TRANSALTA CORP

Regulatory Filings • Mar 9, 2010

FWP 1 a10-5326_3fwp.htm FWP

Filed Pursuant to Rule 433
Issuer Free Writing Prospectus
dated March 9, 2010
Relating to Preliminary
Prospectus Supplement dated March 9, 2010
Registration Statement
No. 333-155243

*TransAlta Corporation*

*Pricing Term Sheet*

| Issuer: | TransAlta
Corporation |
| --- | --- |
| Expected
Ratings: * | Baa2
(Stable)/BBB (Stable) |
| Security
Type: | SEC
registered senior unsecured notes |
| Size: | US$300,000,000 |
| Maturity: | March 15,
2040 |
| Coupon: | 6.500%
per annum, payable semi-annually |
| Price: | 98.648%
(US$295,944,000) |
| Net
Proceeds: | US$293,319,000 |
| Yield
to Maturity: | 6.604% |
| Spread: | +190
basis points |
| Benchmark
Treasury: | 4.375%
due November 15, 2039 |
| Treasury
Yield/Price: | 4.704%/94-24+ |
| Trade
Date: | March 9,
2010 |
| Settlement
Date: | March 12,
2010 |
| Interest
Payment Dates: | March 15
and September 15 of each year commencing September 15, 2010, to the
persons in whose names the Notes are registered at the close of business on
the preceding March 1 or September 1, respectively. |
| Make-Whole
Call: | T+30
basis points |
| Selling
Concession and Re-allowance: | Not
to exceed 0.50% and 0.30%, respectively. |

• 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.

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| CUSIP
No.: ISIN No.: | 89346D
AE7 US89346DAE76 |
| --- | --- |
| Joint
Book-Running Managers: | Citigroup
Global Markets Inc. HSBC
Securities (USA) Inc. Wells
Fargo Securities, LLC |
| Co-Managers: | Banc
of America Securities LLC CIBC
World Markets Corp. Mitsubishi UFJ
Securities (USA), Inc. RBC Capital
Markets Corporation RBS Securities
Inc. Scotia Capital
(USA) Inc. |

*The issuer has filed a registration statement (including a prospectus) with the United States Securities and Exchange Commission (the “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 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 Citigroup Global Markets Inc. toll free at 1-877-858-5407, HSBC Securities (USA) Inc. toll free at 1-866-811-8049 or Wells Fargo Securities, LLC toll free at 1-800-326-5897.*

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