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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE TO
TENDER OFFER STATEMENT
under Section 14(d)(1) or 13(e)(1) of the Securities Exchange Act of 1934
CENTERPOINT ENERGY, INC.
(Name of Subject Company (issuer))
CENTERPOINT ENERGY, INC.
(Names of Filing Persons (offeror))
3.75% CONVERTIBLE SENIOR NOTES DUE 2023
(Title of Class of Securities)
15189T AA 5 AND 15189T AC 1
(CUSIP Number of Class of Securities)
RUFUS S. SCOTT
VICE PRESIDENT, DEPUTY GENERAL COUNSEL
AND ASSISTANT CORPORATE SECRETARY
1111 LOUISIANA
HOUSTON, TEXAS 77002
(713) 207-1111
(Name, Address and Telephone Number of Person Authorized to Receive Notices
and Communications on Behalf of Filing Persons)
Copies to:
GERALD M. SPEDALE STEVEN R. LOESHELLE
BAKER BOTTS L.L.P. DEWEY BALLANTINE LLP
910 LOUISIANA, ONE SHELL PLAZA 1301 AVENUE OF THE AMERICAS
HOUSTON, TEXAS 77002-4995 NEW YORK, NEW YORK 10019
(713) 229-1234 (212) 259-6160
CALCULATION OF FILING FEE
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TRANSACTION VALUATION (a) AMOUNT OF FILING FEE
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$660,675,000 $77,762
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(a) Estimated solely for the purpose of determining the registration fee, and
calculated based on the average of the high and low prices for the
issuer's 3.75% Convertible Senior Notes due 2023 in secondary market
transactions from February 28, 2005 through March 4, 2005, as reported to
the issuer, reduced by an exchange fee of $1.50 for each $1,000 principal
amount at maturity. The filing fee was calculated in accordance with Rule
0-11 of the Securities Exchange Act of 1934, as amended, and equals
$117.70 for each $1,000,000 of the value of the transaction.
[X] Check the box if any part of the fee is offset as provided by Rule
0-11(a)(2) and identify the filing with which the offsetting fee was
previously paid. Identify the previous filing by registration statement
number, or the Form or Schedule and the date of its filing.
Amount Previously Paid: $77,762 Filing Party: CenterPoint Energy, Inc.
Form or Registration No.: Form S-4 (333-
123182) Date Filed: March 8, 2005
[ ] Check the box if the filing relates solely to preliminary communications
made before the commencement of a tender offer.
Check the appropriate boxes below to designate any transactions to which the
statement relates:
[ ] third-party tender offer subject to Rule 14d-1.
[x] issuer tender offer subject to Rule 13e-4.
[ ] going-private transaction subject to Rule 13e-3.
[ ] amendment to Schedule 13D under Rule 13d-2.
Check the following box if the filing is a final amendment reporting the results
of the tender offer: [ ]
This Issuer Tender Offer Statement on Schedule TO relates to the offer by
CenterPoint Energy, Inc. (the "Company") to exchange $1,000 original principal
amount of its 3.75% Convertible Senior Notes, Series B due 2023 (the "New
Notes") and an exchange fee of $1.50 for each $1,000 original principal amount
of validly tendered and accepted outstanding 3.75% Convertible Senior Notes due
2023 of the Company (the "Old Notes") upon the terms and conditions contained in
the prospectus issued July 19, 2005 (as may be amended and supplemented from
time to time, the "Prospectus") and the related Letter of Transmittal, which are
parts of the Company's Registration Statement on Form S-4 (File No. 333-123182),
originally filed with the SEC on March 8, 2005 (as may be supplemented and
amended, the "Registration Statement") and are incorporated by reference herein.
This Schedule TO is being filed in satisfaction of the reporting requirements of
Rule 13e-4(c)(2) promulgated under the Securities Exchange Act of 1934, as
amended (the "Exchange Act").
ITEM 1. SUMMARY TERM SHEET.
The information under the heading "Summary" in the Prospectus is incorporated
herein by reference in answer to Item 1 of this Schedule TO.
ITEM 2. SUBJECT COMPANY INFORMATION.
(a) Name and Address. The name of the issuer of the New Notes is
CenterPoint Energy, Inc. The address of the Company's principal executive
offices is 1111 Louisiana, Houston, Texas 77002. The Company's telephone number
at these offices is (713) 207-1111.
(b) Securities. This Schedule TO relates to the offer by the Company to
exchange $1,000 original principal amount of its New Notes and an exchange fee
of $1.50 for each $1,000 original principal amount of validly tendered and
accepted outstanding Old Notes. The information set forth under the headings
"Summary -- Material Differences Between the Old Notes and the New Notes" and
"Description of the New Notes" in the Prospectus is incorporated herein by
reference in answer to Item 2 of this Schedule TO. As of July 19, 2005, there
was $575,000,000 aggregate principal amount of Old Notes outstanding.
(c) Trading Market and Price. The Old Notes which have not been sold
pursuant to the Company's resale Registration Statement on Form S-3 (No.
333-110348) are eligible for trading on the PORTAL market. The Old Notes which
have been transferred under the resale registration statement are traded in the
over-the-counter market. Set forth below are the high and low sales prices for
the Old Notes based on each $1,000 original principal amount for each quarterly
period for the fiscal quarters ended on June 30, 2005, March 31, 2005, December
31, 2004, September 30, 2004, June 30, 2004, March 31, 2004, December 31, 2003,
September 30, 2003 and June 30, 2003. The Old Notes were issued on May 17, 2003.
HIGH LOW
YEAR ENDING ON DECEMBER 31, 2005
2nd Quarter $120.06 $110.89
1st Quarter $118.14 $110.19
YEAR ENDED ON DECEMBER 31, 2004
4th Quarter $114.91 $109.90
3rd Quarter $119.01 $108.39
2nd Quarter $116.66 $107.95
1st Quarter $113.77 $106.49
YEAR ENDED ON DECEMBER 31, 2003
4th Quarter $108.44 $102.52
3rd Quarter $104.40 $94.07
2nd Quarter* $114.14 $105.12
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*From issuance on May 17, 2003
ITEM 3. IDENTITY AND BACKGROUND OF FILING PERSON.
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(a) Name and Address. This is an issuer tender offer. The information
set forth in Item 2(a) above is incorporated herein by reference in answer to
Item 3 of this Schedule TO. The Company is the filing person. The names of the
Company's executive officers and directors are:
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Executive Officers
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David M. McClanahan President, Chief Executive Officer and Director
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Gary L. Whitlock Executive Vice President and Chief Financial Officer
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Scott E. Rozzell Executive Vice President, General Counsel and Corporate Secretary
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James S. Brian Senior Vice President and Chief Accounting Officer
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Byron R. Kelley Senior Vice President and Group President Pipelines and Field Services
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Thomas R. Standish Senior Vice President and Group President Houston Electric & Information Technology
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Directors
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Milton Carroll, Chairman of the
Board
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Donald R. Campbell
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John T. Cater
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Derrill Cody
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O. Holcombe Crosswell
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Janiece M. Longoria
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Thomas F. Madison
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Robert T. O'Connell
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Michael E. Shannon
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Peter S. Wareing
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The business address of each of the Company's executive officers and directors
is c/o CenterPoint Energy, Inc., 1111 Louisiana, Houston, Texas 77002, and each
such person's telephone number at such address is (713) 207-1111.
ITEM 4. TERMS OF THE TRANSACTION.
(a) Material Terms.
(1) Tender offers.
(i)-(viii), (x)-(xii) The information under the headings
"Summary -- The Exchange Offer," "Summary -- Material Differences
Between the Old Notes and the New Notes," "The Exchange Offer,"
"Description of the New Notes," "Description of Capital Stock" and
"Material United States Federal Income Tax Consequences" in the
Prospectus is incorporated herein by reference in answer to Item 4 of
this Schedule TO.
(ix) Not applicable.
(2) Mergers or Similar Transactions. Not applicable.
(b) Purchases. To the best knowledge of the Company, no Old Notes
are to be purchased from any officer, director or affiliate of the Company.
ITEM 5. PAST CONTACTS, TRANSACTIONS, NEGOTIATIONS AND AGREEMENTS.
(e) Agreements Involving Subject Company Securities. Not applicable.
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ITEM 6. PURPOSES OF THE TRANSACTION AND PLANS OR PROPOSALS.
(a) Purposes. The information set forth under the heading "Summary --
The Exchange Offer -- Purpose of the Exchange Offer" in the Prospectus is
incorporated herein by reference in answer to Item 6 of this Schedule TO.
(b) Use of Securities Acquired. Any Old Notes submitted for exchange
will be cancelled and retired.
(c) Plans. Not applicable.
ITEM 7. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
The information in the Prospectus under the heading "Summary -- The Exchange
Offer -- The Exchange Offer and Exchange Fee" is incorporated herein by
reference in answer to Item 7 of this Schedule TO.
ITEM 8. INTEREST IN SECURITIES OF THE SUBJECT COMPANY.
(a) Securities Ownership. To the best knowledge of the Company, no
Old Notes are beneficially owned by any person whose ownership would be required
to be disclosed by this item.
(b) Securities Transactions. To the best knowledge of the Company, none
of the persons referenced in this item have engaged in any transactions in the
Old Notes during the 60 days preceding the date of this Schedule TO.
ITEM 9. PERSONS/ASSETS RETAINED, EMPLOYED, COMPENSATED OR USED.
(a) Solicitations or Recommendations. The information under the headings
"The Exchange Offer -- Other Fees and Expenses," "The Exchange Offer --
Exchange Agent," "The Exchange Offer -- Information Agent" and "The Exchange
Offer -- Dealer Manager" in the Prospectus is incorporated herein by reference
in answer to Item 9 of this Schedule TO.
ITEM 10. FINANCIAL STATEMENTS.
(a) Financial information.
(1) The information on pages 68 through 128 in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31, 2004 ("2004
Form 10-K") is incorporated herein by reference.
(2) The information on pages 1 through 26 in the Company's
Quarterly Report on Form 10-Q for the quarter ended March 31, 2005 is
incorporated herein by reference.
(3) The information in the Prospectus under the heading "Ratio
of Earnings to Fixed Charges" and in Exhibit 12 to the 2004 Form 10-K and
Exhibit 12.2 to the Registration Statement is incorporated herein by reference.
(4) At March 31, 2005, the book value per share was $3.67.
Copies of the financial statements incorporated herein by reference pursuant to
clauses (1) and (2) of this Item 10(a) can be obtained as provided in the
section of the Prospectus captioned "Where You Can Find More Information." Such
section is incorporated herein by reference.
(b) Pro forma information. Not applicable.
ITEM 11. ADDITIONAL INFORMATION.
(a) Agreements, Regulatory Requirements and Legal Proceedings.
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(1) Not applicable.
(2) The only regulatory requirements that must be met are those
imposed by applicable securities laws.
(3) Not applicable.
(4) Not applicable.
(5) None.
(b) Other Material Information. Not applicable.
ITEM 12. EXHIBITS.
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EXHIBIT NO. DESCRIPTION
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(a)(1)(i) Prospectus dated July 19, 2005 (incorporated by reference to the Prospectus dated July 19, 2005
filed pursuant to Rule 424(b)(3) of the Securities Act of 1933, as amended).
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(a )(1)(ii) Letter of Transmittal (incorporated by reference to Exhibit 99.1 to the Registration Statement).
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(a)(1)(iii) Notice of Guaranteed Delivery (incorporated by reference to Exhibit 99.2 of the Registration
Statement).
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(a)(1)(iv) Letter to Depository Trust Company Participants (incorporated by reference to Exhibit 99.3 of the
Registration Statement).
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(a )(1)(v) Letter to Clients (incorporated by reference to Exhibit 99.4 of the Registration Statement).
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(a )(1)(vi) Press Release dated July 19, 2005 (incorporated by reference to Exhibit 99.1 to the Form 8-K
filed July 19, 2005).
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(a )(2) None.
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(a )(3) None.
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(a )(4) Prospectus dated July 19, 2005 (incorporated by reference to the Prospectus dated July 19, 2005
filed pursuant to Rule 424(b)(3) of the Securities Act of 1933, as amended).
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(a )(5) None.
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(b ) $1,000,000,000 Credit Agreement dated as of March 7, 2005 among CenterPoint Energy, Inc. and
the banks named therein (incorporated by reference to Exhibit 4.1 to the Company's Current
Report on Form 8-K filed on March 11, 2005).
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(d ) None.
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(g ) None.
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(h ) Tax Opinion of Baker Botts L.L.P. (incorporated by reference to Exhibit 8.1 of the Registration
Statement).
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ITEM 13. INFORMATION REQUIRED BY SCHEDULE 13E-3.
Not applicable.
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SIGNATURE
After due inquiry and to the best of my knowledge and belief, I certify
that the information set forth in this statement is true, complete and correct.
Dated: July 19, 2005
CENTERPOINT ENERGY, INC.
By: /s/ James S. Brian
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Name: James S. Brian
Title: Senior Vice President and
Chief Accounting Officer