Friday, November 28, 2008
FLEETWOOD'S FINANCIAL PLAN
by Greg Gerber of RV Industry News:
RIVERSIDE, Calif. -- Fleetwood Enterprises, Inc. (NYSE:FLE) announced today that it has revised the terms of its registered exchange offer, originally announced on October 30, 2008, for its existing $100 million principal amount of 5% convertible senior subordinated debentures.
Under the revised terms, which are designed to simplify the tender process, there will no longer be an escalation in the consideration offered based on the level of participation, but instead holders who opt to participate in the exchange offer will now receive the following fixed consideration for each $1,000 in principal amount of debentures tendered:
$1,030 in new senior secured notes, which are (1) senior obligations of Fleetwood, (2) secured by a first priority lien on approximately $20 million of unencumbered real estate assets of certain Fleetwood subsidiaries and a junior lien on approximately $58 million of certain of Fleetwood's subsidiaries' real properties that are pledged to secure its credit facility, (3) guaranteed on a subordinated basis to Fleetwood's credit facility by certain Fleetwood subsidiaries, and (4) due three years from the date of issuance.
With a coupon rate of 14 percent consisting of:
5 percent interest payable in cash, plus
9 percent pay-in-kind interest (PIK interest); plus
140 shares of Fleetwood common stock (assuming that the average price of the common stock during the relevant 20 trading day period is at or below $0.75 per share); together with
the payment of accrued and unpaid interest for any debentures accepted in the exchange offer.
In connection with these revised terms, Fleetwood is filing an amendment to the registration statement on Form S-4 previously filed on October 30, 2008. The exchange offer is being extended and is now scheduled to expire at 5 p.m. EST, Dec. 11, 2008. To date, there have not been any debentures tendered into this exchange offer. Concurrently, Fleetwood is filing an amendment to its registration statement on Form S-4 previously filed on Nov. 6, 2008, with respect to its repurchase obligation on Dec. 15, 2008. If holders tender their debentures pursuant to the company's repurchase obligation, they will receive only shares of common stock.
SOURCE: Fleetwood press release
RIVERSIDE, Calif. -- Fleetwood Enterprises, Inc. (NYSE:FLE) announced today that it has revised the terms of its registered exchange offer, originally announced on October 30, 2008, for its existing $100 million principal amount of 5% convertible senior subordinated debentures.
Under the revised terms, which are designed to simplify the tender process, there will no longer be an escalation in the consideration offered based on the level of participation, but instead holders who opt to participate in the exchange offer will now receive the following fixed consideration for each $1,000 in principal amount of debentures tendered:
$1,030 in new senior secured notes, which are (1) senior obligations of Fleetwood, (2) secured by a first priority lien on approximately $20 million of unencumbered real estate assets of certain Fleetwood subsidiaries and a junior lien on approximately $58 million of certain of Fleetwood's subsidiaries' real properties that are pledged to secure its credit facility, (3) guaranteed on a subordinated basis to Fleetwood's credit facility by certain Fleetwood subsidiaries, and (4) due three years from the date of issuance.
With a coupon rate of 14 percent consisting of:
5 percent interest payable in cash, plus
9 percent pay-in-kind interest (PIK interest); plus
140 shares of Fleetwood common stock (assuming that the average price of the common stock during the relevant 20 trading day period is at or below $0.75 per share); together with
the payment of accrued and unpaid interest for any debentures accepted in the exchange offer.
In connection with these revised terms, Fleetwood is filing an amendment to the registration statement on Form S-4 previously filed on October 30, 2008. The exchange offer is being extended and is now scheduled to expire at 5 p.m. EST, Dec. 11, 2008. To date, there have not been any debentures tendered into this exchange offer. Concurrently, Fleetwood is filing an amendment to its registration statement on Form S-4 previously filed on Nov. 6, 2008, with respect to its repurchase obligation on Dec. 15, 2008. If holders tender their debentures pursuant to the company's repurchase obligation, they will receive only shares of common stock.
SOURCE: Fleetwood press release
