Copies of the report, The Feasibility and Desirability of Mandatory Subordinated
Debt, are available on the web sites of the Board, www.
This means owners applying for subordinated
loans can expect due diligence to ensure cash flow and earning targets will be met.
In addition, the Bondholders' proposal contemplates that the holders of Envirodyne's 14 percent senior subordinated
debentures and 13-1/2 percent subordinated
notes would shares, on a 15 percent - 85 percent basis, respectively, in certain settlement or litigation proceeds.
This classification recognizes their junior subordinated
ranking, the maturity of the underlying instruments in excess of 20 years, and the deferral feature of more than five years.
The warrants issued to the holders of the new senior subordinated
notes and Emerald Acquisition would expire 10 years from the date of issuance.
The senior subordinated
downgrade reflects Sanmina layering $600 million of senior unsecured debt on top of the senior subordinated
debt, resulting in lower recovery prospects for the subordinated
New York City time, on October 2, 2006, $96,735,000 in aggregate principal amount of the Senior Subordinated
Notes had been properly tendered and not withdrawn as part of the private exchange offer.
today announced the sale of $350 million principal amount of Series B Enhanced Junior Subordinated
Debentures due October 1, 2066.
4% Contingent Convertible Subordinated
Notes and 2.
The Senior Subordinated
Notes will rank junior in right of payment to all of MTR's existing and future senior indebtedness (including MTR's senior secured credit facility and its 9 3/4% Senior Notes due 2010) and will rank equal in right of payment with any senior subordinated
indebtedness that MTR may incur.
Holders of Subordinated
Notes who validly tendered their Subordinated
Notes after the consent payment deadline but prior to the expiration time will receive $1,037.
0 million of principal amount of 9 5/8% Senior Subordinated
Notes due 2007 (CUSIP No.