Conseco says more than half of notes tendered in exchange, extends deadline

New York, April 15 - Conseco, Inc. said more than half of its notes were tendered in its exchange offer to extend the maturities, although investor response was heavily weighted towards the long maturities.

The Carmel, Ind. insurance company also said it is extending the tender by three business days to 5.00 p.m. ET on April 17 from midnight ET on April 12.

Of Conseco's $2.54 billion principal amount of public debt, a total of $1.283 billion had been tendered by midnight on April 12.

Amounts tendered ranged from $916,000 - a negligible percentage - of its 8½% senior notes due 2002 to 90% of its 10¾% senior notes due 2008.

Details of the amount tendered are as follows

Originally Tendered

outstanding for exchange % Tendered

8.50% senior notes due 2002	$302.299	$916,000	--
6.40% senior notes due 2003	$250	$13,989,000	6%
8.75% senior notes due 2004	$788	$363,504,000	46%
6.80% senior notes due 2005	$250	$146,995,000	59%
9.00% senior notes due 2006	$550	$396,522,000	72%
10.75% senior notes due 2008	$400	$361,158,000	90%
	Conseco announced the exchange on March 18, with the goal of extending maturities on bonds owned by qualified institutional investors by one to 2½ years.
	All the bonds to be exchanged will have the same coupon and principal amount but a later maturity date and a more senior ranking in the company's capital structure.
	Conseco was looking to extend the 8.5%, 6.4% and 10.75% notes by one year, the 9% notes by 18 months, the 6.8% notes by two years and the 8.75% notes by 2½ years.

© 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.