Free Writing Prospectus - Filing Under Securities Act Rules 163/433 (fwp)
July 26 2022 - 6:02AM
Edgar (US Regulatory)
Filed Pursuant to Rule 433
Dated July 25, 2022
Registration No. 333-254191
CAPITAL ONE FINANCIAL CORPORATION
$2,250,000,000
$1,350,000,000 4.985% FIXED-TO-FLOATING RATE SENIOR NOTES
DUE 2026
$900,000,000 5.247% FIXED-TO-FLOATING RATE
SENIOR NOTES DUE 2030
Summary of Terms for Issuance
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| Issuer: |
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Capital One Financial Corporation |
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| Trade Date: |
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July 25, 2022 |
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| Settlement Date: |
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July 27, 2022 (T+2) |
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| Ranking: |
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Senior Unsecured |
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| Expected Security Ratings: * |
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Baa1 / BBB / A- (Moody’s / S&P / Fitch) |
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| $1,350,000,000 4.985% FIXED-TO-FLOATING RATE SENIOR NOTES DUE 2026 |
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| Security: |
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4.985% Fixed-to-Floating Rate Senior Notes due 2026 |
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| Principal Amount: |
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US$1,350,000,000 |
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| Net Proceeds to Issuer (before expenses): |
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US$1,346,625,000 |
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| Maturity Date: |
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July 24, 2026 |
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| Fixed Rate Period: |
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From and including July 27, 2022 to but excluding July 24, 2025 |
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| Floating Rate Period: |
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From and including July 24, 2025 to but excluding the Maturity Date |
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| Payment Frequency: |
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Semi-annually with respect to the Fixed Rate Period and quarterly with respect to the Floating Rate Period |
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| Day Count/Business Day Convention: |
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Fixed Rate Period: 30/360; Following, Unadjusted |
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Floating Rate Period: Actual/360; Modified Following, Adjusted |
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| Fixed Rate Period Interest Payment Dates: |
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Semi-annually in arrears on January 24 and July 24 of each year, commencing on January 24, 2023 (short first interest payment period) and ending on July 24, 2025 |
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| Benchmark Treasury: |
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UST 3.00% Notes due July 15, 2025 |
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| Benchmark Treasury Price and Yield: |
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100-01 3/8; 2.985% |
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| Spread to Benchmark Treasury: |
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+200 bps |
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| Re-offer Yield: |
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4.985% |
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| Fixed Rate Period Coupon: |
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4.985% per annum |
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| Price to Public: |
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100.000% of principal amount |
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| Floating Rate Period Interest Rate: |
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Base Rate plus the Spread payable quarterly in arrears during the Floating Rate Period. |
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| Base Rate: |
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SOFR (compounded daily over a quarterly Floating Rate Interest Payment Period in accordance with the specific formula described in the preliminary prospectus supplement). As further described in such preliminary prospectus
supplement, (i) in determining the Base Rate for a U.S. Government Securities Business Day, the Base Rate generally will be the rate in respect of such day that is provided on the following U.S. Government Securities Business Day and
(ii) in determining the Base Rate for any other day, such as a Saturday, Sunday or holiday, the Base Rate generally will be the rate in respect of the immediately preceding U.S. Government Securities Business Day that is provided on the
following U.S. Government Securities Business Day. |
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| Spread (Plus or Minus): |
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Plus 216 bps |
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| Index Maturity: |
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Daily |
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| Floating Rate Interest Payment Periods: |
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Quarterly; with respect to a Floating Rate Interest Payment Date, the period from and including the second most recent Floating Rate Interest Payment Period End-Date (or from and including
July 24, 2025 in the case of the first Floating Rate Interest Payment Period) to but excluding the immediately preceding Floating Rate Interest Payment Period End-Date; provided that (i) the Floating
Rate Interest Payment Period with respect to the final Floating Rate Interest Payment Date (i.e., the Maturity Date) will be the period from and including the
second-to-last Floating Rate Interest Payment Period End-Date to but excluding the
Maturity |
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Date and (ii) with respect to such final Floating Rate Interest Payment Period, the level of SOFR for each calendar day in the period from and including the Rate Cut-Off Date to but
excluding the Maturity Date shall be the level of SOFR in respect of such Rate Cut-Off Date. |
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| Floating Rate Interest Payment Period End-Dates: |
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January 24, April 24, July 24 and October 24 of each year, beginning on October 24, 2025 and ending on the Maturity Date; provided that if any scheduled Floating Rate Interest Payment Period End-Date, other than the Maturity Date, falls on a day that is not a business day, it will be postponed to the following business day, except that, if that business day would fall in the next calendar month, the
Floating Rate Interest Payment Period End-Date will be the immediately preceding business day. If the scheduled final Floating Rate Interest Payment Period End-Date
(i.e., the Maturity Date) falls on a day that is not a business day, the payment of principal and interest will be made on the next succeeding business day, but interest on that payment will not accrue during the period from and after the scheduled
final Floating Rate Interest Payment Period End-Date. |
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| Floating Rate Interest Payment Dates: |
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The second business day following each Floating Rate Interest Payment Period End-Date; provided that the Floating Rate Interest Payment Date with respect to the final Floating Rate Interest
Payment Period will be the Maturity Date. If the scheduled Maturity Date falls on a day that is not a business day, the payment of principal and interest will be made on the next succeeding business day, but interest on that payment will not accrue
during the period from and after the scheduled Maturity Date. |
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| Rate Cut-Off Date: |
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The second U.S. Government Securities Business Day prior to the Maturity Date. |
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| U.S. Government Securities Business Day: |
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Any day except for a Saturday, Sunday or a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in
U.S. government securities. |
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| Business Day: |
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New York, New York, Chicago, Illinois and McLean, Virginia |
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| Optional Redemption: |
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The Issuer may redeem the notes at its option on July 24, 2025 (which is the date that is one year prior to the Maturity Date), in whole but not in part, at a redemption price equal to 100% of the principal amount of the notes
to be redeemed, plus accrued and unpaid interest thereon to the redemption date upon not less than 10 nor more than 60 days’ prior notice given to the holders of the notes to be redeemed. |
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| CUSIP/ISIN: |
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14040H CU7 / US14040HCU77 |
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| $900,000,000 5.247% FIXED-TO-FLOATING RATE SENIOR NOTES DUE 2030 |
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| Security: |
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5.247% Fixed-to-Floating Rate Senior Notes due 2030 |
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| Principal Amount: |
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US$900,000,000 |
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| Net Proceeds to Issuer (before expenses): |
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US$896,400,000 |
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| Maturity Date: |
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July 26, 2030 |
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| Fixed Rate Period: |
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From and including July 27, 2022 to but excluding July 26, 2029 |
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| Floating Rate Period: |
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From and including July 26, 2029 to but excluding the Maturity Date |
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| Payment Frequency: |
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Semi-annually with respect to the Fixed Rate Period and quarterly with respect to the Floating Rate Period |
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| Day Count/Business Day Convention: |
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Fixed Rate Period: 30/360; Following, Unadjusted
Floating Rate Period: Actual/360; Modified Following, Adjusted |
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| Fixed Rate Period Interest Payment Dates: |
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Semi-annually in arrears on January 26 and July 26 of each year, commencing on January 26, 2023 (short first interest payment period) and ending on July 26, 2029 |
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| Benchmark Treasury: |
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UST 3.25% Notes due June 30, 2029 |
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| Benchmark Treasury Price and Yield: |
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102-06+; 2.897% |
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| Spread to Benchmark Treasury: |
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+235 bps |
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| Re-offer Yield: |
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5.247% |
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| Fixed Rate Period Coupon: |
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5.247% per annum |
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| Price to Public: |
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100.000% of principal amount |
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| Floating Rate Period Interest Rate: |
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Base Rate plus the Spread payable quarterly in arrears during the Floating Rate Period. |
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| Base Rate: |
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SOFR (compounded daily over a quarterly Floating Rate Interest Payment Period in accordance with the specific formula described in the preliminary prospectus supplement). As further described in such preliminary prospectus
supplement, (i) in determining the Base Rate for a U.S. Government Securities Business Day, the Base Rate generally will be the rate in respect of such day that is provided on the following
U.S. |
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Government Securities Business Day and (ii) in determining the Base Rate for any other day, such as a Saturday, Sunday or holiday, the Base Rate generally will be the rate in respect of the immediately preceding U.S. Government
Securities Business Day that is provided on the following U.S. Government Securities Business Day. |
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| Spread (Plus or Minus): |
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Plus 260 bps |
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| Index Maturity: |
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Daily |
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| Floating Rate Interest Payment Periods: |
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Quarterly; with respect to a Floating Rate Interest Payment Date, the period from and including the second most recent Floating Rate Interest Payment Period End-Date (or from and including
July 26, 2029 in the case of the first Floating Rate Interest Payment Period) to but excluding the immediately preceding Floating Rate Interest Payment Period End-Date; provided that (i) the Floating
Rate Interest Payment Period with respect to the final Floating Rate Interest Payment Date (i.e., the Maturity Date) will be the period from and including the
second-to-last Floating Rate Interest Payment Period End-Date to but excluding the Maturity Date and (ii) with respect to
such final Floating Rate Interest Payment Period, the level of SOFR for each calendar day in the period from and including the Rate Cut-Off Date to but excluding the Maturity Date shall be the level of SOFR in
respect of such Rate Cut-Off Date. |
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| Floating Rate Interest Payment Period End-Dates: |
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January 26, April 26, July 26 and October 26 of each year, beginning on October 26, 2029 and ending on the Maturity Date; provided that if any scheduled Floating Rate Interest Payment Period End-Date, other than the Maturity Date, falls on a day that is not a business day, it will be postponed to the following business day, except that, if that business day would fall in the next calendar month, the
Floating Rate Interest Payment Period End-Date will be the immediately preceding business day. If the scheduled final Floating Rate Interest Payment Period End-Date
(i.e., the Maturity Date) falls on a day that is not a business day, the payment of principal and interest will be made on the next succeeding business day, but interest on that payment will not accrue during the period from and after the scheduled
final Floating Rate Interest Payment Period End-Date. |
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| Floating Rate Interest Payment Dates: |
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The second business day following each Floating Rate Interest Payment Period End-Date; provided that the Floating Rate Interest Payment Date with respect to the final Floating Rate Interest
Payment Period will be the Maturity Date. If the scheduled Maturity Date falls on a day that is not a business day, the payment of principal and interest will be made on the next succeeding business day, but interest on that payment will not
accrue |
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during the period from and after the scheduled Maturity Date. |
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| Rate Cut-Off Date: |
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The second U.S. Government Securities Business Day prior to the Maturity Date. |
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| U.S. Government Securities Business Day: |
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Any day except for a Saturday, Sunday or a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in
U.S. government securities. |
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| Business Day: |
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New York, New York, Chicago, Illinois and McLean, Virginia |
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| Optional Redemption: |
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The Issuer may redeem the notes at its option on July 26, 2029 (which is the date that is one year prior to the Maturity Date), in whole but not in part, at a redemption price equal to 100% of the principal amount of the notes
to be redeemed, plus accrued and unpaid interest thereon to the redemption date upon not less than 10 nor more than 60 days’ prior notice given to the holders of the notes to be redeemed. |
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| CUSIP/ISIN: |
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14040H CV5 / US14040HCV50 |
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| OTHER INFORMATION |
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| Joint Book-Running Managers: |
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Barclays Capital Inc. BofA Securities, Inc.
Morgan Stanley & Co. LLC Wells Fargo Securities, LLC
Capital One Securities, Inc. |
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| Co-Managers: |
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Blaylock Van, LLC R. Seelaus & Co.,
LLC Samuel A. Ramirez & Company, Inc. Siebert
Williams Shank & Co., LLC |
| * |
Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to
revision or withdrawal at any time. |
Capital One Financial Corporation has filed a registration statement (including a prospectus and
preliminary prospectus supplement) with the SEC for the offering to which this communication relates. Before you invest, you should read each of these documents and the other documents Capital One Financial Corporation has filed with the SEC and
incorporated by reference in such documents for more complete information about Capital One Financial Corporation and this offering. You may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, you may
obtain a copy of these documents by contacting Barclays Capital Inc. toll-free at 1-888-603-5847, BofA
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Securities, Inc. toll-free at 1-800-294-1322, Morgan Stanley & Co.
LLC toll-free at 1-866-718-1649, Wells Fargo Securities, LLC toll-free at 1-800-645-3751, or Capital One Securities, Inc. toll-free at
1-800-666-9174, Attn: Compliance.
Any disclaimers or other notices that may appear below are not applicable to this communication and should be disregarded. Such disclaimers were
automatically generated as a result of this communication being sent via Bloomberg or another email system.
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