ENB.PR.F Enbridge Preferred Shares Series F

The following is a set of excerpts from the prospectus document for the Series F preferreds. The excerpts, highlight the most relevant information, an investor should know when analyzing this preferred. A link to the prospectus is provided lower in this page. The original document for ENB.PR.F Enbridge Preferred Shares Series F was used for the excerpts and the important information was highlighted for quick access.

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Excerpt: Size and initial yield

January 11, 2012 ENBRIDGE INC. $500,000,000 20,000,000 Cumulative Redeemable Preference Shares, Series F Enbridge Inc. (the “Corporation”) is hereby qualifying the distribution (the “Offering”) of 20,000,000 cumulative redeemable preference shares, Series F (the “Series F Shares”) of the Corporation at a price of $25.00 per Series F Share.
See “Details of the Offering” and “Plan of Distribution”. The holders of Series F Shares will be entitled to receive, as and when declared by the board of directors of the Corporation (the “Board”) out of moneys of the Corporation properly applicable to the payment of dividends, fixed, cumulative, preferential cash dividends for the initial period from and including the date of issue of the Series F Shares to but excluding June 1, 2018 (the “Initial Fixed Rate Period”), at an annual rate of $1.00 per Series F Share, payable quarterly on the first day of March, June, September and December in each year (less any tax required to be deducted and withheld by the Corporation).
If any such date is not a business day, the dividend will be paid on the next succeeding business day. Assuming an issue date of January 18, 2012, the first dividend, if declared, will be payable June 1, 2012 in the amount of $0.3699 per share.

Excerpt: Reset Date and Yield Terms

For every five-year period after the Initial Fixed Rate Period (each a “Subsequent Fixed Rate Period”, as defined herein), the holders of Series F Shares shall be entitled to receive, as and when declared by the Board,fixed, cumulative, preferential cash dividends, payable quarterly on the first day of March, June, September and December in each year, in the amount per share equal to the Annual Fixed Dividend Rate (as defined herein) for such Subsequent Fixed Rate Period.
The Annual Fixed Dividend Rate for the ensuing Subsequent Fixed Rate Period will be determined by the Corporation on the Fixed Rate Calculation Date (as defined herein) and will be equal to the sum of the Government of Canada Yield (as defined herein) on the Fixed Rate Calculation Date plus a spread of 2.51%.
This spread will remain unchanged over the life of the Series F Shares. See “Details of the Offering”. The Series F Shares shall not be redeemable prior to June 1, 2018. On June 1, 2018, and on June 1 in every fifth year thereafter, the Corporation may, at its option, upon not less than 30 days and not more than 60 days prior written notice, redeem for cash all or any part of the outstanding Series F Shares by the payment of $25.00 per Series F Share plus all accrued and unpaid dividends (less any tax required to be deducted and withheld by the Corporation).
See “Details of the Offering”.

Excerpt: Conversion Terms

Option to Convert into Series G Shares The holders of the Series F Shares will have the right to convert all or any of their Series F Shares into cumulative redeemable preference shares, Series G of the Corporation (the “Series G Shares”), subject to certain conditions as described herein, on June 1, 2018 and on June 1 in every fifth year thereafter.
The holders of the Series G Shares will be entitled to receive, as and when declared by the Board, quarterly floating rate cumulative preferential cash dividends payable on the first day of March, June, September and December in each year (each such quarterly dividend period is referred to as a “Quarterly Floating Rate Period”, as defined herein) in the amount per share determined by multiplying the Floating Quarterly Dividend Rate (as defined herein) for such Quarterly Floating Rate Period by $25.00 and multiplying that product by a fraction, the numerator of which is the actual number of days in such Quarterly Floating Rate Period and the denominator of which is 365 or 366, depending upon the actual number of days in the applicable year (less any tax required to be deducted and withheld by the Corporation).
If any such date is not a business day, the dividend will be paid on the next succeeding business day. The Floating Quarterly Dividend Rate will be the annual rate of interest equal to the sum of the T-Bill Rate (as defined herein) on the applicable Floating Rate Calculation Date (as defined herein) plus a spread of 2.51%.