Hartford Financial to sell $25-par fixed-to-floating notes due 2042

By Stephanie N. Rotondo

Portland, Ore., April 2 - Hartford Financial Services Group Inc. will price an offering of fixed-to-floating-rate $25-par junior subordinated debentures due 2042, the company said in a 424B5 filing with the Securities and Exchange Commission on Monday.

The interest rate will be fixed until April 15, 2022. It will then be based on Libor plus an as of yet undetermined percentage. The floating rate will be reset quarterly.

Interest will be payable on the 15th of January, April, July and October. Interest payments can be deferred for up to 10 years without an event of default.

Before April 15, 2022, the notes have a make-whole call option within 90 days of a tax event or rating agency event. Beginning April 15, 2022, they are callable at par at any time.

Hartford will apply to list the notes on the New York Stock Exchange.

Citigroup Global Markets Inc. and Goldman Sachs & Co. are the joint structuring advisers and bookrunners. Bank of America Merrill Lynch, Barclays Capital Inc., Deutsche Bank Securities Inc. and J.P. Morgan Securities LLC are also acting as joint bookrunners.

Proceeds from the sale will be used toward a planned repurchase of 10% fixed-to-floating-rate junior subordinated debentures due 2068.

Hartford Financial is an insurance and financial services company based in Hartford, Conn.

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