American Airlines receives conversion requests in excess of cap

By Jennifer Chiou

New York, Dec. 18 - American Airlines Group Inc. announced that it has received conversion notices for an aggregate of 26,654,906 shares of its series A convertible preferred stock, thus exceeding the 10 million preferred share optional conversion cap.

The conversion requests were received as of 5 p.m. ET on Dec. 17. As a result of the oversubscription, the conversion cutoff date of Dec. 17 is in play.

The company stated that it will accept conversion notices on a pro rata basis, subject to rounding.

According to a news release, the proration factor will be 0.3752 shares converted for each share validly tendered for conversion.

Each preferred will be converted into 0.9994 common shares (Nasdaq: AAL).

The second conversion period will begin on Jan. 14.

The American Airlines holding company is based in Fort Worth, Texas.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.