Registration No.
333-
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UNITED
STATES SECURITIES AND EXCHANGE COMMISSION |
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Washington,
D. C. 20549 |
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FORM
S-3 |
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REGISTRATION
STATEMENT UNDER THE SECURITIES ACT OF 1933 |
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SCANA
CORPORATION |
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(Exact
name of registrant as specified in its charter) |
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South
Carolina |
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(State
or other jurisdiction of incorporation or organization) |
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57-0784499 |
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(I.R.S.
Employer Identification No.) |
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1426
Main Street |
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Columbia,
South Carolina 2920 |
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(803)
217-9000 |
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(Address,
including zip code, and telephone number, including |
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area
code, of registrant's principal executive offices) |
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Francis
P. Mood, Jr., Esq. |
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Senior
Vice President and General Counsel |
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SCANA
Corporation |
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1426
Main Street |
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Columbia,
South Carolina 29201 |
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(803)
217-8634 |
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(Name,
address, including zip code, and |
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telephone
number, including area code, of agent for service) |
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With
copies to:
John
W. Currie, Esq. |
James
J. Wheaton, Esq. |
McNair
Law Firm, P.A. |
Troutman
Sanders LLP |
1301
Gervais Street - 17th Floor |
222
Central Park Avenue, Suite 2000 |
Columbia,
SC 29201 |
Virginia
Beach, VA 23462 |
(803)
799-9800 |
(757)
687-7500 |
Approximate
date of commencement of proposed sale to the public: After the effective date of
this registration statement, as determined by market conditions and other
factors.
If the
only securities being registered on this Form are being offered pursuant to
dividend or interest reinvestment plans, please check the following box. o
If any of
the securities being registered on this Form are to be offered on a delayed or
continuous basis pursuant to Rule 415 under the Securities Act of 1933, other
than securities offered only in connection with dividend or interest
reinvestment plans, check the following box. x
If this
Form is filed to register additional securities for an offering pursuant to Rule
462(b) under the Securities Act, please check the following box and list the
Securities Act registration statement number of the earlier effective
registration statement for the same offering. o
If this
Form is a post-effective amendment filed pursuant to Rule 462(c) under the
Securities Act, check the following box and list the Securities Act registration
statement number of the earlier effective registration statement for the same
offering. o
If
delivery of the prospectus is expected to be made pursuant to Rule 434, please
check the following box. o
CALCULATION
OF REGISTRATION FEE
Title
of each class of securities to be registered |
Amount
to be registered (1) |
Proposed
maximum offering price per unit (1)
(2) |
Proposed
maximum aggregate offering price (1)
(2) (3) |
Amount
of registration fee |
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Medium
Term Notes
Common
Stock |
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Total |
$500,000,000 |
100% |
$500,000,000 |
$58,850 |
(1) There
are being registered hereunder such presently indeterminate principal amount of
medium term notes and number of shares of common stock with an aggregate initial
offering price not to exceed $500,000,000. Pursuant to Rule 457(o) under the
Securities Act of 1933, which permits the registration fee to be calculated on
the basis of the maximum offering price of all securities listed, the table does
not specify by each class information as to the amount to be registered,
proposed maximum offering price per unit or proposed maximum aggregate offering
price.
(2)
Estimated solely for the purpose of calculating the registration fee.
(3)
Exclusive of accrued interest on medium term notes, if any.
The
registrant hereby amends this registration statement on such date or dates as
may be necessary to delay its effective date until the registrant shall file a
further amendment which specifically states that this registration statement
shall thereafter become effective in accordance with Section 8(a) of the
Securities Act of 1933 or until the registration statement shall become
effective on such date as the Commission, acting pursuant to said Section 8(a),
may determine.
The
information in this prospectus is not complete and may be changed. We may not
sell these securities until the registration statement filed with the Securities
and Exchange Commission is effective. This prospectus is not an offer to sell
these securities and it is not soliciting an offer to buy these securities in
any state where the offer or sale is not permitted.
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SUBJECT
TO COMPLETION DATED , 2005. |
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PROSPECTUS |
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$500,000,000 |
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SCANA
Corporation |
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Medium
Term Notes |
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Common
Stock |
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SCANA
Corporation |
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1426
Main Street |
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Columbia,
South Carolina 29201 |
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(803)
217-9000 |
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This
prospectus contains summaries of the general terms of our Medium Term Notes (the
“Notes”) and Common Stock (the “Common Stock”). You will find the specific terms
of these securities, and the manner in which they are being offered, in
supplements to this prospectus. You should read this prospectus and the
applicable pricing supplement (with respect to an offering of the Notes) or
prospectus supplement (with respect to an offering of the Common Stock)
carefully before you invest.
The
Common Stock is listed on The New York Stock Exchange under the symbol
“SCG.”
Investing
in each of the Notes and the Common Stock involves risks. See “Risk Factors”
beginning on page herein
to read about certain factors you should consider before buying the Notes or the
Common Stock.
We urge
you to carefully read this prospectus and the applicable pricing or prospectus
supplement, which will describe the specific terms of the offering, before you
make your investment decision.
A pricing
or prospectus supplement will name any agents or underwriters involved in the
sale of these securities and will describe any compensation not described in
this prospectus.
Neither
the Securities and Exchange Commission nor any state securities commission has
approved or disapproved of these securities or passed upon the adequacy or
accuracy of this prospectus or any pricing or prospectus supplement. Any
representation to the contrary is a criminal offense.
The date
of this prospectus is ___________ ___, 2005.
Table
of Contents
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Page |
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About
this Prospectus |
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Where
You Can Find More Information |
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SCANA
Corporation |
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Risk
Factors |
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Ratio
of Earnings to Fixed Charges |
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Use
of Proceeds |
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Description
of the Notes |
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Description
of the Common Stock |
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Plan
of Distribution |
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Experts |
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Validity
of the Securities |
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About
This Prospectus
This
prospectus is part of a registration statement that we filed with the Securities
and Exchange Commission (“SEC”) utilizing a “shelf” registration process. Under
this shelf registration process, we may sell any or all of the Notes or Common
Stock described in this prospectus in one or more offerings up to a total dollar
amount of $500,000,000. This prospectus provides you with a general description
of these securities. Each time we sell securities, we will provide a pricing or
prospectus supplement that will contain specific information about the terms of
that offering. The pricing or prospectus supplement may also add, update or
change information contained in this prospectus. You should read both this
prospectus and the relevant pricing or prospectus supplement, together with the
additional information described under the heading “Where
You Can Find More Information.”
Where
You Can Find More Information
We file
annual, quarterly and special reports, proxy statements and other information
with the SEC. Our SEC filings are available to the public over the Internet at
the SEC’s website at http://www.sec.gov. You may
also read and copy any document we file with the SEC at the SEC’s public
reference room at 100 F Street, N.E., Washington, D.C. 20549. Please call the
SEC at (800) SEC-0330 for further information on the operation of the public
reference room. You may also read our SEC filings at The New York Stock Exchange
offices at 20 Broad Street, New York, New York 10005.
This
prospectus does not repeat important information that you can find elsewhere in
the registration statement and in the reports and other documents which we file
with the SEC under the Securities Exchange Act of 1934, as amended (the
“Exchange Act”). The SEC allows us to “incorporate by reference” the information
we file with it, which means that we can disclose important information to you
by referring you to those documents. The information incorporated by reference
is an important part of this prospectus, and information that we file later with
the SEC will automatically update and supersede that information. We incorporate
by reference our Annual Report on Form 10-K for the year ended December 31,
2004, as amended on April 18, 2005, our Quarterly Reports on Form 10-Q for the
quarters ended March 31 and June 30, 2005, our Current Reports on Form 8-K dated
February 8, February 23 and May 10, 2005, the description of our Common Stock
contained in our Registration Statement under the Exchange Act on Form 8-B dated
November 6, 1984, as amended May 26, 1995, and all future filings made with the
SEC under Sections 13(a), 13(c), 14, or 15(d) of the Exchange Act until we sell
all of the securities. In addition, we are also incorporating by reference any
additional documents that we file with the SEC pursuant to these sections of the
Exchange Act after the date of the filing of the registration statement
containing this prospectus and prior to the date of effectiveness of the
registration statement.
You may
request a copy of our SEC filings at no cost by writing or telephoning us at the
following address:
H. John
Winn, III
Director
- Investor Relations and Shareholder Services
SCANA
Corporation
Columbia,
South Carolina 29218
(803)
217-9240
You may
obtain more information by contacting our Internet website, at http://www.scana.com (which
is not intended to be an active hyperlink). The information on our Internet
website is not incorporated by reference in this prospectus, and you should not
consider it part of this prospectus.
You
should rely only on the information we incorporate by reference or provide in
this prospectus or any pricing or prospectus supplement. We have not authorized
anyone else to provide you with different information. We are not making an
offer of these securities in any state where the offer is not permitted. You
should not assume that the information in this prospectus or any pricing or
prospectus supplement is accurate as of any date other than the date on the
front of those documents.
SCANA
Corporation
We are an
energy-based holding company which, through our subsidiaries, engages
principally in electric and natural gas utility operations and other
energy-related businesses. We serve more than 580,000 electric customers in
South Carolina and more than 1.1 million natural gas customers in South
Carolina, North Carolina and Georgia.
We are a
South Carolina corporation with general business powers, and we were
incorporated on October 10, 1984. We are registered as a public utility holding
company under the Public Utility Holding Company Act of 1935, as amended
(“PUHCA”). Our principal executive offices are located at 1426 Main Street,
Columbia, South Carolina 29201, telephone (803) 217-9000, and our mailing
address is Columbia, South Carolina 29218.
Regulated
Utilities
We
operate our regulated utility businesses in North Carolina and South Carolina
through wholly-owned subsidiaries. These regulated businesses continue to be the
foundation of our operations and conduct business in an environment supported by
growing service territories and favorable regulatory treatment. We are allowed,
subject to state commission approval during annual fuel and purchased gas cost
hearings, full pass-through to retail customers of our electric fuel and natural
gas costs. This approval has historically been granted. There is also a weather
normalization clause in effect for our natural gas customers in the states of
North Carolina and South Carolina. These measures mitigate our commodity price
risk and allow us to focus our efforts on serving our customers.
South
Carolina Electric & Gas Company (“SCE&G”)
SCE&G
is a regulated public utility engaged in the generation, transmission,
distribution and sale of electricity and the purchase and sale, primarily at
retail, of natural gas in South Carolina. SCE&G’s electric service area
extends into 24 counties covering more than 15,000 square miles of the central,
southern and southwestern portions of South Carolina. SCE&G’s service area
for natural gas encompasses more than 22,000 square miles in all or part of 34
of South Carolina’s 46 counties. The total population of the counties
representing SCE&G’s combined service area is more than 2.8
million.
SCE&G
provides all of its electric generation capacity through its own facilities and
through the purchase of all of the electric generation of Williams Station,
which is owned by South Carolina Generating Company (“GENCO”), a wholly owned
subsidiary of SCANA. SCE&G maintains a balanced supply and demand position
as it relates to electric generation.
SCE&G
is subject to the jurisdiction of the Public Service Commission of South
Carolina (“SCPSC”). In a January 2005 order, the SCPSC granted SCE&G a
composite increase in retail electric rates of approximately 2.89%, designed to
produce additional annual revenues of approximately $41.4 million based on a
test year calculation. The SCPSC lowered SCE&G’s return on common equity
from 12.45% to an amount not to exceed 11.40%, with rates set at 10.70%. The new
rates became effective in January 2005. The rate increase related primarily to
SCE&G’s expenditures for a recently completed generating station in Jasper
County, South Carolina and expenditures for environmental equipment upgrades for
SCE&G’s generating plants.
SCE&G
also operates and has a two-thirds interest in V. C. Summer Nuclear Station in
South Carolina. This station furnished approximately 21% of SCE&G’s electric
generating capacity in 2004.
Public
Service Company of North Carolina, Incorporated (“PSNC Energy”)
PSNC
Energy is a public utility engaged primarily in purchasing, selling,
transporting and distributing natural gas to approximately 405,000 residential,
commercial and industrial customers in North Carolina. PSNC Energy’s franchised
service area includes 28 counties covering approximately 12,000 square miles of
North Carolina.
PSNC
Energy is regulated by the North Carolina Utilities Commission (“NCUC”). PSNC
Energy’s rates are established using a benchmark cost of gas approved by the
NCUC, which may be modified periodically to reflect changes in the market price
of natural gas and changes in the rates charged by PSNC Energy’s pipeline
transporters. The NCUC reviews PSNC Energy’s gas purchasing practices and prices
each year.
In
connection with our acquisition of PSNC Energy, the NCUC stipulated and PSNC
Energy agreed to a moratorium on general rate cases until August
2005.
South
Carolina Pipeline Corporation (“SCPC”) and SCG Pipeline, Inc. (“SCG
Pipeline”)
SCPC is
engaged in the purchase, transmission and sale of natural gas on a wholesale
basis to distribution companies (including SCE&G) and industrial customers
throughout most of South Carolina. SCPC also owns liquefied natural gas
liquefaction and storage facilities and supplies the natural gas for SCE&G’s
gas distribution system.
SCG
Pipeline provides interstate transportation services for natural gas to
southeastern Georgia and South Carolina. SCG Pipeline transports natural gas
from interconnections at Port Wentworth, Georgia and from an import terminal at
Elba Island, near Savannah, Georgia. The endpoint of the pipeline is at the site
of SCE&G’s recently completed Jasper County Electric Generating Station.
SCANA expects to merge SCPC and SCG Pipeline in 2006, subject to approval by the
Federal Energy Regulatory Commission (“FERC”).
Principal
Nonregulated Business
SCANA
Energy Marketing, Inc.
SCANA
Energy Marketing, Inc. markets natural gas primarily in the southeastern United
States, and provides energy-related risk management services to producers and
customers. A division of SCANA Energy Marketing, Inc., SCANA Energy, markets
natural gas in Georgia’s deregulated natural gas market. At June 30, 2005, SCANA
Energy had more than 460,000 natural gas customers in the deregulated Georgia
market. SCANA Energy is the second-largest marketer in Georgia’s non-regulated
retail gas market. SCANA Energy faces significant competition in the Georgia
natural gas market.
The
information above concerning us and our subsidiaries is only a summary and does
not purport to be comprehensive. For additional information concerning us and
our subsidiaries, you should refer to the information described in “Where
You Can Find More Information.”
Risk
Factors
Your
investment in the Notes or the Common Stock involves certain risks. In
consultation with your own financial and legal advisors, you should carefully
consider, among other matters, the following discussion of risks before deciding
whether an investment in these securities is suitable for you. These securities
are not an appropriate investment for you if you do not understand their
significant features and do not know if you can bear all of the associated
investment risk.
Commodity
price changes may affect the operating costs and competitive positions of our
energy businesses, thereby adversely impacting our results of operations, cash
flows and financial condition.
Our
energy businesses are sensitive to changes in coal, gas, oil and other commodity
prices. Any changes could affect the prices these businesses charge, their
operating costs and the competitive position of their products and services.
SCE&G is able to recover the cost of fuel used in electric generation
through retail customers’ bills, but increases in fuel costs affect electric
prices and, therefore, the competitive position of electricity against other
energy sources. In the case of regulated natural gas operations, costs for
purchased gas and pipeline capacity are recovered through retail customers’
bills, but increases in gas costs affect total retail prices and, therefore, the
competitive position of our gas relative to electricity, other forms of energy
and gas from other suppliers. Increases in gas costs may also result in lower
usage by customers unable to switch to alternate fuels.
We
are subject to complex government rate regulation, which could adversely affect
our revenues and results of operations.
We are
subject to extensive regulation which could adversely affect our operations. In
particular, our electric operations in South Carolina, and our gas operations in
South Carolina and North Carolina, are regulated by state utilities commissions.
Our gas marketing operations in Georgia are also subject to state regulatory
oversight. Although we believe we have constructive relationships with our
regulators, our ability to obtain rate increases that will allow us to maintain
reasonable rates of return is dependent upon regulatory discretion, and there
can be no assurance that we will be able to implement rate increases when
sought.
We
are vulnerable to interest rate increases which would increase our borrowing
costs, and we may not have access to capital at favorable rates, if at all, both
of which may adversely affect our results of operations, cash flows and
financial condition.
Changes
in interest rates can affect the cost of borrowing on variable rate debt
outstanding, on refinancing of debt maturities and on incremental borrowing to
fund new investments. Our business plan reflects the expectation that we will
have access to the capital markets on satisfactory terms to fund our
commitments. Moreover, our ability to maintain short-term liquidity by utilizing
commercial paper programs is dependent upon our maintaining investment grade
ratings. Our liquidity would be adversely affected by unfavorable changes in the
commercial paper market or if bank credit facilities became unavailable at
acceptable rates.
We
may not be able to reduce our leverage ratio as quickly as planned. This could
result in downgrades of our debt ratings, thereby increasing our borrowing costs
and adversely affecting our results of operations, cash flows and financial
condition.
Our
leverage ratio of debt to capital increased significantly as a result of our
acquisition in 2000 of PSNC Energy, and was approximately 57% at June 30,
2005. We have publicly announced our desire to reduce this leverage ratio to
between 50% to 52%, but our ability to do so depends on a number of factors. If
we are not able to reduce our leverage ratio, our debt ratings may be affected,
we may be required to pay higher interest rates on our long- and short-term
indebtedness, and our access to the capital markets may be
limited.
Operating
results may be adversely affected by abnormal
weather.
We have
historically sold less power, delivered less gas and received lower prices for
natural gas in deregulated markets, and consequently earned less income, when
weather conditions are milder than normal. Mild weather in the future could
diminish our revenues and results of operations and harm our financial
condition. In addition, severe weather can be destructive, causing outages and
property damage, adversely affecting operating expenses and
revenues.
Potential
competitive changes may adversely affect our gas and electricity businesses due
to the loss of customers, reductions in revenues, or write-down of stranded
assets.
The
utility industry has been undergoing dramatic structural change for several
years, resulting in increasing competitive pressures on electric and natural gas
utility companies. Competition in wholesale power sales has been introduced on a
national level. Some states have also mandated or encouraged competition at the
retail level. Increased competition may create greater risks to the stability of
utility earnings generally and may in the future reduce our earnings from retail
electric and natural gas sales. In a deregulated environment, formerly regulated
utility companies that are not responsive to a competitive energy marketplace
may suffer erosion in market share, revenues and profits as competitors gain
access to their customers. In addition, our generation assets would be exposed
to considerable financial risk in a deregulated electric market. If market
prices for electric generation do not produce adequate revenue streams and the
enabling legislation or regulatory actions do not provide for recovery of the
resulting stranded costs, a write-down in the value of the related assets would
be required.
We
are subject to risks associated with changes in business climate which could
limit our access to capital, thereby increasing our costs and adversely
affecting our results of operations, cash flows and financial
condition.
Factors
that generally could affect our ability to access capital include general
economic conditions and our capital structure. Much of our business is capital
intensive, and achievement of our long-term growth targets is dependent, at
least in part, upon our ability to access capital at rates and on terms we
determine to be attractive. If our ability to access capital becomes
significantly constrained, our interest costs will likely increase and our
financial condition and future results of operations could be significantly
harmed.
We
do not fully hedge against price changes in commodities. This could result in
increased costs, thereby resulting in lower margins and adversely affecting our
results of operations, cash flows and financial
condition.
We
attempt to manage our commodity price exposure by establishing risk limits and
entering into contracts to offset some of our positions (i.e., to hedge our
exposure to demand, market effects of weather and other changes in commodity
prices). We do not hedge the entire exposure of our operations from commodity
price volatility. To the extent we do not hedge against commodity price
volatility or our hedges are not effective, our results of operations, cash
flows and financial condition may be diminished.
A
downgrade in our credit ratings could negatively affect our ability to access
capital and to operate our businesses, thereby adversely affecting our results
of operations, cash flows and financial condition.
Standard &
Poor's Ratings Services (“S&P”), Moody's Investors Service (“Moody's”) and
Fitch Ratings (“Fitch”) rate SCANA's long-term senior unsecured debt at BBB+, A3
and A-, respectively. The S&P and Fitch ratings carry a stable outlook while
the Moody's rating outlook is negative. S&P, Moody's and Fitch rate
SCE&G's long-term senior secured debt at A-, A1 and A+, respectively, with a
stable outlook at S&P and Fitch and a negative outlook at Moody's. S&P
and Moody's rate PSNC's long-term senior unsecured debt at A- and A2,
respectively, with a stable outlook. Fitch does not rate PSNC. If S&P,
Moody's or Fitch were to downgrade any of these long-term ratings, particularly
to below investment grade, borrowing costs would increase, which would diminish
our financial results, and the potential pool of investors and funding sources
could decrease. S&P and Moody's rate the short-term debt of SCE&G and
PSNC at A-2 and P-1, respectively, and Fitch rates the short-term debt of
SCE&G at F-1. If these short-term ratings were to decline, it could
significantly limit our access to the commercial paper market and other sources
of liquidity.
Changes
in the environmental laws and regulations to which we are subject could increase
our costs or curtail activities, thereby adversely impacting our results of
operations and financial condition.
Compliance
with extensive federal, state and local environmental laws and regulations
requires us to commit significant capital toward environmental monitoring,
installation of pollution control equipment, emission fees and permits at our
facilities. These expenditures have been significant in the past and are
expected to increase in the future. Changes in compliance requirements or a more
burdensome interpretation by governmental authorities of existing requirements
may impose additional costs on us or require us to curtail some of our
activities. Costs of compliance with environmental regulations could harm our
industry, our business and our results of operations and financial position,
especially if emission or discharge limits are reduced, more extensive
permitting requirements are imposed or additional regulatory requirements are
imposed.
New
federal and state regulation or action following the repeal of PUHCA could
adversely impact our business by increasing our costs or otherwise changing or
restricting the nature of activities in which we may engage. Any such changes
could thereby impact our results of operations, cash flows or financial
condition.
We are a
registered holding company under PUHCA. On August 8, 2005, legislation was
signed into law that will repeal PUHCA in six months from the date of enactment.
It remains unclear to what extent the repeal of PUHCA will result in additional
or new regulatory oversight or action at the federal and state levels, or what
impact those developments might have on our business.
Problems
with operations could cause us to incur substantial costs, thereby adversely
impacting our results of operations, cash flows and financial
condition.
As the
operator of power generation facilities, SCE&G could incur problems such as
the breakdown or failure of power generation equipment, transmission lines,
other equipment or processes which would result in performance below assumed
levels of output or efficiency. The failure of a power generation facility may
result in our purchasing replacement power at market rates. These purchases are
subject to state regulatory prudency reviews for recovery through
rates.
Covenants
in certain financial instruments may limit our ability to pay dividends, thereby
adversely impacting the valuation of our common stock and our access to
capital.
Our
assets consist primarily of investments in subsidiaries. Dividends on our common
stock depend on the earnings, financial condition and capital requirements of
our subsidiaries, principally SCE&G and PSNC Energy. Our ability to pay
dividends on our common stock may also be limited by existing or future
covenants limiting the right of our subsidiaries to pay dividends on their
common stock. Any significant reduction in our payment of dividends in the
future may result in a decline in the value of our common stock. Such a decline
in value could limit our ability to raise debt and equity capital.
A
significant portion of our generating capacity is derived from nuclear power,
the use of which exposes us to regulatory, environmental and business risks.
These risks could increase our costs or otherwise constrain our business,
thereby adversely impacting our results of operations, cash flows and financial
condition.
The V.C.
Summer nuclear plant, operated by SCE&G, provided approximately
5.5 million MWh, or 21% of our generation capacity, in 2004. As such, we
are subject to various risks of nuclear generation, which include the
following:
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The
potential harmful effects on the environment and human health resulting
from a release of radioactive materials in connection with the operation
of nuclear facilities and the storage, handling and disposal of
radioactive materials; |
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Limitations
on the amounts and types of insurance commercially available to cover
losses that might arise in connection with our nuclear operations or those
of others in the United States; |
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Uncertainties
with respect to contingencies if insurance coverage is inadequate;
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Uncertainties
with respect to the technological and financial aspects of decommissioning
nuclear plants at the end of their operating
lives. |
The
Nuclear Regulatory Commission (“NRC”) has broad authority under federal law to
impose licensing and safety-related requirements for the operation of nuclear
generation facilities. In the event of non-compliance, the NRC has the authority
to impose fines or shut down a unit, or both, depending upon its assessment of
the severity of the situation, until compliance is achieved. Revised safety
requirements promulgated by the NRC could necessitate capital expenditures at
nuclear plants such as ours. In addition, although we have no reason to
anticipate a serious nuclear incident, if a major incident should occur at a
domestic nuclear facility, it could harm our results of operations, cash flows
and financial condition. A major incident at a nuclear facility anywhere in the
world could cause the NRC to limit or prohibit the operation or licensing of any
domestic nuclear unit. Finally, in today's environment, there is a heightened
risk of terrorist attack on the nation's nuclear facilities, which has resulted
in increased security costs at our nuclear plant.
Ratio
of Earnings to Fixed Charges 1
Our
historical ratios of earnings to fixed charges are as follows:
Twelve
Months Ended |
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June
30, |
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Year
Ended December 31, |
2005 |
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2004 |
2003 |
2002 2 |
2001 3 |
2000 |
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1.75 |
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2.65 |
2.82 |
0.53 |
4.37 |
2.47 |
1
For
purposes of this ratio, earnings represent pre-tax income from continuing
operations plus fixed charges and distributed income from equity investees, less
preferred stock dividend requirements. Fixed charges represent interest charges,
preferred stock dividend requirements and the estimated interest portion of
annual rentals.
2
The
decrease in the ratio of earnings to fixed charges for 2002 is primarily
attributable to a $230 million impairment charge related to the acquisition
adjustment associated with PSNC Energy, and the recording of impairments on
SCANA’s investments in certain telecommunications securities. An additional
$106.8 million in income before income taxes would have been needed to obtain a
ratio of 1.0 for 2002.
3
The
increase in the ratio of earnings to fixed charges for 2001 is primarily
attributable to the non-cash gain realized from the exchange of our investment
in Powertel, Inc. Powertel, Inc. was acquired by Deutsche Telekom AG in May
2001. Without the gain from the exchange of this investment, our ratio for 2001
would have been 2.96.
Use
of Proceeds
Unless we
state otherwise in a pricing or prospectus supplement, the net proceeds from the
sale of the securities offered by this prospectus will be used for financing
capital expenditures, for refunding, redeeming or retiring debt and for other
general corporate purposes. Pending application of the net proceeds for specific
purposes, we may invest the proceeds in short-term or marketable securities.
Description
of the Notes
General
We will
issue the Notes under an Indenture dated as of November 1, 1989 between us and
The Bank of New York, as Trustee. A copy of the Indenture has been incorporated
by reference as an exhibit to the registration statement of which this
prospectus is a part. The information in this heading briefly outlines some of
the provisions of the Indenture. If you would like more information on those
provisions, please review the Indenture that we filed with the SEC. See
“Where
You Can Find More Information” on how
to obtain a copy of the Indenture. You may also review the Indenture at the
Trustee's offices at 101 Barclay Street, New York, New York 10286.
Capitalized
terms used under this heading which are not otherwise defined in this prospectus
have the meanings given those terms in the Indenture. The summaries under this
heading are not detailed. Whenever particular provisions of the Indenture or
terms defined in the Indenture are referred to, those statements are qualified
by reference to the Indenture. References to article and section numbers under
this heading, unless otherwise indicated, are references to article and section
numbers of the Indenture.
The Notes
and all other debentures, notes or other evidences of indebtedness issued under
the Indenture will be unsecured and will in all respects be equally and ratably
entitled to the benefits of the Indenture, without preference, priority or
distinction, and will rank equally with all other unsecured and unsubordinated
indebtedness of SCANA. The Indenture does not limit the amount of debt
securities that can be issued thereunder, and we may issue Notes in one or more
series. The Indenture also allows us to “reopen” any series of debt securities
(including any series of Notes) by issuing additional debt securities of that
series, if permitted by the terms of that series.
Each
pricing supplement which accompanies this prospectus in connection with an
offering of Notes will set forth some or all of the following information to
describe a particular series of Notes:
· |
any
limit upon the aggregate principal amount of the Notes;
|
· |
the
date or dates on which the principal of the Notes will be payable;
|
· |
the
rate or rates at which the Notes will bear interest, if any (or the method
of calculating the rate); the date or dates from which the interest will
accrue; the date or dates on which the interest will be payable (“Interest
Payment Dates”); and the record dates for the interest payable on the
Interest Payment Dates; |
· |
any
option on the part of us or the holders thereof to redeem the Notes and
redemption terms and conditions; |
· |
any
obligation on our part to redeem or purchase the Notes in accordance with
any sinking fund or analogous provisions or at the option of the holder
and the relevant terms and conditions for that redemption or purchase;
|
· |
the
denominations of the Notes; |
· |
whether
the Notes are subject to a book-entry system of transfers and payments;
and |
· |
any
other particular terms of the Notes and of their offering. (Section
301) |
Payment
of Notes
Unless
otherwise provided in a pricing supplement, we will pay any interest due on each
Note to the person in whose name that Note is registered as of the close of
business on the record date relating to each Interest Payment Date. However, we
will pay interest when the Notes mature (whether the Notes mature on their
stated date of maturity, the date the Notes are redeemed or otherwise) to the
person to whom the principal payment on the Notes is paid. If there is a default
in the payment of interest on the Notes, we may either (1) choose a special
record date and pay the holders of the Notes at the close of business on that
date, or (2) pay the holders of the Notes in any other lawful manner, all as
more fully described in the Indenture. (Section 307)
We will
pay principal of, and any premium and interest due on, the Notes at maturity or
upon earlier redemption or repayment of a Note upon surrender of that Note at
the office of the paying agent (currently, the Trustee in New York, New York).
(Sections 307 and 1105) The applicable pricing supplement identifies any other
place of payment and any other paying agent. We may change the place at which
the Notes will be payable, may appoint one or more additional paying agents and
may remove any paying agent, all at our discretion. (Section 1002) Further, if
we provide money to a paying agent to be used to make payments of principal of,
premium (if any) or interest on any Note and that money has not rightfully been
claimed two years after the applicable principal, premium or interest payment is
due, then we may instruct the paying agent to remit that money to us, and any
holder of a Note seeking those payments may thereafter look only to us for that
money. (Section 1003)
Except as
provided in the following sentence or in a pricing supplement, if interest is
payable on a day which is not a Business Day, payment will be postponed to the
next Business Day, and no additional interest will accrue as a result of the
delayed payment. However, for LIBOR Rate Notes, if the next Business Day is in
the next calendar month, interest will be paid on the preceding Business Day and
interest shall accrue through the date immediately preceding the date of payment
for regularly scheduled interest payment dates (other than the maturity date).
(Section 114)
“Business
Day” means any day other than a Saturday or Sunday that (1) is not a day on
which banking institutions in Washington, D.C., or in New York, New York, are
authorized or obligated by law or executive order to be closed, and (2) with
respect to LIBOR Rate Notes only, is a day on which dealings in deposits in U.
S. dollars are transacted in the London interbank market.
The
“record date” will be 15 calendar days prior to each Interest Payment Date,
whether or not that day is a Business Day, unless otherwise indicated in this
prospectus or in the applicable pricing supplement.
All
percentages resulting from any calculation of Notes will be rounded, if
necessary, to the nearest one-hundred thousandth of a percentage point, with
five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or
0.09876545) being rounded to 9.87655% (or 0.0987655) and 9.876544% (or
0.09876544) being rounded to 9.87654% (or 0.0987654)), and all dollar amounts
used in or resulting from such calculation will be rounded to the nearest cent
(with one-half cent being rounded upwards).
Interest
Rates Payable on Notes
We have
provided a glossary at the end of this heading to define the capitalized words
used in discussing the interest rates payable on the Notes. Whenever we refer to
time in this section, we mean the time as in effect in New York, New York,
unless otherwise specified.
The
interest rate on the Notes will either be fixed or floating.
Fixed
Rate Notes
If we
issue Notes that bear interest at a fixed rate (the “Fixed Rate Notes”), the
applicable pricing supplement will designate the fixed rate of interest payable
on the Notes. Unless otherwise set forth in the applicable pricing
supplement:
· |
Interest
on Fixed Rate Notes will be payable semi-annually each April 1 and October
1 and at maturity or upon earlier redemption or repayment.
|
· |
Record
dates for Fixed Rate Notes will be March 15 (for interest to be paid on
April 1) and September 15 (for interest to be paid on October 1). Interest
payments will be the amount of interest accrued to, but excluding, each
April 1 and October 1. |
· |
Interest
will be computed using a 360-day year of twelve 30-day
months. |
Floating
Rate Notes
General. Each
Note that bears interest at a floating rate (the “Floating Rate Notes”) will
have an interest rate formula which may be based on one of the following base
rates, as determined by the applicable pricing supplement:
· |
the
commercial paper rate (the “Commercial Paper Rate
Note”); |
· |
LIBOR
(the “LIBOR Rate Note”); |
· |
the
treasury rate (the “Treasury Rate Note”);
or |
· |
any
other base rate specified in the applicable pricing
supplement. |
The
applicable pricing supplement will also indicate the Spread and/or Spread
Multiplier, if any. The interest rates applicable to the Floating Rate Notes
will be equal to one of the base rates, plus or minus the Spread, if any, or
multiplied by the Spread Multiplier, if any. Any Floating Rate Note may have
either or both of the following:
· |
a
maximum numerical interest rate limitation, or ceiling, on the rate of
interest that accrues during any interest period;
and |
· |
a
minimum numerical interest rate limitation, or floor, on the rate of
interest that accrues during any interest
period. |
In
addition, the interest rate on a Floating Rate Note will never be higher than
the maximum rate permitted by applicable law, including United States law of
general application.
Date
of Interest Rate Change. The
interest rate on each Floating Rate Note may be reset daily, weekly, monthly,
quarterly, semi-annually, annually or for any other period specified in the
applicable pricing supplement. The Interest Reset Date will be:
· |
for
Floating Rate Notes which reset daily, each Business
Day; |
· |
for
Floating Rate Notes (other than Treasury Rate Notes) that reset weekly,
Wednesday of each week; |
· |
for
Treasury Rate Notes that reset weekly, Tuesday of each
week; |
· |
for
Floating Rate Notes that reset monthly, the third Wednesday of each
month; |
· |
for
Floating Rate Notes that reset quarterly, the third Wednesday of March,
June, September and December; |
· |
for
Floating Rate Notes that reset semi-annually, the third Wednesday of the
two months specified in the applicable pricing
supplement; |
· |
for
Floating Rate Notes that reset annually, the third Wednesday of the month
specified in the applicable pricing supplement;
and |
· |
for
Floating Rate Notes which reset for other periods, the day of the week and
month or months specified in the applicable pricing
supplement. |
The
initial interest rate or interest rate formula on each Floating Rate Note
effective until the first Interest Reset Date will be shown in a pricing
supplement. Thereafter, the interest rate will be the rate determined on the
next Interest Determination Date, as explained below. Each time a new interest
rate is determined, it will become effective on the subsequent Interest Reset
Date. If any Interest Reset Date is not a Business Day, then the Interest Reset
Date will be postponed to the next Business Day. However, in the case of a LIBOR
Rate Note, if the next Business Day is in the next calendar month, the Interest
Reset Date will be the immediately preceding Business Day. Further, if an
applicable auction of Treasury Bills (as defined herein) falls on a day that
would otherwise be an Interest Reset Date for Treasury Rate Notes, the Interest
Reset Date will be the next Business Day.
When
Interest Rate is Determined. The
Interest Determination Date for the Commercial Paper Rate (the “Commercial Paper
Interest Determination Date”) and for LIBOR (the “LIBOR Interest Determination
Date”) will be the second Business Day preceding each Interest Reset Date. The
Interest Determination Date for the Treasury Rate (the “Treasury Rate Interest
Determination Date”) will be the day on which Treasury Bills would normally be
auctioned. Treasury Bills are usually sold at auction on Monday of each week,
unless that day is a legal holiday, in which case the auction is usually held on
Tuesday. However, the auction may be held on the preceding Friday. If an auction
is held on the preceding Friday, that day will be the Interest Determination
Date pertaining to the Interest Reset Date occurring in the next
week.
When
Interest is Paid. Interest
on Floating Rate Notes will be payable monthly, quarterly, semi-annually or
annually, as provided in the applicable pricing supplement. Except as provided
below or in the pricing supplement, interest is paid as follows:
· |
for
Floating Rate Notes on which interest is payable monthly, the third
Wednesday of each month; |
· |
for
Floating Rate Notes on which interest is payable quarterly, the third
Wednesday of March, June, September and
December; |
· |
for
Floating Rate Notes on which interest is payable semi-annually, the third
Wednesday of the two months specified in the applicable pricing
supplement; and |
· |
for
Floating Rate Notes on which interest is payable annually, the third
Wednesday of the month specified in the applicable pricing
supplement. |
The
interest payable for Floating Rate Notes (other than those Floating Rate Notes
which reset daily or weekly) will be the amount of interest accrued (1) from and
including the date the applicable Floating Rate Notes were issued or (2) from
but excluding the last date for which interest has been paid, to but excluding
the Interest Payment Date or maturity date, as applicable for those Floating
Rate Notes. For Floating Rate Notes which reset daily or weekly, the interest
payable will be the amount of interest accrued (a) from and including the date
the applicable Floating Rate Notes were issued, or (b) from but excluding the
last date for which interest has been paid, to and including the day immediately
preceding the applicable Interest Payment Date, other than the maturity date
(for which interest is payable to but excluding the maturity date for those
Floating Rate Notes).
The
accrued interest for any period is calculated by multiplying the principal
amount of a Floating Rate Note by an accrued interest factor. The accrued
interest factor is computed by adding the interest factor calculated for each
day in the period for which accrued interest is being calculated. The interest
factor (expressed as a decimal) is computed by dividing the interest rate
applicable to that date by 360, except for Treasury Rate Notes, for which it
will be divided by the actual number of days in the year.
Calculation
of Interest on Floating Rate Notes. The
Company will calculate or will appoint and enter into an agreement with a
Calculation Agent (as defined herein) to calculate the interest rates on
Floating Rate Notes.
“Calculation
Date” means, unless otherwise specified in a pricing supplement, the tenth
calendar day after an Interest Determination Date or, if the tenth day is not a
Business Day, the next Business Day. Unless otherwise provided in the applicable
pricing supplement, The Bank of New York is the “Calculation Agent” for the
Floating Rate Notes, and, upon request of any holder of a Floating Rate Note,
will provide (1) the interest rate then in effect and (2) if available, the
interest rate to be effective on the next Interest Reset Date for that Floating
Rate Note.
Commercial
Paper Rate Notes. Each
Commercial Paper Rate Note will bear interest at the rate (calculated with
reference to the Commercial Paper Rate and the Spread and/or Spread Multiplier,
if any) specified in that Commercial Paper Rate Note and in the applicable
pricing supplement.
“Commercial
Paper Rate” means, with respect to any Commercial Paper Rate Interest
Determination Date, the Money Market Yield (calculated as described below) on
such date of the rate for commercial paper having the Index Maturity specified
in the applicable pricing supplement as published in H.15(519) under the heading
“Commercial Paper-Nonfinancial.”
The
following procedures will occur if the rate cannot be set as described
above:
· |
If
the applicable rate is not published in H.15(519) by 3:00 P.M., New York
City time, on the Calculation Date, then the Commercial Paper Rate will be
the Money Market Yield, on that Commercial Paper Rate Interest
Determination Date, of the rate for commercial paper having the Index
Maturity specified in the applicable pricing supplement as published in
H.15 Daily Update under the heading “Commercial Paper - Non-Financial,” or
any successor heading. |
· |
If
the applicable rate is not published in either H.15(519) or H.15 Daily
Update by 3:00 P.M. on such Calculation Date, then the Commercial Paper
Rate will be calculated by the Calculation Agent and will be the Money
Market Yield of the average of the offered rates, as of approximately
11:00 A.M. on that Commercial Paper Rate Interest Determination Date, of
three leading dealers of commercial paper in New York, New York selected
by the Calculation Agent for commercial paper of the applicable Index
Maturity placed for a non-financial issuer whose bond rating is “AA,” or
the equivalent, from a nationally recognized statistical rating
agency. |
· |
If
fewer than three dealers selected by the Calculation Agent are quoting
rates as set forth above, the Commercial Paper Rate in effect for the
applicable period will be the Commercial Paper Rate determined as of the
immediately preceding Commercial Paper Rate Interest Determination
Date. |
LIBOR
Rate Notes. Each
LIBOR Rate Note will bear interest at the rate (calculated with reference to
LIBOR and the Spread and/or Spread Multiplier, if any) specified on the LIBOR
Rate Note and in the applicable pricing supplement, determined by the
Calculation Agent as follows:
The
Calculation Agent will determine LIBOR as follows:
· |
With
respect to any LIBOR Interest Determination Date, LIBOR will be determined
by either: |
(1) if “LIBOR
Reuters” is specified in the applicable pricing supplement, the average of the
offered rates for deposits in the Designated LIBOR Currency having the Index
Maturity specified in the applicable pricing supplement, beginning on the second
Business Day immediately after that date, that appears on the Reuters Page as of
11:00 A.M., London time, on that date, if at least two offered rates appear on
the Reuters Page, or
(2) if
“LIBOR Telerate” is specified in the applicable pricing supplement, the rate for
deposits in the Designated LIBOR Currency having the Index Maturity specified in
the applicable pricing supplement, beginning on the second Business Day
immediately after that date, that appears on the Telerate Page as of 11:00 A.M.,
London time, on that date.
· |
If
neither LIBOR Reuters nor LIBOR Telerate is specified in the applicable
pricing supplement, LIBOR will be determined as if LIBOR Telerate (and, if
the U.S. dollar is the Designated LIBOR Currency, page 3750 or such other
page as may replace page 3750) had been
specified. |
· |
In
the case where (1) above applies, if fewer than two offered rates appear
on the Reuters Page, or, in the case where (2) above applies, if no rate
appears on the Telerate Page, LIBOR for that date will be determined as
follows: |
(a) LIBOR
will be determined based on the rates at approximately 11:00 A.M., London time,
on that LIBOR Interest Determination Date at which deposits in the Designated
LIBOR Currency having the applicable Index Maturity are offered to prime banks
in the London interbank market selected by four major banks in the London
interbank market selected by the Calculation Agent for a single transaction in
that market at that time (a “Representative Amount”). The offered rates must
begin on the second Business Day immediately after that LIBOR Interest
Determination Date.
(b) The
Calculation Agent will request the principal London office of each of the four
banks mentioned in (a) above to provide a quotation of its rate. If at least two
such quotations are provided, LIBOR will equal the average of such
quotations.
(c) If fewer
than two quotations are provided, LIBOR will equal the average of the rates
quoted as of 11:00 A.M, New York City time, on that date by three major banks in
the applicable Principal Financial Center selected by the Calculation Agent. The
rates will be for loans in the Designated LIBOR Currency to leading banks having
the Index Maturity specified in the pricing supplement beginning on the second
Business Day after that date and in a Representative Amount; and
(d) If the
banks selected by the Calculation Agent are not quoting as mentioned in (c)
above, the rate of interest in effect for the applicable period will be the same
as the rate of interest in effect for the prior Interest Reset
Period.
“Designated
LIBOR Currency” means, with respect to any LIBOR Note, the currency (including
composite currency units), if any, designated in the applicable pricing
supplement as the currency for which LIBOR will be calculated. If no such
currency is designated in the Floating Rate Notes and the applicable pricing
supplement, the Designated LIBOR Currency shall be U.S. dollars.
Treasury
Rate Notes. Each
Treasury Rate Note will bear interest at the rate (calculated with reference to
the Treasury Rate and the Spread and/or Spread Multiplier, if any) specified on
the Treasury Rate Note and in the applicable pricing supplement.
“Treasury
Rate” means, with respect to any Treasury Rate Interest Determination Date, the
rate applicable to the most recent auction of direct obligations of the United
States (“Treasury Bills”) having the Index Maturity specified in the applicable
pricing supplement on the display on Telerate on page 56 or 57 (or any other
page as may replace page 56 or 57) under the heading “INVESTMENT
RATE.”
The
following procedures will occur if the rate cannot be set as described
above:
· |
If
that rate is not published by 3:00 P.M., New York City time, on the
applicable Calculation Date, the rate will be the auction average rate
(expressed as a bond equivalent, on the basis of a year of 365 or 366
days, as applicable, and applied on a daily basis) for such auction as
otherwise announced by the United States Department of the
Treasury. |
· |
If
the results of the auction of Treasury Bills having the applicable Index
Maturity are not published or announced as described above by 3:00 P.M. on
such Calculation Date, or if no such auction is held in a particular week,
then the Treasury Rate shall be calculated by the Calculation Agent as
follows: |
(1) The rate
shall be calculated as a yield to maturity (expressed as a bond equivalent on
the basis of a year of 365 or 366 days, as applicable, and applied on a daily
basis) of the average of the secondary market bid rates, as of approximately
3:30 P.M. on such Treasury Rate Interest Determination Date, of three leading
primary United States government securities dealers selected by the Calculation
Agent for the issue of Treasury Bills with a remaining maturity closest to the
specified Index Maturity; and
(2) If the
dealers selected by the Calculation Agent are not quoting as mentioned in (1)
above, the rate of interest in effect for the applicable period will be the rate
of interest in effect for the prior interest reset period.
Redemptions
Redemption
Elected by Us
As
specified in the applicable pricing supplement, we may either (1) redeem the
Notes or (2) not redeem the Notes, prior to their stated maturity. If we can
redeem the Notes, then the following terms will apply as specified in the
applicable pricing supplement:
· |
we
may redeem all or some of the Notes at one
time; |
· |
we
may redeem Notes on any date or after the date specified as the “Initial
Redemption Date” in the applicable pricing supplement;
and |
· |
we
may redeem Notes at the price specified in the applicable pricing
supplement, together with accrued interest to the redemption date.
(Section 1101) |
If we
redeem some or all of the Notes, the Trustee must notify you between 30 and 60
days before the redemption date (by first-class mail, postage prepaid) that some
or all of the Notes will be redeemed. (Sections 106 and 1104) Further, if only a
part of a Note is redeemed, then the holder of the unredeemed part of that Note
will receive one or more new Notes. (Section 1107) The Notes will not be subject
to any sinking fund. (Section 1201)
Redemption
Elected by You
You may
be able to instruct us to purchase the Note that you hold before that Note
reaches its stated maturity date in accordance with the terms of the Notes.
(Section 1301) To the extent that you have the right to ask us to purchase any
Note, the applicable pricing supplement will specify the terms of that right,
including (1) the date or dates on which that Note may be sold by you and (2)
the price (plus accrued interest) that we must pay you for that
Note.
To
instruct us to purchase your Note, you must deliver to the paying agent
(currently, the Trustee), between 30 and 45 days before the date on which the
Note may be sold by you, the following items:
· |
the
completed form entitled “Option to Elect Repayment” which will be printed
on the reverse side of the Note; and |
· |
a
fax or letter from (1) a member of a national securities exchange, (2) a
member of the National Association of Securities Dealers, Inc. or (3) a
U.S. commercial bank or trust company containing the following
information: |
(a) your
name;
(b) the
principal amount of the Note you wish to sell;
(c) the
certificate number or a description of the tenor and terms of that
Note;
(d) a
statement that you are exercising your option to elect repayment of the Note you
hold; and
(e) a
guarantee that the Note and the completed form will be received by the paying
agent within five Business Days
after the date the fax or letter is received by the paying
agent.
Once you
tender the Note to be redeemed to the paying agent, you may not revoke your
earlier election. You may instruct us to purchase part of the Notes you hold,
provided that the Notes you continue to hold after that redemption are
outstanding in an authorized denomination of $1,000 and an integral multiple of
$1,000.
If a
series of Notes is held in book-entry form by DTC or its nominee, as more
particularly described under the heading “Book-Entry
System,” only
it (as the actual holder of the Notes) may instruct us to purchase those Notes.
However, you, as the beneficial owner of the Notes, may direct the broker or
other direct or indirect participant through which you hold an interest in the
Notes to notify DTC of your desire to have your Notes purchased (which will in
turn notify us according to the above-mentioned procedures). Because different
firms and brokers have different cut-off times for accepting instructions from
their customers, you should consult your broker or other direct or indirect
participant through which you hold an interest in the Notes to determine by when
you must act, so that timely notice is delivered to DTC.
At any
time, we may purchase the Notes or beneficial ownership interests in the Notes
(if they are held in book-entry form) at any price in the open market or
otherwise. In our sole discretion, we may hold, resell or retire any Notes or
beneficial ownership interests in those Notes that we purchase.
Defaults
The
following are defaults under the Indenture with respect to debt securities
issued under the Indenture:
|
(1) |
We
fail to make payment of principal, premium (if any), interest or any other
amount on the debt securities when due; |
|
(2) |
We
fail to deposit any sinking fund payment for the debt securities when
due; |
(3) We file
for bankruptcy or certain other events involving insolvency, receivership
or bankruptcy occur; and
|
(4) |
We
fail to perform certain covenants or agreements contained in the Indenture
and certain other enumerated documents or
instruments. |
Certain
of these events become defaults only after the lapse of prescribed periods of
time and/or notice from the Trustee. (Section 501)
Upon the
occurrence of a default under the Indenture, either the Trustee or the holder of
at least 25% in principal amount of outstanding debt securities of the affected
series may declare the principal of all outstanding debt securities of that
series immediately due and payable. However, if the default is cured, the
holders of a majority in principal amount of outstanding debt securities of the
affected series may rescind that declaration and annul the declaration and its
consequences. (Section 502)
The
holders of a majority in principal amount of outstanding debt securities of the
affected series may direct the time, method and place of conducting any
proceeding for the enforcement of the Indenture. (Section 512)
No holder
of any debt security of any series has the right to institute any proceeding
with respect to the Indenture unless:
· |
the
holder previously gave written notice of a continuing event of default
relating to the debt securities of that series to the
Trustee, |
· |
the
holders of more than 25% in principal amount of outstanding debt
securities of the affected series tender to the Trustee reasonable
indemnity against costs and liabilities and request the Trustee to take
action, and the Trustee declines to take action for 60 days after receipt
of such request, and |
· |
the
holders of a majority in principal amount of outstanding debt securities
of the affected series give no inconsistent direction during such 60-day
period; |
provided,
however, that each holder of a Note shall have the right to enforce payment of
that Note when due. (Sections 507 and 508)
The
Trustee must notify the holders of the debt securities of any series within 90
days after a default has occurred with respect to those debt securities, unless
that default has been cured or waived, provided, however, except in the case of
default in the payment of principal of, premium (if any), or interest or other
amount payable on any debt security, the Trustee may withhold the notice if it
determines that it is in the interest of those holders to do so. (Section 602
and 603)
We are
required under the Trust Indenture Act of 1939, as amended, to furnish to the
Trustee at least once every year a certificate as to our compliance with the
conditions and covenants under the Indenture. (Section 1005)
Covenants,
Consolidation, Merger, Etc.
The
Indenture provides that we will keep the property that we use in our business,
or in the business of our subsidiaries, in good working order, and will improve
it as necessary to properly conduct our business and that of our subsidiaries,
as the case may be. (Section 1007) Except as described in the next paragraph,
the Indenture provides that we will also maintain our corporate existence,
rights and franchises and those of SCE&G and GENCO (collectively, our
“Principal Subsidiaries”) necessary to conduct our businesses properly. (Section
1006) However, we are
not required to preserve (a) the corporate existence of any of our subsidiaries
other than our Principal Subsidiaries or (b) any such right or franchise if we
determine that its preservation is not desirable in the conduct of our business
or the business of our subsidiaries, consolidated as a whole, or its loss is not
disadvantageous in any material respect to the holders of the outstanding debt
securities of any series. (Section 1006)
The
Indenture provides that we may, without the consent of the holders of the debt
securities, consolidate with, or sell, lease or convey all or substantially all
of our assets to, or merge into another corporation, provided that (1) we are
the continuing corporation, or, if not, the successor corporation assumes by a
supplemental indenture our obligations under the Indenture and (2) immediately
after giving effect to such transaction there will be no default in the
performance of any such obligations. (Section 801)
The
Indenture provides that neither we nor our subsidiaries may issue, assume or
guarantee any notes, bonds, debentures or other similar evidences of
indebtedness for money borrowed (“Debt”) secured by a mortgage, lien, pledge or
other encumbrance (“Mortgages”) upon any property of us or our subsidiaries
without effectively providing that the debt securities of each series issued
under the Indenture (together with, if we so determine, any other indebtedness
or obligation then existing or thereafter created ranking equally with those
debt securities) are secured equally and ratably with (or prior to) such Debt so
long as such Debt is so secured, except that this restriction will not apply
to:
(1)
Mortgages
to secure Debt issued under
· |
the
Indenture, dated April 1, 1993, between SCE&G and The Bank of New
York,
|
· |
the
Indenture, dated January 1, 1945, between SCE&G and JPMorgan Chase
Bank, N.A.,
|
· |
the
Mortgage and Security Agreement, dated August 21, 1992, between GENCO and
The Prudential Insurance Company of America, as amended and restated by
the Amended and Restated Mortgage and Security Agreement dated February
11, 2004, between GENCO and The Bank of New York Trust Company, N.A., as
Collateral Agent, and
|
· |
the
Indenture of Mortgage, dated December 1, 1977, between SCPC and Citibank,
N.A., |
each as
amended and supplemented to date and as it may be hereafter amended and
supplemented from time to time (“Existing Mortgages”), or any extension, renewal
or replacement of any of them;
(2)
Mortgages
affecting property of a corporation existing at the time it becomes our
subsidiary or at the time it is merged into or consolidated with us or one of
our subsidiaries;
(3)
Mortgages
on property existing at the time of acquisition thereof or incurred to secure
payment of all or part of the purchase price thereof or to secure Debt incurred
prior to, at the time of, or within 12 months after the acquisition for the
purpose of financing all or part of the purchase price thereof;
(4)
Mortgages
on any property to secure all or part of the cost of construction or
improvements thereon or Debt incurred to provide funds for such purpose in a
principal amount not exceeding the cost of such construction or
improvements;
(5)
Mortgages
which secure only an indebtedness owing by one of our subsidiaries to us or to
another of our subsidiaries;
(6)
certain
Mortgages to government entities, including mortgages to secure debt incurred in
pollution control or industrial revenue bond financings;
(7)
Mortgages
required by any contract or statute in order to permit us or one of our
subsidiaries to perform any contract or subcontract made with or at the request
of the United States of America, any state or any department, agency or
instrumentality or political subdivision of either;
(8)
Mortgages
to secure loans to us or to our subsidiaries maturing within 12 months from the
creation thereof and made in the ordinary course of business;
(9)
Mortgages
on any property (including any natural gas, oil or other mineral property) to
secure all or part of the cost of exploration, drilling or development thereof
or to secure Debt incurred to provide funds for any such purpose;
(10)
Mortgages
existing on the date of the Indenture;
(11)
“Excepted
Encumbrances” and “Permitted Encumbrances” as such terms are defined in any of
the Existing Mortgages;
(12)
certain
Mortgages typically incurred in the ordinary course of business; and
(13)
any
extension, renewal or replacement of any Mortgage referred to in the foregoing
clauses (2) through (12), which does not increase the amount of debt secured
thereby at the time of the renewal, extension or modification.
Notwithstanding
the foregoing, the Indenture provides that we and any or all of our subsidiaries
may, without securing the debt securities, issue, assume or guarantee Debt
secured by Mortgages in an aggregate principal amount which (not including Debt
permitted to be secured under clauses (1) to (13) inclusive above) does not at
any one time exceed 10% of the Consolidated Net Tangible Assets (as hereinafter
defined) of us and our subsidiaries. (Section 1009)
“Consolidated
Net Tangible Assets” is defined as the total amount of assets appearing on the
consolidated balance sheet of us and our subsidiaries subtracting, without
duplication, the following:
· |
reserves
for depreciation and other asset valuation reserves but excluding reserves
for deferred federal income taxes; |
· |
intangible
assets such as goodwill, trademarks, trade names, patents and unamortized
debt discount and expense; and |
· |
appropriate
adjustments on account of minority interests of other persons holding
voting stock in any of our subsidiaries. (Section
101) |
Modification,
Waiver and Meetings
We may,
without the consent of any holders of outstanding debt securities, enter into
supplemental indentures for, including but not limited to, the following
purposes:
· |
to
add to our covenants for the benefit of the holders or to surrender a
right or power conferred upon us in the
Indenture, |
· |
to
secure the debt securities, |
· |
to
establish the form or terms of any series of debt securities,
or |
· |
to
make certain other modifications, generally of a ministerial or immaterial
nature. (Section 901) |
We may
amend the Indenture for other purposes only with the consent of the holders of a
majority in principal amount of each affected series of outstanding debt
securities. However, we may not amend the Indenture without the consent of the
holder of each affected outstanding debt security for the following
purposes:
· |
to
change the stated maturity or redemption date of the principal of, or any
installment of interest on, any debt security or to reduce the principal
amount, the interest rate of, any other amount payable in respect of or
any premium payable on the redemption of any debt
security; |
· |
to
reduce the principal amount of any debt security which is an Original
Issue Discount Security (as defined in the Indenture) that would be due
upon a declaration of acceleration of that security's
maturity; |
· |
to
change the place or currency of any payment of principal of or any premium
or interest on any debt security; |
· |
to
impair the right to institute suit for the enforcement of any payment on
or with respect to any debt security after the stated maturity or
redemption date of that debt security; |
· |
to
reduce the percentage in principal amount of outstanding debt securities
of any series for which the consent of the holders is required to modify
or amend the Indenture or to waive compliance with certain provisions of
the Indenture, or reduce certain quorum or voting requirements of the
Indenture; or |
· |
to
modify the foregoing requirements or reduce the percentage of outstanding
debt securities necessary to modify other provisions of the Indenture or
waive any past default thereunder. (Section
902) |
Except
with respect to certain fundamental provisions, the holders of a majority in
principal amount of outstanding debt securities of any series may waive past
defaults with respect to that series and may waive our compliance with certain
provisions of the Indenture with respect to that series. (Sections 513 and
1010)
We, the
Trustee or the holders of at least 10% in principal amount of the outstanding
debt securities of the applicable series, may at any time call a meeting of the
holders of debt securities of a particular series, and notice of that meeting
will be given in accordance with “Notices” below. (Section 1402) Any resolution
passed or decision taken at any meeting of holders of debt securities of a
particular series duly held in accordance with the Indenture will be binding on
all holders of debt securities of that series. The quorum at any meeting called
for the holders of debt securities of a particular series to adopt a resolution,
and at any reconvened meeting, will be a majority in principal amount of the
outstanding debt securities of that series. (Section 1404)
Notices
Notices
to holders of the Notes will be given by mail to the addresses of such holders
as they appear in the security register. (Section 106)
Defeasance
If we
deposit with the Trustee, money or Federal Securities (as defined in the
Indenture) sufficient to pay, when due, the principal, premium (if any) and
interest due on the Notes, then we will be discharged from any and all
obligations with respect to the Notes, except for certain continuing obligations
to register the transfer or exchange of those debt securities, to maintain
paying agencies and to hold moneys for payment in trust. (Section
401)
Book-Entry
System
If
provided in the applicable pricing supplement, except under the circumstances
described below, we will issue the Notes as one or more global Notes (each a
“Global Note”), each of which will represent beneficial interests in the Notes.
Each such beneficial interest in a Global Note is called a “Book-Entry Note” in
this prospectus. We will deposit those Global Notes with, or on behalf of The
Depository Trust Company, New York, New York (“DTC”) or another depository which
we subsequently designate (the “Depository”) relating to the Notes, and register
them in the name of a nominee of the Depository.
So long
as the Depository, or its nominee, is the registered owner of a Global Note, the
Depository or its nominee, as the case may be, will be considered the owner of
that Global Note for all purposes under the Indenture. We will make payments of
principal of, any premium, and interest on the Global Note to the Depository or
its nominee, as the case may be, as the registered owner of that Global Note.
Except as set forth below, owners of a beneficial interest in a Global Note will
not be entitled to have any individual Notes registered in their names, will not
receive or be entitled to receive physical delivery of any Notes and will not be
considered the owners of Notes under the Indenture.
Accordingly,
to exercise any of the rights of the registered owners of the Notes, each person
holding a beneficial interest in a Global Note must rely on the procedures of
the Depository. If that person is not a Direct Participant (as defined below),
then that person must also rely on procedures of the Direct Participant through
which that person holds its interest.
DTC
The
following information concerning DTC and its book-entry system has been obtained
from sources that we believe to be reliable, but neither we nor any underwriter,
dealer or agent take any responsibility for the accuracy of that
information.
DTC or
its successor will act as securities depository for the Global Notes. The Global
Notes will be issued initially as fully-registered securities registered in the
name of Cede & Co. (DTC's partnership nominee), or such other name as may be
requested by an authorized representative of DTC. One fully-registered Note
certificate will be issued for each issue of the Notes and will be deposited
with DTC.
DTC, the
world’s largest depository, is a limited purpose trust company organized under
the New York Banking Law, a “banking organization” within the meaning of the New
York Banking Law, a member of the Federal Reserve System, a “clearing
corporation” within the meaning of the New York Uniform Commercial Code, and a
“clearing agency” registered pursuant to the provisions of Section 17A of the
Exchange Act. DTC holds and provides asset servicing for over 2.2 million issues
of U.S. and non-U.S. equity issues, corporate and municipal debt issues, and
money market instruments from over 100 countries that DTC's participants
(“Direct Participants”) deposit with DTC. DTC also facilitates the post-trade
settlement among Direct Participants of sales and other securities transactions
in deposited securities through electronic computerized book-entry transfers and
pledges between in Direct Participants' accounts. This eliminates the need for
physical movement of securities certificates. Direct Participants include both
U.S. and non-U.S. securities brokers and dealers, banks, trust companies,
clearing corporations and certain other organizations. DTC is a wholly-owned
subsidiary of The Depository Trust & Clearing Corporation (“DTCC”). DTCC, in
turn, is owned by a number of Direct Participants of DTC and members of the
National Securities Clearing Corporation, Fixed Income Clearing Corporation, and
Emerging Markets Clearing Corporation (NSCC, FICC, and EMCC, also subsidiaries
of DTCC), as well as by the New York Stock Exchange, Inc., the American Stock
Exchange LLC, and the National Association of Securities Dealers, Inc. Access to
the DTC system is also available to others such as both U.S. and non-U.S.
securities brokers and dealers, banks and trust companies, and clearing
corporations that clear through or maintain a custodial relationship with a
Direct Participant, either directly or indirectly (“Indirect Participants” and,
together with the Direct Participants, “DTC Participants”). DTC has S&P’s
highest rating: AAA. The DTC rules applicable to DTC's Participants are on file
with the Securities and Exchange Commission. More information about DTC can be
found at www.dtcc.com and
www.dtc.org.
Purchases
of the Notes under the DTC system must be made by or through Direct
Participants, which will receive a credit for the Notes on DTC’s records. The
ownership interest of each actual purchaser of each Note (“Beneficial Owner”) is
in turn to be recorded on the Direct and Indirect Participants’ records.
Beneficial Owners will not receive written confirmation from DTC of their
purchases. Beneficial Owners are, however, expected to receive written
confirmations providing details of the transaction, as well as periodic
statements of their holdings, from the Direct or Indirect Participant through
which the Beneficial Owner entered into the transaction. Transfers of beneficial
ownership interests in the Notes are to be accomplished by entries made on the
books of Direct and Indirect Participants acting on behalf of Beneficial Owners.
Beneficial Owners will not receive certificates representing their ownership
interests in the Notes, unless the use of the book-entry only system for the
Notes is discontinued.
To
facilitate subsequent transfers, all Notes deposited by Direct Participants with
DTC are registered in the name of DTC’s partnership nominee, Cede & Co., or
such other name as may be requested by an authorized representative of DTC. The
deposit of the Notes with DTC and their registration in the name of Cede &
Co. or such other nominee do not effect any change in beneficial ownership. DTC
has no knowledge of the actual Beneficial Owners of the Notes. DTC’s records
reflect only the identity of the Direct Participants to whose accounts such
Notes are credited, which may or may not be the Beneficial Owners. The Direct
and Indirect Participants will remain responsible for keeping account of their
holdings on behalf of their customers.
Conveyance
of notices and other communications by DTC to Direct Participants, by Direct
Participants to Indirect Participants, and by Direct Participants and Indirect
Participants to Beneficial Owners will be governed by arrangements among them,
subject to any statutory or regulatory requirements as may be in effect from
time to time. Beneficial Owners of Notes may wish to take certain steps to
augment the transmission to them of notices of significant events with respect
to the Notes, such as redemptions, tenders, defaults, and proposed amendments to
the Indenture. For example, Beneficial Owners of Notes may wish to ascertain
that the nominee holding the Notes for their benefit has agreed to obtain and
transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may
wish to provide their names and addresses to the Trustee and request that copies
of notices be provided directly to them.
Redemption
notices will be sent to DTC. If less than all of an issue of Notes are being
redeemed, DTC’s practice is to determine by lot the amount of the interest of
each Direct Participant in the Notes to be redeemed.
Neither
DTC nor Cede & Co. (nor such other DTC nominee) will consent or vote with
respect to the Notes unless authorized by a Direct Participant in accordance
with DTC’s procedures. Under its usual procedures, DTC mails an Omnibus Proxy to
the Trustee, as soon as possible after the record date. The Omnibus Proxy
assigns Cede & Co.’s consenting and voting rights to those Direct
Participants to whose accounts the Notes are credited on the record date
(identified in a listing attached to the Omnibus Proxy).
Payments
of principal, interest and redemption premium, if any, on the Notes will be made
to Cede & Co., or such other nominee as may be requested by an authorized
representative of DTC. DTC’s practice is to credit Direct Participants’ accounts
upon DTC’s receipt of funds and corresponding detail information from us or the
Trustee, on the payable date in accordance with their respective holdings shown
on DTC’s records. Payments by DTC Participants to Beneficial Owners will be
governed by standing instructions and customary practices, as is the case with
securities held for the accounts of customers in bearer form or registered in
“street name,” and will be the responsibility of DTC Participant and not of DTC
(nor its nominee), the Trustee or us, subject to any statutory or regulatory
requirements as may be in effect from time to time. Payment of principal,
premium, if any, and interest to Cede & Co. (or such other nominee as may be
requested by an authorized representative of DTC) is the responsibility of us or
the Trustee, disbursement of such payments to Direct Participants is DTC’s
responsibility, and disbursement of such payments to the Beneficial Owners shall
be the responsibility of Direct and Indirect Participants.
DTC may
discontinue providing its services as securities depository with respect to the
Notes by giving reasonable notice to us or the Trustee. We also may decide to
discontinue use of the book-entry only system through DTC (or a successor
depository). In either situation, if a successor securities depository is not
obtained, Notes in certificated form will be printed and delivered to each
Beneficial Owner in accordance with the applicable rules and procedures of DTC
on file with or as approved by the Securities and Exchange
Commission.
The
foregoing information in this section concerning DTC and its affiliates and
DTC’s book-entry only system has been obtained from sources we believe to be
reliable, but we take no responsibility for the accuracy
thereof.
Glossary
Set forth
below are definitions of some of the terms used in this prospectus with respect
to the Notes.
“H.15(519)”
means the weekly statistical release designated as “Statistical Release
H.15(519), Selected Interest Rates” or any successor publication, published by
the Board of Governors of the Federal Reserve System.
“H.15
Daily Update” means the daily update of H.15(519), available through the
Internet website of the Board of Governors of the Federal Reserve System at
http://www.bog.frb.fed.us/releases/h15/update, or any
successor site or publication.
“Index
Maturity” means, with respect to a Floating Rate Note, the period to maturity of
the Note on which the interest rate formula is based, as indicated in the
applicable pricing supplement.
“Interest
Determination Date” means the date as of which the interest rate for a Floating
Rate Note is to be calculated, to be effective as of the following Interest
Reset Date and calculated on the related Calculation Date (except in the case of
LIBOR which is calculated on the related LIBOR Interest Determination Date). The
Interest Determination Dates will be indicated in the applicable pricing
supplement and in the Note.
“Interest
Reset Date” means the date on which a Floating Rate Note will begin to bear
interest at the rate determined on any Interest Determination Date. The Interest
Reset Dates will be indicated in the applicable pricing supplement and in the
Note.
“Money
Market Yield” is the yield (expressed as a percentage rounded upwards, if
necessary, to the next higher one-hundred-thousandth of a percentage point)
calculated in accordance with the following formula:
|
D x 360
360
- (D x M) |
|
Money
Market Yield = |
x
100 |
|
|
where “D”
refers to the per annum rate for commercial paper quoted on a bank discount
basis and expressed as a decimal; and “M” refers to the actual number of days in
the period for which interest is being calculated.
“Principal
Financial Center” means the capital city of the country that issues as its legal
tender the Designated LIBOR Currency of such LIBOR Note, except that with
respect to U.S. dollars, the Principal Financial Center shall be New York, New
York.
“Reuters
Page” means the display on the Reuters Monitor Money Rates Service on the page
designated in the applicable pricing supplement (or such other page as may
replace that designated page on that service) for the purpose of displaying
London interbank offered rates of major banks for the related Designated LIBOR
Currency.
“Spread”
means the number of basis points specified in the applicable pricing supplement
as being applicable to the interest rate for a Floating Rate Note.
“Spread
Multiplier” means the percentage specified in the applicable pricing supplement
as being applicable to the interest rate for a Floating Rate Note.
“Telerate”
means Bridge Telerate, Inc. or any successor service.
“Telerate
Page” means the display on the Dow Jones Telerate Service on the page designated
in the applicable pricing supplement (or such other page as may replace that
page on that service or such other service or services as may be nominated by
the British Bankers Association) for the purpose of displaying London interbank
offered rates for the related Designated LIBOR Currency.
Description
of the Common Stock
General
The
rights of shareholders of the Common Stock are currently governed by the South
Carolina Business Corporation Act, our restated articles of incorporation and
our bylaws, copies of which restated articles of incorporation and bylaws have
been incorporated by reference as exhibits to the registration statement of
which this prospectus is a part. The following summary describes the material
rights of our shareholders. The summaries under this heading are not detailed.
Whenever particular provisions of our restated articles of incorporation or
bylaws are referred to, those statements are qualified by reference to our
restated articles of incorporation or bylaws.
Authorized
Capital Stock
Under the
South Carolina Business Corporation Act, a corporation may not issue a greater
number of shares than have been authorized by its articles of incorporation. The
authorized capital stock of SCANA consists of 150,000,000 shares of SCANA common
stock, no par value, and no shares of preferred stock. At the close of business
on July 31, 2005, approximately 114,000,000 shares of our common stock were
issued and outstanding, and not more than 7.5 million shares of our common stock
were reserved for issuance pursuant to our benefit plans and the Investor Plus
Plan.
Voting
Holders
of the Common Stock are entitled to one vote, in person or by proxy, for each
share held on the applicable record date with respect to each matter submitted
to a vote at a meeting of stockholders, and may not cumulate their
votes.
Dividends
Holders
of the Common Stock are entitled to receive dividends as and when declared by
our board of directors out of funds legally available therefor.
Liquidation
Rights
In the
event we liquidate, dissolve or wind up our affairs, the holders of the Common
Stock would be entitled to share ratably in all of our assets available for
distribution to shareholders of our common stock remaining after payment in full
of liabilities.
Preemptive
Rights
Holders
of the Common Stock do not have preemptive rights to subscribe for additional
shares when we offer for sale additional shares of our common
stock.
Provisions
Relating to Change in Control
Our
restated articles of incorporation and bylaws contain provisions which could
have the effect of delaying, deferring or preventing a change in control of
SCANA. These provisions are summarized below.
Corporate
Governance Provisions
Our
restated articles of incorporation provide that the board of directors is
subdivided into three classes, with each class as nearly equal in number of
directors as possible. Each class of directors serves for three
years
and one
class is elected each year. We currently have 11 directors (in classes with
terms expiring in 2006, 2007 and 2008). Our restated articles of incorporation
and bylaws provide that:
· |
the
authorized number of directors may range from a minimum of nine to a
maximum of 20, as determined from time to time by the
directors; |
· |
directors
can be removed only (x) for cause or (y) otherwise by the affirmative vote
of the holders of 80 percent of the shares of our stock who are entitled
to vote; and |
· |
vacancies
and newly created directorships on our board of directors can be filled by
a majority vote of the remaining directors then in office, even though
less than a quorum, and any new director elected to fill a vacancy will
serve until the next shareholders' meeting at which directors of any class
are elected. |
Anti-Takeover
Provisions
Certain
provisions of our restated articles of incorporation and bylaws may have the
effect of discouraging unilateral tender offers or other attempts to take over
and acquire our business. These provisions might discourage some potentially
interested purchaser from attempting a unilateral takeover bid for us on terms
which some shareholders might favor. Our restated articles of incorporation
require that certain corporate actions and fundamental transactions
must be approved by the holders of 80 percent of the outstanding shares of our
capital stock entitled to vote on the matter unless at least 50 percent of the
members of the board of directors (other than members related to the
potentially interested purchaser or other person attempting to take over our
business) has approved the action or transaction, in which case the required
shareholder approval will be the minimum approval required by applicable
law.
The
corporate actions or fundamental transactions that are subject to these
provisions of our restated articles of incorporation are those corporate actions
or transactions that require approval by shareholders under
applicable
law or
our restated articles of incorporation, including certain amendments of our
restated articles of incorporation or bylaws, certain transactions involving our
merger, consolidation, liquidation, dissolution or winding up, certain
sales
or other
dispositions of our assets or the assets of any of our subsidiaries, certain
issuances (or reclassifications) of our securities or the securities of any of
our subsidiaries or certain recapitalizations of transactions that have the
effect of increasing the voting power of the potentially interested purchaser or
other person attempting to take over our business.
Prevention
of Greenmail
Our
restated articles of incorporation provide that we cannot purchase any of our
outstanding common stock at a price we know to be more than the market price
from a person who is known to us to be the beneficial owner of more than three
percent of our outstanding common stock and who has purchased or agreed to
purchase any shares of our common stock within the most recent two-year period,
without the approval of the holders of a majority of the
outstanding
shares of our common stock other than such person, unless we offer to purchase
any and all of the outstanding shares of common stock.
Plan
of Distribution
We may
sell securities to one or more underwriters or dealers for public offering and
sale by them, or we may sell the securities to investors directly or through
agents. The pricing supplement (in the case of Notes) or prospectus supplement
(in the case of Common Stock) relating to the securities being offered will set
forth the terms of the offering and, in the case of a prospectus supplement
relating to an offering of Common Stock, the method of distribution, and will
identify any firms acting as underwriters, dealers or agents in connection with
the offering, including:
· |
the
name or names of any agents or
underwriters; |
· |
the
purchase price of the securities and the proceeds to us from the
sale; |
· |
any
underwriting discounts, sales commissions and other items constituting
underwriters’ compensation; |
· |
any
public offering price; |
· |
any
commissions payable to agents; |
· |
any
discounts or concessions allowed or reallowed or paid to dealers;
and |
· |
any
securities exchange or market on which the securities may be
listed. |
Only
those underwriters identified in the applicable pricing or prospectus supplement
are deemed to be underwriters in connection with the securities offered in the
applicable pricing or prospectus supplement.
We may
distribute the securities from time to time in one or more transactions at a
fixed price or prices, which may be changed, or at prices determined as the
applicable pricing or prospectus supplement specifies. We may sell securities
through forward contracts or similar arrangements. In connection with the sale
of securities, underwriters, dealers or agents may be deemed to have received
compensation from us in the form of underwriting discounts or commissions and
also may receive commissions from securities purchasers for whom they may act as
agent. Underwriters may sell the securities to or through dealers, and such
dealers may receive compensation in the form of discounts, concessions or
commissions from the underwriters or commissions from the purchasers for whom
they may act as agent.
We may
sell the securities directly or through agents we designate from time to time.
Any agent involved in the offer or sale of the securities covered by this
prospectus, other than at the market offerings of Common Stock, will be named in
a pricing or prospectus supplement relating to such securities. At the market
offerings of Common Stock may be made by agents. Commissions payable by us to
agents will be set forth in a pricing or prospectus supplement relating to the
securities being offered. Unless otherwise indicated in a pricing or prospectus
supplement, any such agents will be acting on a best-efforts basis for the
period of their appointment.
Some of
the underwriters, dealers or agents and some of their affiliates who participate
in the securities distribution may engage in other transactions with, and
perform other services for, us and our subsidiaries or
affiliates
in the ordinary course of business.
Any
underwriting or other compensation which we pay to underwriters or agents in
connection with the securities offering, and any discounts, concessions or
commissions which underwriters allow to dealers, will be set
forth in the applicable pricing or prospectus supplement. Underwriters, dealers
and agents participating in the securities distribution may be deemed to be
underwriters, and any discounts and commissions they receive and any profit they
realize on the resale of the securities may be deemed to be underwriting
discounts and commissions under the Securities Act of 1933. Underwriters, and
their controlling persons, and agents may be entitled, under agreements entered
into with us, to indemnification against certain civil liabilities, including
liabilities under the Securities Act of 1933.
Experts
The
financial statements, financial statement schedule, and management’s report on
the effectiveness of internal control over financial reporting, all
incorporated in this prospectus by reference from the Company's Annual
Report on Form 10-K, have been audited by Deloitte & Touche LLP, an
independent registered public accounting firm, as stated in their reports which
are also incorporated by reference (which reports (1) express an unqualified
opinion on the financial statements and financial statement schedule and include
an explanatory paragraph in the Form 10-K for the year ended December 31, 2004,
referring to the adoption of Statement of Financial Accounting Standards No.
142, “Goodwill and Other Intangible Assets,” effective January 1, 2002, (2)
express an unqualified opinion on management's assessment regarding the
effectiveness of internal control over financial reporting, and (3) express an
unqualified opinion on the effectiveness of internal control over financial
reporting), and have been so incorporated in reliance upon the reports of such
firm given upon their authority as experts in accounting and
auditing.
Validity
of the Securities
McNair
Law Firm, P.A., of Columbia, South Carolina, and Francis P. Mood, Jr., Esq., our
Senior Vice President and General Counsel, will pass upon the validity of the
securities for us. Troutman Sanders LLP, of Richmond, Virginia, will pass upon
the validity of the securities for any underwriters, dealers or agents. Troutman
Sanders LLP will rely as to all matters of South Carolina law upon the opinion
of Francis P. Mood, Jr., Esq. From time to time, Troutman Sanders LLP renders
legal services to us and certain of our subsidiaries.
At July
31, 2005, Francis P. Mood, Jr., Esq., owned beneficially 202 shares of SCANA's
common stock, including shares acquired by the trustee under SCANA's Stock
Purchase-Savings Program by use of contributions made by Mr. Mood and earnings
thereon and including shares purchased by the trustee by use of SCANA
contributions and earnings thereon.
$500,000,000
SCANA
CORPORATION
Medium-Term
Notes
Common
Stock
Prospectus
,
2005
PART
II
INFORMATION
NOT REQUIRED
IN
PROSPECTUS
Item 14.
Other Expenses of Issuance and Distribution
Securities
and Exchange Commission filing fee |
$ 58,850 |
Printing
Expense |
20,000# |
Blue
Sky and Legal fees |
150,000# |
Rating
Agency fees |
300,000# |
Trustee
fees |
20,000# |
Accounting
services |
125,000# |
Miscellaneous |
10,000# |
Total |
$683,850# |
|
|
#
Estimated |
|
Item 15.
Indemnification of Directors and Officers
The South
Carolina Business Corporation Act of 1988 permits indemnification of the
registrant's directors and officers in a variety of circumstances, which may
include indemnification for liabilities under the Securities Act. Under Sections
33-8-510, 33-8-550 and 33-8-560 of the South Carolina Business Corporation Act
of 1988, a South Carolina corporation is authorized generally to indemnify its
directors and officers in civil or criminal actions if they acted in good faith
and reasonably believed their conduct to be in the best interests of the
corporation and, in the case of criminal actions, had no reasonable cause to
believe that the conduct was unlawful. In addition, the registrant carries
insurance on behalf of directors, officers, employees or agents that may cover
liabilities under the Securities Act. The registrant's Restated Articles of
Incorporation provide that no director of the registrant shall be liable to the
registrant or its shareholders for monetary damages for breach of his fiduciary
duty as a director occurring after April 26, 1989, except for (i) any breach of
the director's duty of loyalty to the registrant or its shareholders, (ii) acts
or omissions not in good faith or which involve gross negligence, intentional
misconduct or a knowing violation of law, (iii) certain unlawful distributions
or (iv) any transaction from which the director derived an improper personal
benefit.
Item 16.
Exhibits
Exhibits
required to be filed with this registration statement are listed in the
following Exhibit Index. Certain of such exhibits which have heretofore been
filed with the SEC and which are designated by reference to their exhibit
numbers in prior filings are hereby incorporated herein by reference and made a
part hereof.
Item 17.
Undertakings
The
undersigned registrant hereby undertakes:
(1) To
file, during any period in which offers or sales are being made, a
post-effective amendment to this registration statement:
(i) to
include any prospectus required by Section 10(a)(3) of the Securities Act of
1933;
(ii) to
reflect in the prospectus any facts or events arising after the effective date
of the registration statement (or the most recent post-effective amendment
thereof) which, individually or in the aggregate, represent a fundamental change
in the information set forth in the registration statement. Notwithstanding the
foregoing, any increase or decrease in volume of securities offered (if the
total dollar value of securities offered would not exceed that which was
registered) and any deviation from the low or high end of the estimated maximum
offering range may be reflected in the form of prospectus filed with the
Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume
and price represent no more than a 20% change in the maximum aggregate offering
price set forth in the “Calculation of Registration Fee” table in the effective
registration statement; and
(iii) to
include any material information with respect to the plan of distribution not
previously disclosed in the registration statement or any material change to
such information in the registration statement;
Provided,
however, that
paragraphs (1)(i) and (1)(ii) do not apply if the information required to be
included in a post-effective amendment by those paragraphs is contained in
periodic reports filed with or furnished to the Commission by the registrant
pursuant to Section 13 or Section 15(d) of the Securities Exchange Act of 1934
that are incorporated by reference in the registration statement.
(2) That,
for the purpose of determining any liability under the Securities Act of 1933,
each such post-effective amendment shall be deemed to be a new registration
statement relating to the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial bona fide offering
thereof.
(3) To
remove from registration by means of a post-effective amendment any of the
securities being registered which remain unsold at the termination of the
offering.
The
undersigned registrant hereby undertakes that, for purposes of determining any
liability under the Securities Act of 1933, each filing of the registrant's
annual report pursuant to Section 13(a) or Section 15(d) of the Securities
Exchange Act of 1934 (and, where applicable, each filing of an employee benefit
plan's annual report pursuant to Section 15(d) of the Securities Exchange Act of
1934) that is incorporated by reference in the registration statement shall be
deemed to be a new registration statement relating to the securities offered
therein, and the offering of such securities at that time shall be deemed to be
the initial bona fide offering thereof.
Insofar
as indemnification for liabilities arising under the Securities Act of 1933 may
be permitted to directors, officers and controlling persons of the registrant
pursuant to the foregoing provisions, or otherwise, the registrant has been
advised that in the opinion of the Securities and Exchange Commission such
indemnification is against public policy as expressed in the Act and is,
therefore, unenforceable. In the event that a claim for indemnification against
such liabilities (other than the payment by the registrant of expenses incurred
or paid by a director, officer or controlling person of the registrant in the
successful defense of any action, suit or proceeding) is asserted by such
director, officer or controlling person in connection with the securities being
registered, the registrant will, unless in the opinion of its counsel the matter
has been settled by controlling precedent, submit to a court of appropriate
jurisdiction the question whether such indemnification by it is against public
policy as expressed in the Act and will be governed by the final adjudication of
such issue.
SIGNATURES
Pursuant
to the requirements of the Securities Act of 1933, the registrant certifies that
it has reasonable grounds to believe that it meets all of the requirements for
filing on Form S-3, and has duly caused this registration statement or amendment
thereto to be signed on its behalf by the undersigned, thereunto duly
authorized, in the City of Columbia, State of South Carolina, on August 9,
2005.
(REGISTRANT) |
SCANA
Corporation |
|
|
(Name
& Title): |
By:
/s/W. B. Timmerman |
|
W.
B. Timmerman, Chairman of the Board, Chief Executive
Officer, |
|
President
and Director |
Pursuant
to the requirements of the Securities Act of 1933, this registration statement
or amendment thereto has been signed by the following persons in the capacities
and on the dates indicated.
(i)
Principal executive officer:
By: |
/s/W.
B. Timmerman |
(Name
& Title): |
W.
B. Timmerman, Chairman of the Board, Chief Executive Officer,
|
|
President
and Director |
Date: |
August
9, 2005 |
(ii)
Principal financial officer:
By: |
/s/K.
B. Marsh |
(Name
& Title): |
K.
B. Marsh, Senior Vice President-Finance and Chief Financial
Officer |
Date: |
August
9, 2005 |
(iii) |
Principal
accounting officer: |
By: |
/s/J.
E. Swan, IV |
(Name
& Title): |
J.
E. Swan, IV, Controller |
Date: |
August
9, 2005 |
(iv)
Other Directors:
*B. L.
Amick; J. A. Bennett; W. B. Bookhart, Jr.; W. C. Burkhardt; D. M. Hagood; W. H.
Hipp; L. M. Miller;
M. K.
Sloan; H. C. Stowe and G. S. York
* Signed
on behalf of each of these persons by Kevin B. Marsh,
Attorney-in-Fact:
SCANA
CORPORATION
EXHIBIT
INDEX
1.01 |
Form
of Selling Agency Agreement relating to Medium Term Notes (Filed
herewith) |
1.02 |
Form
of Underwriting Agreement relating to Common Stock (To be filed as an
exhibit to a subsequent Current Report on Form 8-K) |
2.01 |
Agreement
and Plan of Merger, dated as of February 16, 1999 as amended and restated
as of May 10, 1999, by and among Public Service Company of North Carolina,
Incorporated, the Registrant, New Sub I, Inc. and New Sub II, Inc. (Filed
as Exhibit 2.1 to SCANA Form S-4 on May 11, 1999 and incorporated by
reference herein) |
4.01 |
Indenture,
dated as of November 1, 1989 between the Registrant and The Bank of New
York, as Trustee (Filed as Exhibit 4-A to Registration Statement No.
33-32107 and incorporated by reference herein) |
4.02 |
Form
of Medium Term Note (Filed herewith) |
4.03 |
Restated
Articles of Incorporation of the Registrant as amended and adopted April
26, 1989 (Filed as Exhibit 3-A to Registration Statement No.
33-49145) |
4.04 |
Articles
of Amendment adopted on April 27, 1995 (Filed as Exhibit 4-B to
Registration Statement
No.
33-62421) |
4.05 |
Bylaws
of the Registrant as revised and amended on December 13, 2000 (Filed as
Exhibit 3.01 to Registration Statement No. 333-68266) |
5.01 |
Opinion
of Francis P. Mood, Jr., Esq. re legality of Medium Term Notes and Common
Stock (Filed herewith) |
8.01 |
Opinion
Re Tax Matters (Not applicable) |
12.01 |
Statement
Re Computation of Ratios (Filed herewith) |
15.01 |
Letter
re Unaudited Interim Financial Information (Not
applicable) |
23.01 |
Consent
of Deloitte & Touche LLP (Filed herewith) |
23.02 |
Consent
of Francis P. Mood, Jr., Esq. (Filed herewith as part of opinion filed as
Exhibit 5.01) |
24.01 |
Power
of Attorney (Filed herewith) |
25.01 |
Statement
of eligibility of The Bank of New York, as Trustee (Form T-1) (Filed
herewith) |
26.01 |
Invitations
for Competitive Bids (Not applicable) |