DTE Energy 2014 Annual Report Download - page 149

At any time prior to November 1, 2019, the optional redemption price (which shall be a “Redemption Price” for purposes of the
Indenture) will be equal to the greater of (i) 100% of the principal amount of this Note to be redeemed and (ii) the sum of the present
values of the principal amount of this Note to be redeemed and the remaining scheduled payments of interest on the principal amount
of this Note to be redeemed (exclusive of interest accrued to the related Optional Redemption Date) until Stated Maturity, in each case
discounted from their respective scheduled payment dates to such Optional Redemption Date on a semiannual basis (assuming a 360-
day year consisting of 30-day months) at the Adjusted Treasury Rate (as defined below) plus 15 basis points, as determined by the
Quotation Agent (as defined below), plus in either case, accrued interest thereon to the date of redemption. At any time on or after
November 1, 2019, the optional redemption price will be equal to 100% of the principal amount of this bond to be redeemed plus
accrued and unpaid interest thereon to the redemption date.
Notwithstanding the foregoing, installments of interest on this Note that are due and payable on Interest Payment Dates falling
on or prior to a Redemption Date will be payable on the Interest Payment Date to the registered Holders as of the close of business on
the relevant Record Date.
“Adjusted Treasury Rate” means, with respect to any Optional Redemption Date, the rate per annum equal to the semiannual
equivalent yield to maturity of the Comparable Treasury Issue, calculated on the third Business Day preceding such Optional
Redemption Date, using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the
Comparable Treasury Price for such Optional Redemption Date.
“Comparable Treasury Issue” means the United States Treasury security determined by the Quotation Agent as having a
maturity comparable to the remaining term of this Note that would be utilized, at the time of selection and in accordance with
customary financial practice, in pricing new issues of corporate debt securities of comparable maturity with the remaining term of this
Note.
“Comparable Treasury Price” means, with respect to any Optional Redemption Date, (i) the average of the Reference Treasury
Dealer Quotations for such Optional Redemption Date, after excluding the highest and lowest such Reference Treasury Dealer
Quotations, or (ii) if the Quotation Agent obtains fewer than three such Reference Treasury Dealer Quotations, the average of all such
quotations, or (iii) if only one Reference Treasury Dealer Quotation is received, such quotation.
“Quotation Agent” means one of the Reference Treasury Dealers appointed by the Company.
“Reference Treasury Dealer” means: (i) each of J.P. Morgan Securities LLC, RBS Securities Inc. and UBS Securities LLC (or
their respective affiliates which are Primary Treasury Dealers), and their respective successors; provided, however, that if any of the
foregoing cease to be a primary U.S. Government securities dealer in the United States (a “Primary Treasury Dealer”), the Company
shall substitute therefor another Primary Treasury Dealer; and (ii) any other Primary Treasury Dealer(s) selected by the Company.
“Reference Treasury Dealer Quotation” means, with respect to each Reference Treasury Dealer and any Optional Redemption
Date, the average, as determined by the Quotation Agent, of the bid and asked prices for the Comparable Treasury Issue (expressed in
each case as a percentage
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