NRG Energy, Inc. $1,200,000,000 7.250 % Senior Notes Due 2014 $2,400,000,000 7.375 % Senior Notes Due 2016 UNDERWRITING AGREEMENT
Exhibit 1.03
$1,200,000,000
7.250 % Senior Notes Due 2014
7.250 % Senior Notes Due 2014
$2,400,000,000
7.375 % Senior Notes Due 2016
7.375 % Senior Notes Due 2016
January 26, 2006
January 26, 2006
To the Representatives of the Underwriters named in Schedule II hereto
Ladies and Gentlemen;
NRG Energy, Inc., a Delaware corporation (the “Company”), proposes to issue and sell to the
underwriters named in Schedule II hereto (the “Underwriters”), for whom you are acting as
representatives (the “Representatives”), the principal amount of its debt securities identified in
Schedule I hereto (the “Securities”), to be issued under the indentures specified in Schedule I
hereto (the “Indenture”) between the Company and the Trustee identified in such Schedule (the
"Trustee”). If the firm or firms listed in Schedule II hereto include only the Representatives
listed in Schedule II hereto, then the terms “Underwriters” and “Representatives” as used herein
shall each be deemed to refer to such firm or firms. The terms “you” and “your” as used herein
shall be deemed to refer to the Representatives.
The Company has filed with the Securities and Exchange Commission (the “Commission”) a
registration statement, including a prospectus (the file number of which is set forth in Schedule I
hereto), on Form S-3, relating to securities (the “Shelf Securities”), including the Securities, to
be issued from time to time by the Company. The registration statement as amended to the date of
this Agreement, including the information (if any) deemed to be part of the registration statement
at the time of effectiveness pursuant to Rule 430B under the Securities Act of 1933, as amended
(the “Securities Act”), is hereinafter referred to as the “Registration Statement,” and the related
prospectus covering the Shelf Securities dated December 21, 2005 in the form first used to confirm
sales of the Securities (or in the form first made available to the Underwriters by the Company to
meet requests of purchasers pursuant to Rule 173 under the Securities Act) is hereinafter referred
to as the “Basic Prospectus.” The Basic Prospectus, as supplemented by the prospectus supplement
specifically relating to the Securities in the form first used to confirm sales of the Securities
(or in the form first made available to the Underwriters by the Company to meet requests of
purchasers pursuant to Rule 173 under the Securities Act) is hereinafter referred to as the
"Prospectus,” and the term “preliminary prospectus” means any preliminary form of the Prospectus.
For purposes of this Agreement, “free writing prospectus” has the meaning set forth in Rule 405
under the Securities Act (which does not include communications not deemed a prospectus pursuant to
Rule 134 of the Securities Act and historical issuer information meeting the requirements of Rule
433(e)(2) of the Securities Act) and “Time of Sale Prospectus” means the Basic Prospectus, each
preliminary prospectus, and each free writing prospectus, if any, each identified in Basic Schedule
I hereto. As used herein, the terms “Registration Statement,” “Basic Prospectus,” “preliminary
prospectus,” “Time of Sale Prospectus” and “Prospectus” shall include the
documents, if any, incorporated by reference therein. The terms “supplement,” “amendment,” and
"amend” as used herein with respect to the Registration Statement, the Basic Prospectus, the Time
of Sale Prospectus, any preliminary prospectus or free writing prospectus shall include all
documents subsequently filed by the Company with the Commission pursuant to the Securities Exchange
Act of 1934, as amended (the “Exchange Act”), that are deemed to be incorporated by reference
therein.
The Securities are being offered and sold by the Company in connection with its acquisition
(the "Acquisition) of all of the outstanding equity interests of Texas Genco LLC (the “Target")
pursuant to the Acquisition Agreement, among Texas Genco LLC, NRG Energy, Inc., and the direct and
indirect owners of Texas Genco LLC party thereto, dated as of September 30, 2005. In the event the
Acquisition does not close on the Closing Date, the Company will enter into an escrow and security
agreement, dated as of the Closing Date (the “Escrow and Security Agreement"), among the Company,
the Trustee, and the Law Debenture Trust Company of New York, as escrow agent (the “Escrow Agent"),
pursuant to which the Representatives, on behalf of the Underwriters will deposit the net proceeds
of this Offering (after deducting underwriting discounts as set forth on Schedule I hereto) into
an escrow account (the “Escrow Account") held by the Escrow Agent. The Securities are subject to
special mandatory redemption no later than September 30, 2006, at a special mandatory redemption
price equal to 100% of the aggregate principal amount of the Notes plus accrued interest to, but
not including, the redemption date (the “Special Mandatory Redemption Price") if the Acquisition is
not consummated by September 30, 2006. Alternatively, the Company may redeem the Securities, at
its option, in whole but not in part, at any time prior to September 30, 2006, if, in its judgment,
any of the conditions to the release of the funds from the Escrow Account to the Company to fund
the Acquisition will not be satisfied by September 30, 2006, at a redemption price equal to 100% of
the aggregate principal amount of the Securities, plus accrued interest to, but not including, the
redemption date.
1. Representations and Warranties. The Company represents and warrants to and agrees with
each of the Underwriters that:
(a) The Registration Statement has become effective; no stop order suspending the
effectiveness of the Registration Statement is in effect, and no proceedings for such purpose are
pending before or, to the knowledge of the Company, threatened by the Commission. The Company is a
well-known seasoned issuer (as defined in Rule 405 under the Securities Act) eligible to use the
Registration Statement as an automatic shelf registration statement and the Company has not
received notice that the Commission objects to the use of the Registration Statement as an
automatic shelf registration statement pursuant to Rule 401(g)(2) of the Securities Act.
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(b) The Escrow and Security Agreement has been duly authorized, executed and delivered by the
Company and constitutes the valid and binding obligations of the Company, enforceable against the
Company in accordance with its terms, except as may be limited (i) by bankruptcy, insolvency,
fraudulent transfer, moratorium and similar laws relating to or affecting creditors’ rights
generally and by general principles of equity (regardless of whether such enforceability is
considered in a proceeding in equity or at law) and (ii) as to rights to indemnification or
contribution by considerations of public policy related to federal or state securities laws; and
the Escrow and Security Agreement will conform to the description thereof in the Final Prospectus;
(c) (i) Each document, if any, filed or to be filed pursuant to the Exchange Act and
incorporated by reference in the Time of Sale Prospectus or the Prospectus complied or will comply
when so filed in all material respects with the Exchange Act and the applicable rules and
regulations of the Commission thereunder, (ii) each part of the Registration Statement, when such
part became effective, did not contain, and each such part, as amended or supplemented, if
applicable, will not contain any untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein not misleading,
(iii) the Registration Statement as of the date hereof does not contain any untrue statement of a
material fact or omit to state a material fact required to be stated therein or necessary to make
the statements therein not misleading, (iv) the Registration Statement and the Prospectus comply,
and as amended or supplemented, if applicable, will comply in all material respects with the
Securities Act and the applicable rules and regulations of the Commission thereunder, (v) the Time
of Sale Prospectus does not, and at the time of each sale of the Securities in connection with the
offering and at the Closing Date (as defined in Section 4), the Time of Sale Prospectus, as then
amended or supplemented by the Company, if applicable, will not, contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements therein, in the
light of the circumstances under which they were made, not misleading and (vi) the Prospectus does
not contain and, as amended or supplemented, if applicable, will not contain any untrue statement
of a material fact or omit to state a material fact necessary to make the statements therein, in
the light of the circumstances under which they were made, not misleading, except that the
representations and warranties set forth in this paragraph do not apply to (A) statements or
omissions in the Registration Statement, the Time of Sale Prospectus or the Prospectus, each as
amended or supplemented, based upon information relating to any Underwriter furnished to the
Company in writing by such Underwriter through the Representatives expressly for use therein or (B)
that part of the Registration Statement that constitutes the Statement of Eligibility (Form T-1)
under the Trust Indenture Act of 1939, as amended (the “Trust Indenture Act”), of the Trustee.
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(d) The Company is not an “ineligible issuer” in connection with the offering pursuant to
Rules 164, 405 and 433 under the Securities Act. Any free writing prospectus that the Company is
required to file pursuant to Rule 433(d) under the Securities Act has been, or will be, filed with
the Commission in accordance with the requirements of the Securities Act and the applicable rules
and regulations of the Commission thereunder. Each free writing prospectus that the Company has
filed, or is required to file, pursuant to Rule 433(d) under the Securities Act or that was
prepared by or on behalf of or used or referred to by the Company complies or will comply in all
material respects with the requirements of the Securities Act and the applicable rules and
regulations of the Commission thereunder. Except for the free writing prospectuses, if any,
identified in Schedule I hereto, and electronic road shows each furnished to you before first use,
the Company has not prepared, used or referred to, and will not, without your prior consent,
prepare, use or refer to, any free writing prospectus.
(e) The Company has been duly incorporated, is validly existing as a corporation in good
standing under the laws of the state of Delaware, has the corporate power and authority to own its
property and to conduct its business as described in the Time of Sale Prospectus, Prospectus and
Registration Statement and is duly qualified to transact business and is in good standing in each
jurisdiction in which the conduct of its business or its ownership or leasing of property requires
such qualification, except (i) to the extent that the failure to be so qualified or be in good
standing would not have a material adverse effect on the business or result of operations of the
Company and its subsidiaries, taken as a whole (a “Material Adverse Effect”) and (ii) for
jurisdiction not recognizing the legal concepts of good standing or qualification.
(f) Each domestic subsidiary of the Company has been duly organized, is validly existing in
good standing under the laws of the jurisdiction of its organization, has the power and authority
to own its property and to conduct its business as described in the Time of Sale Prospectus and is
duly qualified to transact business and is in good standing in each jurisdiction in which the
conduct of its business or its ownership or leasing of property requires such qualification, except
(i) to the extent that the failure to be so qualified or be in good standing would not have a
Material Adverse Effect on the Company and its subsidiaries, taken as a whole and (ii) for
jurisdictions not recognizing the legal concepts of good standing or qualification. Except as set
forth in the Registration Statement, Time of Sale Prospectus and Prospectus, all of the issued
shares of capital stock, or equity interests, as applicable of each subsidiary of the Company have
been duly and validly authorized and issued, are fully paid and non-assessable and (except (i) for
directors’ qualifying shares or foreign national qualifying capital stock, and (ii) as pledged to
secure indebtedness of the Company and/or its subsidiaries pursuant to credit facilities,
indentures and other instruments evidencing indebtedness as set forth in the Exchange Act Reports
of the Company, Registration Statement, Time of Sale Prospectus and Prospectus and
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existing on the date hereof) are owned directly by the Company, free and clear of all liens,
encumbrances, equities or claims.
(g) This Agreement has been duly authorized, executed and delivered by the Company.
(h) The Indenture has been duly qualified under the Trust Indenture Act and has been duly
authorized, executed and, on the Closing Date will be, duly delivered by, and will be a valid and
binding agreement of, the Company, enforceable in accordance with its terms, subject to applicable
bankruptcy, insolvency and similar laws affecting creditors’ rights generally and equitable
principles of general applicability.
(i) The Securities have been duly authorized and, when executed and authenticated in
accordance with the provisions of the Indenture and delivered to and paid for by the Underwriters
in accordance with the terms of this Agreement will be valid and binding obligations of the
Company, in each case enforceable in accordance with their respective terms, subject to applicable
bankruptcy, insolvency and similar laws affecting creditors’ rights generally and equitable
principles of general applicability, and will be entitled to the benefits of the Indenture.
(j) The execution and delivery by the Company of, and the performance by the Company of its
obligations under, this Agreement, the Indenture, the Securities and the Escrow and Security
Agreement will not contravene (i) any provision of the amended and restated certificate of
incorporation or the amended and restated by-laws of the Company, (ii) or any agreement or other
instrument binding upon the Company or any of its subsidiaries that is material to the Company and
its subsidiaries, taken as a whole, (iii) or any applicable law or judgment, order or decree of any
governmental body, agency or court having jurisdiction over the Company or any subsidiary except
that, in the case of clauses (ii) and (iii), for any contravention that would not have a Material
Adverse Effect on the Company. No consent, approval, authorization or order of, or qualification
with, any governmental body or agency is required for the performance by the Company of its
obligations under this Agreement, the Indenture, or the Securities, except (x) for such consent,
approvals, authorizations, orders or qualifications that have been obtained or where failure to do
so would not have a Material Adverse Effect on the Company and (y) for the registration of the
Securities under the Securities Act, the qualification of the Indenture under the Trust Indenture
Act and such as may be required by the securities or Blue Sky laws of the various states in
connection with the offer and sale of the Securities. Each party hereto acknowledges that the
Company will use commercially reasonable efforts to obtain an order, on or before the date that is
364 days after the date of the supplemental indenture, from the New York Public Service Commission
permitting each Subsidiary Guarantee
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issued on the date of the supplemental indenture that is subject to Section 69 of the New York
Public Service Law to remain outstanding after such 364th day.
(k) There has not occurred any material adverse change, or any development involving a
prospective material adverse change, in the condition, financial or otherwise, or in the earnings,
business or operations of the Company and its subsidiaries, taken as a whole, from that set forth
in the Time of Sale Prospectus.
(l) There are no legal or governmental proceedings pending or, to the knowledge of the
Company, threatened to which the Company or any of its subsidiaries is a party or to which any of
the properties of the Company or any of its subsidiaries is subject other than proceedings that are
disclosed or described in all material respects in the Registration Statement, Time of Sale
Prospectus, or the Prospectus and proceedings that are not expected to have a Material Adverse
Effect, and there are no statutes, regulations, contracts or other documents that are required to
be described in the Registration Statement, Time of Sale Prospectus, or the Prospectus or to be
filed as exhibits to the Registration Statement that are not described in all material respects or
filed, or incorporated by reference as required.
(m) Each preliminary prospectus supplement filed pursuant to Rule 424 under the Securities
Act, complied when so filed in all material respects with the Securities Act and the applicable
rules and regulations of the Commission thereunder.
(n) The Company is not, and after giving effect to the offering and sale of the Securities and
the application of the proceeds thereof as described in the Prospectus will not be, required to
register as an “investment company” as such term is defined in the Investment Company Act of 1940,
as amended.
(o) Neither the Company nor any subsidiary of the Company is, or after giving effect to the
offering and sale of the Securities and the application of the proceeds thereof as described in the
Prospectus, will be, subject to regulation under the Public Utility Holding Company Act of 1935
(“PUHCA”) as a “holding company,” a “public-utility company” or, to the knowledge of Company, a
“subsidiary company” of a “holding company,” in each case as such terms are defined in PUHCA;
provided that after February 8, 2006, the representation and warranty of this section (0) shall be
of no force and effect.
(p) Except as set forth in the Registration Statement, Time of Sale Prospectus, or Prospectus,
each subsidiary of the Company that is subject to regulation as a “public utility” as such term is
defined in the Federal Power Act (“FPA”) has an order from the Federal Energy Regulatory
Commission, not subject to any pending challenge, investigation, complaint, or other proceeding
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(other than generic proceedings generally applicable in the industry) (i) authorizing such
subsidiary to engage in wholesale sales of electricity and, to the extent permitted under its
market-based rate tariff, other transactions at market-based rates and (y) granting such waivers
and blanket authorizations as are customarily granted to entities with market-based rate authority,
including blanket authorizations to issue securities and to assume liabilities pursuant to Section
204 of the FPA.
(q) With respect to any subsidiary that owns a “Qualifying Facility” (“QF”) as defined under
the Public Utility Regulatory Policies Act and the current rules and regulations promulgated
thereunder (“PURPA”), such facility is a QF under PURPA.
(r) Except as disclosed in the Registration Statement, the Time of Sale Prospectus, or
Prospectus, and except for such matters as would not, individually or in the aggregate, result in a
Material Adverse Effect, the Company or any of its subsidiaries (1) are conducting and have
conducted their businesses, operations and facilities in compliance with Environmental Laws (as
defined below); (2) have duly obtained, possess, maintain in full force and effect, and have
fulfilled and performed all of their obligations under any and all permits, licenses or
registrations required under Environmental Law (“Environmental Permits”); (3) have not received any
notice from a governmental authority or any other third party alleging any violation of
Environmental Law or liability thereunder; (4) are not subject to any pending or, to the best
knowledge of the Company or any of its subsidiaries, threatened claim in writing or other legal
proceeding under any Environmental Laws against the Company or any of its subsidiaries; and (5) do
not have knowledge of any applicable Environmental Laws, or any unsatisfied conditions in an
Environmental Permit, that, individually or in the aggregate, can reasonably be expected to require
any material capital expenditures for either the installation of new pollution control equipment,
or a switch in a project’s fuel or any other material modification of current operations in order
to maintain the Company’s or the subsidiaries’ compliance with Environmental Law. As used in this
paragraph, “Environmental Laws” means any and all applicable foreign, federal, state and local
laws and regulations, or any enforceable administrative or judicial interpretation thereof,
relating to pollution or the protection of human health or the environment, including, without
limitation, those relating to (i) emissions, discharges or releases of Hazardous Substances into
ambient air, surface water, groundwater or land, (ii) the generation, manufacture, processing,
distribution, use, treatment, storage, disposal, release, transport or handling of, or exposure to,
Hazardous Substances, (iii) the protection of wildlife or endangered or threatened species, or (iv)
the investigation, remediation or cleanup of any Hazardous Substances. As used in this paragraph,
"Hazardous Substances” means pollutants, contaminants, hazardous substances, materials or wastes,
petroleum, petroleum products and their breakdown constituents, or any other chemical substance
regulated under Environmental Laws.
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2. Agreements to Sell and Purchase. The Company hereby agrees to sell to the several
Underwriters, and each Underwriter, upon the basis of the representations and warranties herein
contained, but subject to the conditions hereinafter stated, agrees, severally and not jointly, to
purchase from the Company the respective principal amounts of Securities set forth in Schedule II
hereto opposite its name at the purchase price set forth in Schedule I hereto.
3. Public Offering. The Company is advised by you that the Underwriters propose to make a
public offering of their respective portions of the Securities as soon after this Agreement has
become effective as in your judgment is advisable. The Company is further advised by you that the
Securities are to be offered to the public upon the terms set forth in the Time of Sale Prospectus.
4. Payment and Delivery. Payment for the Underwriters’ Securities shall be made to the Escrow
Account by wire transfer in immediately available funds, or other funds immediately available in
New York City on the closing date and time set forth in Schedule I hereto, or at such other time on
the same or such other date, not later than the fifth business day thereafter, as may be designated
by you in writing. The time and date of such payment are hereinafter referred to as the “Closing
Date.”
Payment for the Securities shall be made against delivery to you on the Closing Date for the
respective accounts of the several Underwriters of the Securities registered in such names and in
such denominations as you shall request in writing not less than two business day prior to the
Closing Date, with any transfer taxes payable in connection with the transfer of the Securities to
the Underwriters duly paid, against payment of the purchase price therefor.
5. Conditions to the Underwriters’ Obligations. The several obligations of the Underwriters
are subject to the following conditions:
(a) Subsequent to the execution and delivery of this Agreement and prior to the Closing Date:
(i) there shall not have occurred any downgrading, nor shall the Company have
received any notice from any “nationally recognized statistical rating organization,” as
such term is defined for purposes of Rule 436(g)(2) under the Securities Act of any
intended or potential downgrading or of any review for a possible change that does not
indicate the direction of the possible change, in the rating accorded the Company or any
of the securities of the Company or any of its subsidiaries or in the rating outlook for
the Company; and
(ii) there shall not have occurred any change, or any development involving a
prospective change, in the condition, financial or
8
otherwise, or in the earnings, business or operations of the Company and its
subsidiaries, taken as a whole, from that set forth in the Time of Sale Prospectus that,
in the judgment of the Representatives, is material and adverse and that makes it, in the
judgment of the Representatives, impracticable or inadvisable to proceed with the offer,
sale and delivery of the securities, or market the Securities on the terms and in the
manner contemplated in the this agreement and Time of Sale Prospectus.
(b) The Underwriters shall have received on the Closing Date a certificate, dated the Closing
Date and signed by an executive officer of the Company, to the effect set forth in Section 5(a)(i)
above and to the effect that the representations and warranties of the Company contained in this
Agreement that are not qualified by materiality are true and correct in all material respects, and
that the representations and warranties of the Company contained in this Agreement that are
qualified by materiality are true and correct, in each case, as of the Closing Date, and that the
Company has complied in all material respects with all of the agreements and satisfied all of the
conditions on its part to be performed or satisfied hereunder on or before the Closing Date.
The officer signing and delivering such certificate may rely upon the best of his or her
knowledge as to proceedings threatened.
(c) The Underwriters shall have received on the Closing Date an opinion and a negative
assurance letter of ▇▇▇▇▇▇▇, Arps, Slate, ▇▇▇▇▇▇▇ & ▇▇▇▇ LLP and/or ▇▇▇▇▇▇▇▇ & ▇▇▇▇▇ LLP, each
outside counsel for the Company, dated the Closing Date, to the effect set forth on Schedule III.
Additionally, ▇▇▇ ▇’▇▇▇▇▇, General Counsel of the Company, and other local counsel of the Company
shall provide opinions, dated the Closing Date, as the Representatives shall reasonably request.
(d) The Underwriters shall have received on the Closing Date an opinion and a negative
assurance letter of ▇▇▇▇▇▇ & ▇▇▇▇▇▇▇ LLP, counsel for the Underwriters, dated the Closing Date to
the effect set forth on Schedule III.
(e) The Underwriters shall have received, on each of the date hereof and the Closing Date, a
letter dated the date hereof or the Closing Date, as the case may be, in form and substance
satisfactory to the Underwriters, from KPMG LLP, PricewaterhouseCoopers LLP, and Deloitte and
Touche LLP, independent public accountants, containing statements and information of the type
ordinarily included in accountants’ “comfort letters” to underwriters with respect to the financial
statements and certain financial information contained in the Registration Statement, the Time of
Sale Prospectus and the Prospectus; provided that the letter delivered on the Closing Date shall
use a “cut-off date” not earlier than the date hereof.
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(f) Either (A) the Acquisition shall be consummated simultaneously with the closing of the
Offering on the Closing Date or (B) the Underwriters shall have received copies of the Escrow and
Security Agreement, duly authorized, executed and delivered by the Company; the Trustee and the
Escrow Agent; the Escrow Account shall have been established by the Escrow Agent, to the reasonable
satisfaction of the Representatives; the Underwriters shall have irrevocably sent by wire transfer,
in immediately available funds, such amount in currency required to be deposited by the Company in
the Escrow Account pursuant to Escrow and Security Agreement; the Company shall have granted a
valid first priority security interest in the Escrow Account on behalf of the holders of the
Securities and shall have perfected such security interest to the reasonable satisfaction of the
Representatives; and the other conditions contained in the Escrow and Security Agreement shall have
been satisfied.
6. Covenants of the Company. The Company covenants with each Underwriter as follows:
(a) To furnish to the Representatives, without charge, a conformed copy of the Registration
Statement (without exhibits thereto) and to deliver to each of the Underwriters during the period
mentioned in Section 6(f) below, as many copies of the Time of Sale Prospectus, the Prospectus, any
documents incorporated therein by reference therein and any supplements and amendments thereto or
to the Registration Statement as the Representatives may reasonably request; provided, that the
Company shall not be required to furnish copies of the Prospectus if the conditions of Rule 172(c)
under the Securities Act are satisfied by the Company.
(b) Before amending or supplementing the Registration Statement, the Time of Sale Prospectus
or the Prospectus, to furnish to the Representatives a copy of each such proposed amendment or
supplement and not to file any such proposed amendment or supplement to which the Representatives
reasonably object.
(c) To furnish to the Representatives a copy of each proposed free writing prospectus to be
prepared by or on behalf of, used by, or referred to by the Company and not to use or refer to any
proposed free writing prospectus to which the Representatives reasonably object.
(d) Not to take any action that would result in an Underwriter or the Company being required
to file with the Commission pursuant to Rule 433(d) under the Securities Act a free writing
prospectus prepared by or on behalf of the Underwriters that the Underwriters otherwise would not
have been required to file thereunder. For the avoidance of doubt, this paragraph (d) shall not be
applicable to the January 26 Issuer FWP (as defined below).
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(e) If the Time of Sale Prospectus is being used to solicit offers to buy the Securities at a
time when the Prospectus is not yet available to prospective purchasers and any event shall occur
or condition exist as a result of which the Time of Sale Prospectus would include an untrue
statement of a material fact or omit to state a material fact required to be stated therein or
necessary in order to make the statements therein, in the light of the circumstances, not
misleading, or if any event shall occur or condition exist as a result of which, in the reasonable
opinion of counsel for the Underwriters or counsel for the Company, the Time of Sale Prospectus
conflicts with the information contained in the Registration Statement then on file, or if, in the
reasonable opinion of counsel for the Underwriters or counsel for the Company, it is necessary to
amend or supplement the Time of Sale Prospectus to comply with applicable law, forthwith to
prepare, file with the Commission and furnish, at its own expense, to the Underwriters and to any
dealer upon request, either amendments or supplements to the Time of Sale Prospectus so that either
the statements in the Time of Sale Prospectus as so amended or supplemented will not, in the light
of the circumstances when delivered to a prospective purchaser, be misleading or so that the Time
of Sale Prospectus, as amended or supplemented, will no longer conflict with the Registration
Statement, or so that the Time of Sale Prospectus, as amended or supplemented, will comply with
applicable law.
(f) If, during such period after the first date of the public offering of the Securities as in
the reasonable opinion of counsel for the Underwriters the Prospectus (or in lieu thereof the
notice referred to in Rule 173(a) under the Securities Act) is required by law to be delivered in
connection with sales by an Underwriter or dealer, any event shall occur or condition exist as a
result of which, in the reasonable opinion of counsel for the Underwriters or counsel for the
Company, the Prospectus would include and untrue statement of a material fact or omit to state a
material fact required to be state therein of necessary in order to make the statements therein, in
the light of the circumstances when the Prospectus (or in lieu thereof the notice referred to in
Rule 173(a) under the Securities Act) is delivered to a purchaser, not misleading, or if, in the
reasonable opinion of counsel for the Underwriters or counsel for the Company, it is necessary to
amend or supplement the Prospectus to comply with applicable law, forthwith to prepare, file with
the Commission and furnish, at its own expense, to the Underwriters and to the dealers (whose names
and addresses you will furnish to the Company) to which Securities may have been sold by you on
behalf of the Underwriters and to any other dealers upon request, either amendments or supplements
to the Prospectus so that either the statements in the Prospectus as so amended or supplemented
will not, in the light of the circumstances when the Prospectus (or in lieu thereof the notice
referred to in Rule 173(a) under the Securities Act) is delivered to a purchaser, be misleading or
so that the Prospectus, as amended or supplemented, will comply with applicable law; provided, that
the Company shall not be required to furnish copies of the
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Prospectus if the conditions of Rule 172(c) under the 1933 Act are satisfied by the Company.
(g) To use its reasonable best efforts to qualify the Securities for offer and sale under the
securities or Blue Sky laws of such jurisdictions as you shall reasonably request; provided,
however, that nothing contained herein shall require the Company to qualify to do business in any
jurisdiction, to execute a general consent to service of process in any state or to subject itself
to taxation in any jurisdiction in which it is otherwise not so subject.
(h) To make generally available to the Company’s security holders and to the Representatives
as soon as practicable an earning statement covering a period of at least twelve months beginning
with the first fiscal quarter of the Company occurring after the date of this Agreement which shall
satisfy the provisions of Section 11(a) of the Securities Act and the rules and regulations of the
Commission thereunder.
(i) Whether or not the transactions contemplated in this Agreement are consummated or this
Agreement is terminated, to pay or cause to be paid the costs and expenses relating to the
following matters: (i) the fees, disbursements and expenses of the Company’s counsel and the
Company’s accountants in connection with the registration and delivery of the Securities under the
Securities Act and all other fees or expenses in connection with the preparation and filing of the
Registration Statement, any preliminary prospectus, the Time of Sale Prospectus, the Prospectus,
any free writing prospectus prepared by or on behalf of, used by, or referred to by the Company and
amendments and supplements to any of the foregoing, including the filing fees payable to the
Commission relating to the Securities (within the time required by Rule 456 (b)(1), if applicable),
all printing costs associated therewith, and the mailing and delivering of copies thereof to the
Underwriters and dealers, in the quantities hereinabove specified, (ii) all costs and expenses
related to the transfer and delivery of the Securities to the Underwriters, including any transfer
or other taxes payable thereon, (iii) the cost of printing or producing any Blue Sky or legal
investment memorandum in connection with the offer and sale of the Securities under state
securities laws and all expenses in connection with the qualification of the Securities for offer
and sale under state securities laws as provided in Section 6(f) hereof, including filing fees and
the reasonable fees and disbursements of counsel for the Underwriters in connection with such
qualification and in connection with the Blue Sky or legal investment memorandum, which shall be
$25,000 in the aggregate for this offering and the concurrent offerings by the Company of its
common stock and mandatory convertible preferred stock, (iv) any fees charged by the rating
agencies for the rating of the Securities, (v) the cost of the preparation, issuance and delivery
of the Securities, (vi) the costs and charges of any trustee, transfer agent, registrar or
depositary, (vii) the document production charges and expenses associated with printing this
Agreement and (viii) all other costs and expenses
12
incident to the performance of the obligations of the Company hereunder for which provision is
not otherwise made in this Section; provided however that any costs and expenses of the Company
relating to investor presentations on any “road show” undertaken in connection with the marketing
or the offering of the Securities, including, without limitation, expenses associated with the
preparation or dissemination of any electronic road show, expenses associated with the production
of road show slides and graphics, fees and expenses of any consultants engaged in connection with
the road show presentations, travel and lodging expenses of the representatives and officers of the
Company and any such consultants, and the cost of any aircraft chartered in connection with the
road show, shall be paid or caused to be paid by the Underwriters. It is understood, however, that
except as provided in this Section, Section 8 entitled “Indemnity and Contribution,” and the last
paragraph of Section 10 below, the Underwriters will pay all of their costs and expenses, including
fees and disbursements of their counsel, transfer taxes payable on resale of any of the Securities
by them and any advertising expenses connected with any offers they may make.
(j) To prepare the issuer free writing prospectus (as defined in Rule 433 promulgated under
the Securities Act) attached hereto as Exhibit A (the “January 26 Issuer FWP”) and to file such
January 26 Issuer FWP on January 26, 2006 as soon as reasonably practicable.
(k) If the third anniversary of the initial effective date of the Registration Statement
occurs before all the Securities have been sold by the Underwriters, prior to the third anniversary
to file a new shelf registration statement and to take any other action necessary to permit the
public offering of the Securities to continue without interruption; references herein to the
Registration Statement shall include the new registration statement declared effective by the
Commission.
(l) During the period beginning on the date hereof and continuing to and including the Closing
Date, not to offer, sell, contract to sell or otherwise dispose of any debt securities of the
Company or warrants to purchase or otherwise acquire debt securities of the Company substantially
similar to the Securities (other than (i) the Securities, (ii) commercial paper issued in the
ordinary course of business or (iii) securities or warrants permitted with the prior written
consent of the Representatives, provided that nothing in this paragraph (l) shall be construed as a
limitation on the Company’s ability to consummate, or prevent the Company from consummating the
Acquisition and related transactions and the financing and refinancing transactions as described in
the Time of Sale Prospectus and the Final Prospectus.
7. Covenant of the Underwriters. Each Underwriter severally covenants with the Company not to
take any action that would result in the Company being required to file with the Commission under
Rule 433(d) a free
13
writing prospectus prepared by or on behalf of such Underwriter that otherwise would not be
required to be filed by the Company thereunder, but for the action of the Underwriter. For the
avoidance of doubt, this Section 7 shall not restrict the dissemination by the Underwriters of the
January 26 Issuer FWP.
8. Indemnity and Contribution. (a) The Company agrees to indemnify and hold harmless each
Underwriter, each person, if any, who controls any Underwriter within the meaning of either Section
15 of the Securities Act or Section 20 of the Exchange Act and each affiliate of any Underwriter
within the meaning of Rule 405 under the Securities Act (provided that the Company’s
indemnification obligation shall not extend to any free writing prospectus required to be filed by
the Company due to an Underwriter’s breach of Section 7) from and against any and all losses,
claims, damages and liabilities (including, without limitation, any legal or other expenses
reasonably incurred in connection with defending or investigating any such action or claim) caused
by any untrue statement or alleged untrue statement of a material fact contained in the
Registration Statement or any amendment thereof, any preliminary prospectus, the Time of Sale
Prospectus, any free writing prospectus that the Company has filed, or is required to file,
pursuant to Rule 433(d) under the Securities Act or the Prospectus or any amendment or supplement
thereto (if the Company furnished any amendments or supplements thereto), or caused by any omission
or alleged omission to state therein a material fact required to be stated therein or necessary to
make the statements therein, (i) with respect to the Registration Statement or any amendment
thereof, not misleading, and (ii) with respect to any preliminary prospectus, the Time of Sale
Prospectus, any free writing prospectus that the Company has filed, or is required to file,
pursuant to Rule 433(d) under the Securities Act or the Prospectus or any amendment or supplement
thereto (if the Company furnished any amendments or supplements thereto), not misleading in light
of the circumstances under which they were made, except in each case insofar as such losses,
claims, damages or liabilities are caused by any such untrue statement or omission or alleged
untrue statement or omission based upon information relating to any Underwriter furnished to the
Company in writing by such Underwriter through the Representatives expressly for use therein.
(b) Each Underwriter agrees, severally and not jointly, to indemnify and hold harmless the
Company, its directors, its officers who sign the Registration Statement and each person, if any,
who controls the Company within the meaning of either Section 15 of the Securities Act or Section
20 of the Exchange Act to the same extent as the foregoing indemnity from the Company to such
Underwriter, but only with reference to information relating to such Underwriter furnished to the
Company in writing by such Underwriter through the Representatives expressly for use in the
Registration Statement, any preliminary prospectus, the Time of Sale Prospectus, any other free
writing prospectus that the Company has filed, or is required to file, pursuant to Rule
14
433(d) under the Securities Act or the Prospectus or any amendment or supplement thereto.
(c) In case any proceeding (including any governmental investigation) shall be instituted
involving any person in respect of which indemnity may be sought pursuant to Section 8(a) or 8(b),
such person (the “indemnified party”) shall promptly notify the person against whom such indemnity
may be sought (the “indemnifying party”) in writing and the indemnifying party, upon request of the
indemnified party, shall retain counsel chosen by the indemnifying party and reasonably
satisfactory to the indemnified party to represent the indemnified party and any others entitled to
indemnification pursuant to this section 9 the indemnifying party may designate in such proceeding
and shall pay the reasonably incurred fees and expenses of such counsel related to such proceeding
as incurred. In any such proceeding, any indemnified party shall have the right to retain its own
counsel, but the reasonably incurred fees and expenses of such counsel shall be at the expense of
such indemnified party unless (i) the indemnifying party and the indemnified party shall have
mutually agreed to the retention of such counsel or (ii) the named parties to any such proceeding
(including any impleaded parties) include both the indemnifying party and the indemnified party and
representation of both parties by the same counsel would be inappropriate due to actual or
potential differing interests between them. It is understood and agreed that the indemnifying
party shall not, in connection with any proceeding or related proceedings in the same jurisdiction,
be liable for the reasonably incurred fees and expenses of more than one separate firm (in addition
to any local counsel) for all such indemnified parties and that all such reasonably incurred fees
and expenses shall be reimbursed as they are incurred. Such firm shall be designated in writing by
the Representatives in the case of parties indemnified pursuant to Section 8(a), and by the
Company, in the case of parties indemnified pursuant to Section 8(b). The indemnifying party shall
not be liable for any settlement of any proceeding effected without its written consent, but if
settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party
agrees to indemnify the indemnified party from and against any loss or liability by reason of such
settlement or judgment. No indemnifying party shall, without the prior written consent of the
indemnified party, effect any settlement of any pending or threatened proceeding in respect of
which any indemnified party is or could have been a party and indemnity could have been sought
hereunder by such indemnified party, unless such settlement includes an unconditional release of
such indemnified party from all liability on claims that are the subject matter of such proceeding.
(d) To the extent the indemnification provided for in Section 8(a) or Section 8(b) is
unavailable to an indemnified party or insufficient in respect of any losses, claims, damages or
liabilities referred to therein, then each indemnifying party under such paragraph, in lieu of
indemnifying such indemnified party thereunder, shall contribute to the amount paid or payable by
15
such indemnified party as a result of such losses, claims, damages or liabilities (i) in such
proportion as is appropriate to reflect the relative benefits received by the indemnifying party or
parties on the one hand and the indemnified party or parties on the other hand from the offering of
the Securities or (ii) if the allocation provided by clause 8(d)(i) above is not permitted by
applicable law, in such proportion as is appropriate to reflect not only the relative benefits
referred to in clause 8(d)(i) above but also the relative fault of the indemnifying party or
parties on the one hand and of the indemnified party or parties on the other hand in connection
with the statements or omissions that resulted in such losses, claims, damages or liabilities, as
well as any other relevant equitable considerations. The relative benefits received by the Company
on the one hand and the Underwriters on the other hand in connection with the offering of the
Securities shall be deemed to be in the same respective proportions as the net proceeds (before
deducting expenses) received by the Company from the sale of Securities and the total underwriting
discounts and commissions received by the Underwriters in connection therewith, in each case as set
forth in the table on the cover page of the Prospectus bear to the aggregate offering price of the
Securities. The relative fault of the Company on the one hand and the Underwriters on the other
hand shall be determined by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a material fact relates
to information supplied by the Company or by the Underwriters and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission.
The Underwriters’ respective obligations to contribute pursuant to this Section 8 are several in
proportion to the respective principal amounts of Securities they have purchased hereunder, and not
joint.
(e) The Company and the Underwriters agree that it would not be just or equitable if
contribution pursuant to this Section 8 were determined by pro rata allocation (even if the
Underwriters were treated as one entity for such purpose) or by any other method of allocation that
does not take account of the equitable considerations referred to in Section 8(d). The amount paid
or payable by an indemnified party as a result of the losses, claims, damages and liabilities
referred to in Section 8(d) shall be deemed to include, subject to the limitations set forth above,
any legal or other expenses reasonably incurred by such indemnified party in connection with
investigating or defending any such action or claim. Notwithstanding the provisions of this
Section 8, no Underwriter shall be required to contribute any amount in excess of the amount by
which the total price at which the Securities underwritten by it and distributed to the public were
offered to the public exceeds the amount of any damages that such Underwriter has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission or alleged
omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of
the Securities Act) shall be entitled to contribution from any person who was not guilty of such
fraudulent
16
misrepresentation. The remedies provided for in this Section 8 are not exclusive and shall
not limit any rights or remedies which may otherwise be available to any indemnified party at law
or in equity.
(f) The indemnity and contribution provisions contained in this Section 8 and the
representations, warranties and other statements of the Company contained in this Agreement shall
remain operative and in full force and effect regardless of (i) any termination of this Agreement,
(ii) any investigation made by or on behalf of any Underwriter, any person controlling any
Underwriter or any affiliate of any Underwriter or by or on behalf of the Company, its officers or
directors or any person controlling the Company and (iii) acceptance of and payment for any of the
Securities.
9. Termination. The Underwriters may terminate this Agreement by notice given by the
Representatives to the Company, if after the execution and delivery of this Agreement and prior to
the Closing Date (i) trading generally shall have been suspended or materially limited on, or by,
as the case may be, any of the New York Stock Exchange or the Nasdaq National Market, (ii) trading
of any securities of the Company shall have been suspended on the New York Stock Exchange, (iii) a
material disruption in securities settlement, payment or clearance services in the United States
shall have occurred, (iv) any moratorium on commercial banking activities shall have been declared
by Federal or New York State authorities or (v) there shall have occurred any outbreak or
escalation of hostilities, or any change in financial markets or any calamity or crisis that, in
your judgment, is material and adverse and which, singly or together with any other event specified
in this clause (v), makes it, in the Representatives judgment, impracticable or inadvisable to
proceed with the offer, sale or delivery of the Securities on the terms and in the manner
contemplated in the Time of Sale Prospectus or the Prospectus.
10. Effectiveness; Defaulting Underwriters. This Agreement shall become effective upon the
execution and delivery hereof by the parties hereto.
If,
on the Closing Date, any one or more of the Underwriters shall fail or refuse to purchase Securities that it has or they have agreed to purchase hereunder on such date, and the aggregate
principal amount of Securities which such defaulting Underwriter or Underwriters agreed but failed
or refused to purchase is not more than one-tenth of the aggregate principal amount of the
Securities to be purchased on such date, the other Underwriters shall be obligated severally in the
proportions that the principal amount of Securities set forth opposite their respective names in
Schedule II bears to the aggregate principal amount of Securities set forth opposite the names of
all such non-defaulting Underwriters, or in such other proportions as you may specify, to purchase
the Securities which such defaulting Underwriter or Underwriters agreed but failed or refused to
purchase on such date; provided that in no event shall the principal
17
amount of Securities that any Underwriter has agreed to purchase pursuant to this Agreement be
increased pursuant to this Section 10 by an amount in excess of one-ninth of such principal amount
of Securities without the written consent of such Underwriter. If, on the Closing Date, any
Underwriter or Underwriters shall fail or refuse to purchase Securities and the aggregate principal
amount of Securities with respect to which such default occurs is more than one-tenth of the
aggregate principal amount of Securities to be purchased on such date, and arrangements
satisfactory to you and the Company for the purchase of such Securities are not made within 36
hours after such default, this Agreement shall terminate without liability on the part of any
non-defaulting Underwriter or the Company. In any such case either you or the Company shall have
the right to postpone the Closing Date, but in no event for longer than seven days, in order that
the required changes, if any, in the Registration Statement, in the Time of Sale Prospectus, in the
Prospectus or in any other documents or arrangements may be effected. Any action taken under this
paragraph shall not relieve any defaulting Underwriter from liability in respect of any default of
such Underwriter under this Agreement.
If this Agreement shall be terminated by the Underwriters, or any of them, because of any
failure or refusal on the part of the Company to comply with the terms or to fulfill any of the
conditions of this Agreement (other than by reason of a default by any of the Underwriters
described in the preceding paragraph), or if for any reason the Company shall be unable to perform
its obligations under this Agreement the Company will reimburse the Underwriters or such
Underwriters as have so terminated this Agreement with respect to themselves, severally, through
the Representatives for all out-of-pocket expenses (including the reasonable fees and disbursements
of their counsel) reasonably incurred by such Underwriters in connection with this Agreement or the
offering contemplated hereunder.
11. Entire Agreement. (a) This Agreement, together with any contemporaneous written
agreements and any prior written agreements (to the extent not superseded by this Agreement) that
relate to the offering of the Securities, represents the entire agreement between the Company and
the Underwriters with respect to the preparation of any preliminary prospectus, the Time of Sale
Prospectus, the Prospectus, the conduct of the offering, and the purchase and sale of the
Securities.
(b) The Company acknowledges that in connection with the offering of the Securities: (i) the
Underwriters have acted at arms length, are not agents of, and owe no fiduciary duties to, the
Company or any other person, (ii) the Underwriters owe the Company only those duties and
obligations set forth in this Agreement and prior written agreements (to the extent not superseded
by this Agreement), if any, and (iii) the Underwriters may have interests that differ from those of
the Company. The Company waives to the full extent permitted by
18
applicable law any claims it may have against the Underwriters arising from an alleged breach
of fiduciary duty in connection with the offering of the Securities.
12. Counterparts. This Agreement may be signed in two or more counterparts, each of which
shall be an original, with the same effect as if the signatures thereto and hereto were upon the
same instrument.
13. Applicable Law. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of New York.
14. Headings. The headings of the sections of this Agreement have been inserted for
convenience of reference only and shall not be deemed a part of this Agreement.
15. Notices. All communications hereunder shall be in writing and effective only upon receipt
and if to the Underwriters shall be delivered, mailed or sent to you at the address set forth in
Schedule I hereto; and if to the Company shall be delivered, mailed or sent to the address set
forth in Schedule I hereto.
19
| Very truly yours, NRG ENERGY, INC. |
||||
| By: | /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇ | |||
| Name: | ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇ | |||
| Title: | Vice President and Treasurer | |||
| GUARANTORS: | ||
| ▇▇▇▇▇▇ KILL POWER LLC | ||
| ASTORIA GAS TURBINE POWER LLC | ||
| BERRIANS I GAS TURBINE POWER LLC | ||
| BIG CAJUN II UNIT 4 LLC | ||
| CAPISTRANO COGENERATION COMPANY | ||
| CHICKAHOMINY RIVER ENERGY CORP. | ||
| COMMONWEALTH ATLANTIC POWER LLC | ||
| CONEMAUGH POWER LLC | ||
| CONNECTICUT JET POWER LLC | ||
| DEVON POWER LLC | ||
| DUNKIRK POWER LLC | ||
| EASTERN SIERRA ENERGY COMPANY | ||
| HANOVER ENERGY COMPANY | ||
| ▇▇▇▇▇▇▇ POWER LLC | ||
| INDIAN RIVER OPERATIONS INC. | ||
| INDIAN RIVER POWER LLC | ||
| ▇▇▇▇▇ RIVER POWER LLC | ||
| ▇▇▇▇▇▇▇ ▇▇▇▇▇ ▇▇ | ||
| KEYSTONE POWER LLC | ||
| LOUISIANA GENERATING LLC | ||
| MIDDLETOWN POWER LLC | ||
| MONTVILLE POWER LLC | ||
| NEO CALIFORNIA POWER LLC | ||
| NEO ▇▇▇▇▇▇▇-GEN LLC | ||
| NEO CORPORATION | ||
| NEO FREEHOLD-GEN LLC |
| NEO LANDFILL GAS HOLDINGS INC. | ||
| NEO POWER SERVICES INC. | ||
| NORWALK POWER LLC | ||
| NRG AFFILIATE SERVICES INC. | ||
| NRG ▇▇▇▇▇▇ KILL OPERATIONS INC. | ||
| NRG ASIA-PACIFIC, LTD. | ||
| NRG ASTORIA GAS TURBINE OPERATIONS, INC. | ||
| NRG BAYOU COVE LLC | ||
| NRG CABRILLO POWER OPERATIONS INC. | ||
| NRG CADILLAC OPERATIONS INC. | ||
| NRG CALIFORNIA PEAKER OPERATIONS LLC | ||
| NRG CONNECTICUT AFFILIATE SERVICES INC. | ||
| NRG DEVON OPERATIONS INC. | ||
| NRG DUNKIRK OPERATIONS INC. | ||
| NRG EL SEGUNDO OPERATIONS INC. | ||
| NRG ▇▇▇▇▇▇▇ OPERATIONS INC. | ||
| NRG INTERNATIONAL LLC | ||
| NRG ▇▇▇▇▇▇▇ LLC | ||
| NRG MESQUITE LLC | ||
| NRG MIDATLANTIC AFFILIATE SERVICES INC. | ||
| NRG MIDDLETOWN OPERATIONS INC. | ||
| NRG MONTVILLE OPERATIONS INC. | ||
| NRG NEW JERSEY ENERGY SALES LLC | ||
| NRG NEW ROADS HOLDINGS LLC | ||
| NRG NORTH CENTRAL OPERATIONS INC. | ||
| NRG NORTHEAST AFFILIATE SERVICES INC. |
2
| NRG NORWALK HARBOR OPERATIONS INC. | ||
| NRG OPERATING SERVICES, INC. | ||
| NRG OSWEGO HARBOR POWER OPERATIONS INC. | ||
| NRG POWER MARKETING INC. | ||
| NRG ROCKY ROAD LLC | ||
| NRG SAGUARO OPERATIONS INC. | ||
| NRG SOUTH CENTRAL AFFILIATE SERVICES INC. | ||
| NRG SOUTH CENTRAL GENERATING LLC | ||
| NRG SOUTH CENTRAL OPERATIONS INC. | ||
| NRG WEST COAST LLC | ||
| NRG WESTERN AFFILIATE SERVICES INC. | ||
| OSWEGO HARBOR POWER LLC | ||
| SAGUARO POWER LLC | ||
| SOMERSET OPERATIONS INC. | ||
| SOMERSET POWER LLC | ||
| VIENNA OPERATIONS INC. | ||
| VIENNA POWER LLC |
| By: | /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇ | |||
| Name: | ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇ | |||
| Title: | Authorized Signatory | |||
3
| Accepted as of the date hereof | |||||
| ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ & CO. INCORPORATED | |||||
By:
|
/s/ ▇▇▇▇ ▇. ▇▇▇▇▇▇ | ||||
| Title: Executive Director | |||||
| CITIGROUP GLOBAL MARKETS INC. | |||||
By:
|
/s/ ▇▇▇-▇▇▇▇ ▇▇▇▇▇ | ||||
| Title: Director | |||||
| Acting severally on behalf of themselves
and the
several Underwriters named in Schedule II hereto |
|||||
4
SCHEDULE I
Representatives: |
||||
▇▇▇▇▇▇ ▇▇▇▇▇▇▇ & Co. |
||||
Incorporated, and |
||||
Citigroup Global Markets Inc. |
||||
| Indentures: | Base Indenture to be dated as of February 2, 2006 between the Company and the Trustee, as supplemented by the Supplemental Indenture, to be dated February 2, 2006 | |||
| Trustee: | Law Debenture Trust Company of New York | |||
| Registration Statement File No.: | 333-130549 | |||
Time of Sale Prospectus
|
1. | Prospectus dated December 21, 2005 relating to the Shelf Securities | ||
| 2. | the Preliminary Prospectus Supplement, dated January 23, 2006 relating to the Securities | |||
| 3. | the January 26 Issuer FWP | |||
| 4. | the issuer free writing prospectus filed on Form 8-K, dated January 24, 2006 (file number 333-130549) | |||
| 5. | the Company’s road show with respect to the offering that constitutes a written communication pursuant to Rule 433 promulgated under the Securities Act of 1933, as amended | |||
| Securities to be purchased: | 7.250% Senior Notes Due 2014 | |||
| 7.375% Senior Notes Due 2016 | ||||
I-1
| Aggregate Principal Amount: | $3,600 million | |||
| Purchase Price: | 100 % of the principal amount of the Securities, plus accrued interest, if any, from February 2, 2006 | |||
Maturity: |
||||
| 7.250 % Senior Notes Due 2014 | February 1, 2014 | |||
| 7.375 % Senior Notes Due 2016 | February 1, 2016 | |||
Interest Rate: |
||||
| 7.250 % Senior Notes Due 2014 | 7.250 % per annum, accruing from February 2, 2006 | |||
| 7.375 % Senior Notes Due 2016 | 7.375 % per annum, accruing from February 2, 2006 | |||
Interest Payment Dates: |
||||
| 7.250 % Senior Notes Due 2014 | August 1 and February 1 commencing August 1, 2006 | |||
| 7.375 % Senior Notes Due 2016 | August 1 and February 1 commencing August 1, 2006 | |||
| Closing Date and Time: | February 1, 2006 9:00 a.m. | |||
| Closing Location: | ▇▇▇▇▇▇ & ▇▇▇▇▇▇▇ LLP | |||
| ▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ | ||||
| New York, NY 10022 | ||||
| Address for Notices to Underwriters: | ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ & Co. Incorporated | |||
| ▇▇▇▇ ▇▇▇▇▇▇▇▇ | ||||
| New York, New York 10036 | ||||
| Citigroup Global Markets Inc. | ||||
| ▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇ | ||||
| New York, New York 10010 | ||||
| Address for Notices to the Company: | NRG Energy, Inc. | |||
| 211 Carnegie Center | ||||
| Princeton, NJ 08540-6213 | ||||
I-2
SCHEDULE II
| 7.250 % Senior | 7.375 % Senior | |||||||
| Underwriter | Notes Due 2014 | Notes Due 2016 | ||||||
▇▇▇▇▇▇ ▇▇▇▇▇▇▇ & Co. Incorporated |
$ | 447,000,000 | $ | 894,000,000 | ||||
Citigroup Global Markets Inc. |
$ | 447,000,000 | $ | 894,000,000 | ||||
▇▇▇▇▇▇ Brothers Inc. |
$ | 90,000,000 | $ | 180,000,000 | ||||
Bank of America Securities LLC |
$ | 54,000,000 | $ | 108,000,000 | ||||
Deutsche Bank Securities Inc. |
$ | 54,000,000 | $ | 108,000,000 | ||||
▇▇▇▇▇▇▇ ▇▇▇▇▇, ▇▇▇▇▇▇, ▇▇▇▇▇▇ &
▇▇▇▇▇ Incorporated |
$ | 54,000,000 | $ | 108,000,000 | ||||
▇▇▇▇▇▇▇ ▇▇▇▇▇ & Co. |
$ | 54,000,000 | $ | 108,000,000 | ||||
Total |
$ | 1,200,000,000 | $ | 2,400,000,000 | ||||
II-1