Filed Pursuant to Rule 433
Registration No. 333-136815-01
Free Writing Prospectus dated October 7, 2008
PRICING TERM SHEET
| | | |
| Issuer: | | The Detroit Edison Company |
| Security: | | 2008 Series J 6.40% Senior Notes due 2013 |
| Size: | | $250,000,000 |
| Maturity Date: | | October 1, 2013 |
| Coupon: | | 6.40% |
| Yield: | | 6.462% |
| Interest Payment Dates: | | April 1 and October 1, commencing April 1, 2009 |
| Price to Public: | | 99.742% |
| Spread to Benchmark Treasury: | | +400 bps |
| Benchmark Treasury: | | 3.125% due September 30, 2013 |
| Benchmark Treasury Yield: | | 2.462% |
| Make-whole call: | | At any time at a discount rate of Treasury plus 50 bps |
| Expected Settlement Date: | | T+3; October 10, 2008 |
| CUSIP: | | 250847 EE6 |
| Anticipated Ratings: | | A3 by Moody’s Investors Service, Inc., A- by Standard & Poor’s Ratings Services and A- by Fitch Ratings |
| | | |
| Joint Book-Running Managers: | | Barclays Capital Inc. |
| | | Citigroup Global Markets Inc. |
| | | Greenwich Capital Markets, Inc. |
| | | Scotia Capital (USA) 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) 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 Barclays Capital Inc. toll-free at 1-888-227-2275, Ext. 2663, Citigroup Global Markets Inc. toll-free at 1-877-858-5407, Greenwich Capital Markets, Inc. toll-free at 1-866-884-2071 or Scotia Capital (USA) Inc. toll-free at 1-800-372-3930.
