CIGNA Announces Tender Offer for Any and All of Its 6.35% Senior Notes Due 2018

PHILADELPHIA--(BUSINESS WIRE)-- CIGNA Corporation (NYSE: CI) announced today that it commenced a cash tender offer for any and all of its $300 million principal amount of outstanding 6.35% Senior Notes due 2018 (the “Notes”). The tender offer is being made pursuant to an offer to purchase and related letter of transmittal, each dated today, which set forth a more complete description of the terms of the tender offer, including the calculation of the Purchase Price (as defined below). Holders of the Notes are urged to read the offer to purchase and the related letter of transmittal carefully before making any decisions with respect to the tender offer.

The tender offer will expire at 11:59 P.M., New York City time, on December 15, 2010 (the “Expiration Time”) unless extended or earlier terminated. To be eligible to receive the Purchase Price, holders of the Notes must validly tender and not validly withdraw their Notes prior to the Expiration Time. Tendered Notes may be withdrawn at any time at or before, but not after, the Expiration Time.

The following table summarizes the material pricing terms of the tender offer:

                             
Principal
CUSIP Amount U.S. Treasury Bloomberg Fixed Spread
Title of Security Number Outstanding Reference Security Reference Page (Basis Points)
2.625% due
6.35% Senior Notes due 2018 125509BK4 $300,000,000 November 15, 2020 PX7 45
 

The purchase price per $1,000 principal amount of the Notes validly tendered in the tender offer at or prior to the Expiration Time and accepted for purchase (the “Purchase Price”) will be determined in the manner described in the offer to purchase by reference to a fixed spread of 45 basis points over the yield to maturity of the 2.625% U.S. Treasury Notes due November 15, 2020, calculated as of 2:00 p.m., New York City time, on December 15, 2010, the date on which the tender offer expires. In addition, holders of Notes that are validly tendered and accepted for purchase will receive accrued and unpaid interest on the Notes up to, but not including, the settlement date. CIGNA expects the settlement date to occur on the next business date following the expiration of the tender offer.

The tender offer is subject to the satisfaction of certain conditions set forth in the offer to purchase.

CIGNA has retained Deutsche Bank Securities Inc. and J.P. Morgan Securities LLC to serve as the dealer managers and D.F. King & Co., Inc. to serve as the depositary and information agent for the tender offer.

Requests for documents may be directed to D.F. King & Co., Inc. toll free at (800) 769-7666 or in writing at 48 Wall Street — 22nd Floor, New York, New York 10005. Questions regarding the tender offer may be directed to Deutsche Bank Securities Inc. at (866) 627-0391 (toll-free) or (212) 250-2955 (collect) or J.P. Morgan Securities LLC at (866) 834-4666 (toll-free) or (212) 834-3424 (collect).

About CIGNA

CIGNA is a global health service and financial company dedicated to helping people improve their health, well-being and sense of security. CIGNA Corporation’s operating subsidiaries in the United States provide an integrated suite of health services, such as medical, dental, behavioral health, pharmacy and vision care benefits, as well as group life, accident and disability insurance. CIGNA offers products and services in over 27 countries and jurisdictions and has approximately 60 million customer relationships throughout the world. To learn more about CIGNA, visit www.cigna.com.

All statements in this press release other than statements of historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results of matters addressed in these forward-looking statements involve risks and uncertainties and may differ substantially from those expressed or implied. Some of the factors that could cause actual results to differ are discussed under the heading “Risk Factors” in the company’s most recent Form 10-K filed with the Securities and Exchange Commission and under the heading “Forward-Looking Statements” in the company’s most recent quarterly report on Form 10-Q filed with the Securities and Exchange Commission.



CONTACT:

CIGNA Corporation
Renee Cieslukowski, 215-761-2814

KEYWORDS:   United States  North America  Pennsylvania

INDUSTRY KEYWORDS:   Health  Other Health  Professional Services  Finance  Insurance  General Health  Managed Care

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