Filed Pursuant to Rule 433
Registration Number 333-168333
$2,000,000,000
1.950% Notes Due July 22, 2016
International Business Machines Corporation
July 19, 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 |
|
July 19, 2011 |
|
Settlement Date |
|
(T+3); July 22, 2011 |
|
Size |
|
$2,000,000,000 |
|
Maturity |
|
July 22, 2016 |
|
Interest Payment Dates |
|
January 22 and July 22 |
|
First Payment Date |
|
January 22, 2012 |
|
Benchmark Treasury |
|
1.500% due June, 2016 |
|
Benchmark Treasury Yield |
|
1.421% |
|
Spread to Benchmark Treasury |
|
T + 65 bps |
|
Yield to Maturity |
|
2.071% |
|
Coupon |
|
1.950% |
|
Make-Whole Call |
|
T + 15 bps |
|
Price to Public |
|
99.428% |
|
Underwriting Discount |
|
0.250% |
|
Net Proceeds to Issuer |
|
99.178% |
|
Day Count |
|
30/360 |
|
Minimum Denomination |
|
$100,000 and multiples of $1,000 |
|
Bookrunners |
|
Deutsche Bank Securities Inc. Goldman, Sachs & Co. HSBC Securities (USA) Inc. UBS Securities LLC |
|
Co-Managers |
|
Loop Capital Markets, LLC Muriel Siebert & Co., Inc. Santander Investment Securities Inc. |
|
CUSIP |
|
459200 GX3 |
|
ISIN/Common Code |
|
US459200GX35 |
*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 Deutsche Bank Securities Inc. toll free at 800-503-4611, Goldman, Sachs & Co. toll free at 866-471-2526, HSBC Securities (USA) Inc. toll free at 866-811-8049 or UBS Securities LLC toll free at 877-827-6444 (extension 561-3884).
This pricing term sheet supplements the preliminary form of prospectus supplement issued by International Business Machines Corporation on July 19, 2011 relating to its Prospectus dated July 27, 2010.