KNOXVILLE, Tenn., April 3, 2008 /PRNewswire-FirstCall/ -- The interest rate on the Tennessee Valley Authority 1999 Series A Putable Automatic Rate Reset Securities bonds, traded on the New York Stock Exchange under the symbol "TVE," will be reset from 5.618 percent to 5.174 percent on May 1, 2008.
In conjunction with the pending reset, investors have the option of retaining their bonds with the new rate or requesting repayment at par value ($25 per bond). Investors who wish to return their bonds must contact the financial institution that holds the bonds to request repayment and authorize arrangements to be made on their behalf.
Repayment arrangements must be completed with The Depository Trust Company no later than Monday, April 21. Requests for repayment cannot be accepted directly by TVA.
On May 1, 2008, TVA will pay $25 for each bond properly returned, plus a quarterly interest payment of 35.1125 cents per bond, reflecting the current annual interest rate of 5.618 percent.
The 1999 Series A bonds mature on May 1, 2029. They can be identified by the CUSIP number 880591409. The 1999 Series A Offering Circular and additional information about the rate reset and repayment option is available on TVA's web site, at http://www.tva.com/finance. Copies of the Offering Circular may be requested by calling 1-888-882-4975 (toll free).
TVA is the nation's largest public power provider and is completely self-financing. TVA provides power to large industries and 159 power distributors that serve approximately 8.8 million consumers in seven southeastern states. TVA also manages the Tennessee River and its tributaries to provide multiple benefits, including flood damage reduction, navigation, water quality and recreation.
Investor Contact: (888) 882-4975 (toll-free) http://www.tva.com/finance DATASOURCE: Tennessee Valley Authority CONTACT: John Moulton of Tennessee Valley Authority, +1-865-632-8048, or Tennessee Valley Authority News Bureau, +1-865-632-6000 Web Site: http://www.tva.com/
|