016 | |
Settlement Date: | March 15, 2016 (T+5) | |
Expected Ratings*: | Aa2 by Moody’s Investors Service, Inc. AA by Standard & Poor’s Ratings Services |
1.450% Senior Notes due 2018
Principal Amount: | $750,000,000 | |
Maturity Date: | March 7, 2018 | |
Issue Price (Price to Public): | 99.961% of face amount | |
Gross Spread: | 15 bps | |
Proceeds to Issuer: | $748,582,500 | |
Interest Rate: | 1.450% per annum | |
Benchmark Treasury: | 0.75% due February 28, 2018 | |
Benchmark Treasury Yield: | 0.870% | |
Spread to Benchmark Treasury: | +60 bps | |
Yield to Maturity: | 1.470% | |
Day Count Convention: | 30/360 If any date on which interest is payable on the notes is not a business day, then payment of the interest payable on such date will be made on the next succeeding day that is a business day (and without any interest or other payment in respect of any such delay) with the same force and effect as if made on such interest payment date. | |
Interest Payment Dates: | Each March 7 and September 7, commencing September 7, 2016 | |
Make-Whole Call: | At any time at Treasury plus 10 bps | |
Minimum Denomination: | $2,000 and integral multiples of $1,000 in excess thereof | |
CUSIP: | 084664 CE9 | |
ISIN: | US084664CE94 |
Floating Rate Senior Notes due 2018
Principal Amount: | $1,000,000,000 | |
Maturity Date: | March 7, 2018 | |
Issue Price (Price to Public): | 100% of face amount | |
Gross Spread: | 15 bps | |
Proceeds to Issuer: | $998,500,000 | |
Interest Rate Index: | Three-Month LIBOR (Reuters Page LIBOR01) | |
Spread to Index: | +55 bps |
Day Count Convention: | Actual/360 | |
Interest Payment and Reset Dates: | Each March 7, June 7, September 7 and December 7, commencing June 7, 2016 | |
Interest Determination Dates: | Quarterly, on second London business day prior to applicable Interest Payment Date | |
Optional Redemption: | None | |
Minimum Denomination: | $2,000 and integral multiples of $1,000 in excess thereof | |
CUSIP: | 084664 CF6 | |
ISIN: | US084664CF69 |
1.700% Senior Notes due 2019
Principal Amount: | $1,250,000,000 | |
Maturity Date: | March 15, 2019 | |
Issue Price (Price to Public): | 99.924% of face amount | |
Gross Spread: | 20 bps | |
Proceeds to Issuer: | $1,246,550,000 | |
Interest Rate: | 1.700% per annum | |
Benchmark Treasury: | 0.75% due February 15, 2019 | |
Benchmark Treasury Yield: | 1.026% | |
Spread to Benchmark Treasury: | +70 bps | |
Yield to Maturity: | 1.726% | |
Day Count Convention: | 30/360 If any date on which interest is payable on the notes is not a business day, then payment of the interest payable on such date will be made on the next succeeding day that is a business day (and without any interest or other payment in respect of any such delay) with the same force and effect as if made on such interest payment date. | |
Interest Payment Dates: | Each March 15 and September 15, commencing September 15, 2016 | |
Make-Whole Call: | At any time at Treasury plus 12.5 bps | |
Minimum Denomination: | $2,000 and integral multiples of $1,000 in excess thereof | |
CUSIP: | 084664 CG4 | |
ISIN: | US084664CG43 |
Floating Rate Senior Notes due 2019
Principal Amount: | $500,000,000 | |
Maturity Date: | March 15, 2019 | |
Issue Price (Price to Public): | 100% of face amount | |
Gross Spread: | 20 bps | |
Proceeds to Issuer: | $499,000,000 | |
Interest Rate Index: | Three-Month LIBOR (Reuters Page LIBOR01) | |
Spread to Index: | +69 bps | |
Day Count Convention: | Actual/360 | |
Interest Payment and Reset Dates: | Each March 15, June 15, September 15 and December 15, commencing June 15, 2016 | |
Interest Determination Dates: | Quarterly, on second London business day prior to applicable Interest Payment Date | |
Optional Redemption: | None | |
Minimum Denomination: | $2,000 and integral multiples of $1,000 in excess thereof | |
CUSIP: | 084664 CH2 | |
ISIN: | US084664CH26 |
Other Information
Joint Book-Running Managers: | Goldman, Sachs & Co. J.P. Morgan Securities LLC Merrill Lynch, Pierce, Fenner & Smith Incorporated Wells Fargo Securities, LLC |
| * | 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 |
Settlement Period: The closing will occur on March 15, 2016, which will be more than three U.S. business days after the date of this pricing term sheet. Rule 15c6-1 under the Securities Exchange Act of 1934 generally requires that securities trades in the secondary market settle in three business days, unless the parties to a trade expressly agree otherwise.
Each of the issuer and the guarantor 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 and the guarantor have filed with the SEC for more complete information about the issuer, the guarantor 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 Goldman, Sachs & Co. toll-free at (866) 471-2526, J.P. Morgan Securities LLC collect at 212-834-4533, Merrill Lynch, Pierce, Fenner & Smith Incorporated toll-free at (800) 294-1322 or Wells Fargo Securities, LLC at (800) 645-3751.