Northumbrian Water Finance Plc (Incorporated in England and Wales with Limited Liability)
Prospectus dated 19 January 2012 Northumbrian Water Finance Plc (Incorporated in England and Wales with limited liability) £360,000,000 5.125 per cent. Guaranteed Bonds due 2042 Guaranteed by Northumbrian Water Limited (Incorporated in England and Wales with limited liability) Issue Price: 99.396 per cent. The issue price of the £360,000,000 5.125 per cent. Guaranteed Bonds due 2042 (the “Bonds”) is 99.396 per cent. The Bonds will mature on 23 January 2042. The Bonds will be issued in bearer form in denominations of £100,000 and integral multiples of £1,000 in excess thereof, up to and including £199,000. See “Terms and Conditions of the Bonds — Form, Denomination and Title”. Interest on the Bonds will be payable annually in arrear on 23 January in each year, on their outstanding principal amount, with the first such payment being due on 23 January 2013. Payments of principal, any premium and interest on the Bonds will be made without withholding or deduction of United Kingdom taxes unless such withholding or deduction is required by law, as more fully described under “Terms and Conditions of the Bonds - Taxation”. The Bonds may not be redeemed prior to 23 January 2042, except as mentioned below. Northumbrian Water Finance Plc (the “Issuer”) may, at its option, redeem the Bonds in whole, but not in part, at any time at a price which shall be the higher of their outstanding principal amount and an amount calculated by reference to the yield on the relevant United Kingdom government stock, in each case together with accrued interest, as more fully described under “Terms and Conditions of the Bonds — Redemption at the option of the Issuer”.
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