Filed Pursuant to Rule 433
Registration Number 333-168333
$1,000,000,000
1.250% Notes Due May 12, 2014
International Business Machines Corporation
May 9, 2011
Pricing Term Sheet
|
Issuer |
|
International Business Machines Corporation |
|
Expected Issuer Ratings* |
|
Aa3/A+/A+ (Moody’s/S&P/Fitch) |
|
Format |
|
SEC Registered |
|
Trade Date |
|
May 9, 2011 |
|
Settlement Date |
|
May 12, 2011 |
|
Size |
|
$1,000,000,000 |
|
Maturity |
|
May 12, 2014 |
|
Interest Payment Dates |
|
November 12 and May 12 |
|
First Payment Date |
|
November 12, 2011 |
|
Benchmark Treasury |
|
1.250% due April 15, 2014 |
|
Benchmark Treasury Yield |
|
0.912% |
|
Spread to Benchmark Treasury |
|
T + 37 bps |
|
Yield to Maturity |
|
1.282% |
|
Coupon |
|
1.250% |
|
Make-Whole Call |
|
T + 8 bps |
|
Price to Public |
|
99.906% |
|
Underwriting Discount |
|
0.150% |
|
Price to Issuer |
|
99.756% |
|
Day Count |
|
30/360 |
|
Minimum Denomination |
|
$100,000 and multiples of $1,000 |
|
Bookrunners |
|
Citigroup Global Markets Inc. |
|
Co-Managers |
|
Mitsubishi UFJ Securities (USA), Inc. |
|
CUSIP |
|
459200 GW5 |
|
ISIN/Common Code |
|
US459200GW51 |
*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 Citigroup Global Markets Inc. toll free at 877-858-5407, Deutsche Bank Securities Inc. toll free at 800-503-4611, J.P. Morgan Securities LLC collect at 212-834-4533, or Wells Fargo Securities, LLC toll free at 800-326-5897.
This pricing term sheet supplements the preliminary form of prospectus supplement issued by International Business Machines Corporation on May 9, 2011 relating to its Prospectus dated July 27, 2010.