ONE Gas, Inc. completed an offering of $1.2 billion aggregate principal amount of senior notes, consisting of $300 million of senior notes due 2019, $300 million of senior notes due 2024 and $600 million of senior notes due 2044. The notes were sold in the United States to qualified institutional buyers under Rule 144A under the Securities Act of 1933, as amended, and to persons outside of the United States under Regulation S under the Securities Act. The notes will be structurally subordinated to the liabilities of ONE Gas' subsidiaries, including trade payables.

The 2019 notes will bear interest at a rate of 2.07% per annum, the 2024 notes will bear interest at a rate of 3.61% per annum; and the 2044 notes will bear interest at a rate of 4.658% per annum, in each case payable semi-annually on February 1 and August 1 of each year, beginning on August 1, 2014. The 2019 notes will mature on February 1, 2019, the 2024 notes will mature on February 1, 2024 and the 2044 notes will mature on February 1, 2044. However, ONE Gas, at its option, may redeem the notes in whole or part prior to January 1, 2019 (one month prior to their maturity date) in the case of the 2019 notes, prior to November 1, 2023 (three months prior to their maturity date) in the case of the 2024 notes, and prior to August 1, 2043 (six months prior to their maturity date) in the case of the 2044 Notes, in each case at a redemption price equal to the principal amount of such notes to be redeemed plus a make-whole premium.

Additionally, commencing on January 1, 2019 (one month prior to their maturity date) in the case of the 2019 notes, November 1, 2023 (three months prior to their maturity date) in the case of the 2024 notes, and August 1, 2043 (six months prior to their maturity date) in the case of the 2044 Notes, ONE Gas, at its option, may redeem the notes in whole or part, in each case at a redemption price equal to 100% of the principal amount of the notes to be redeemed plus accrued and unpaid interest.