Issuer Free Writing Prospectus, dated October 27, 2010

Filed pursuant to Rule 433 under the Securities Act

Registration Statement No. 333-161243

 

BERRY PETROLEUM COMPANY

6 ¾% Senior Notes due 2020

Term Sheet

October 27, 2010

 

The following information supplements the preliminary prospectus supplement dated October 27, 2010 to the prospectus dated August 11, 2009.

 

Issuer:

Berry Petroleum Company

Security Description:

Senior Notes

Distribution:

SEC Registered

Face:

$300,000,000

Gross Proceeds:

$300,000,000

Net Proceeds to Issuer (before expenses):

$294,000,000

Coupon:

6 ¾%

Maturity:

November 1, 2020

Offering Price:

100.000%

Yield to Maturity:

6.750%

Spread to Treasury:

+405 bps

Benchmark:

2.625% due August 15, 2020

Interest Pay Dates:

May 1 and November 1

Beginning:

May 1, 2011

Optional Redemption Call Schedule:

 

 

Year

 

Percentage

 

 

November 1, 2015

 

103.375

%

 

November 1, 2016

 

102.250

%

 

November 1, 2017

 

101.125

%

 

November 1, 2018 and thereafter

 

100.000

%

 

 

 

 

 

Make-Whole Amount:

Make-whole call prior to November 1, 2015, as described in the preliminary prospectus supplement, plus accrued and unpaid interest.

 

 

Equity Claw:

Up to 35% prior to November 1, 2013 at 106.750% of the principal amount of the Notes, plus accrued and unpaid interest.

Change of Control:

Put @ 101% of principal plus accrued and unpaid interest

Trade Date:

October 27, 2010

Settlement Date: (T+3)

November 1, 2010

CUSIP:

085789AE5

ISIN:

US085789AE51

Bookrunners:

Wells Fargo Securities, LLC

BNP Paribas Securities Corp.

 



 

 

J.P. Morgan Securities LLC

RBS Securities Inc.

SG Americas Securities, LLC

Co-Managers:

BMO Capital Markets Corp.

Credit Suisse Securities (USA) LLC

Mitsubishi UFJ Securities (USA), Inc.

RBC Capital Markets Corporation

Citigroup Global Markets Inc.

Credit Agricole Securities (USA) Inc.

U.S. Bancorp Investments, Inc.

BBVA Securities Inc.

KeyBanc Capital Markets Inc.

Lloyds TSB Bank plc

Morgan Keegan & Company, Inc.

Natixis Bleichroeder LLC

Scotia Capital (USA) Inc.

 

 

Additional Information:

 

The Ratio of Earnings to Fixed Charges disclosure on page S-39 of the preliminary prospectus supplement is supplemented as follows:  Giving effect to this offering and the application of net proceeds from this offering, our pro forma ratio of earnings to combined fixed charges is as follows:

 

 

 

Pro Forma

 

 

 

Year Ended
December 31,
2009

 

Nine Months
Ended
September 30,
2010

 

Pro forma ratio of earnings to fixed charges

 

1.4x

 

2.6x

 

 

The issuer has filed a registration statement (including a prospectus) with the U.S. Securities and Exchange Commission (SEC) for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC web site at http://www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling Wells Fargo Securities, LLC toll-free at 1-800-326-5897, BNP Paribas Securities Corp. toll-free at 1-800-854-5674, J.P. Morgan Securities LLC at 1-212-270-1200, RBS Securities Inc. toll-free from inside the United States at 1-866-884-2071, or SG Americas Securities, LLC at 1-212-278-7128.