Allbritton gets tenders for 99.92% of 8% notes, will redeem remaining

By Toni Weeks

San Luis Obispo, Calif., July 31 – Allbritton Communications Co. said it accepted tenders for about 99.92% of its outstanding $455 million of 8% senior notes due May 15, 2018 by the expiration of its tender offer at 5 p.m. ET on July 30.

The company exercised its option to accept for payment and settle $454.64 million of the notes, according to a press release.

Allbritton also announced it has issued a redemption notice to the holders of its remaining outstanding notes. The notes will be redeemed at 104.

The expiration of the offer had previously been extended from 5 p.m. ET on July 25 and, before that, midnight ET on July 11. The offer began on June 13.

Allbritton said on June 27 that it amended the payment terms, extending the total payment to $1,046.67 for each $1,000 principal amount of notes tendered in the offer, regardless of when they are tendered.

Before the change, holders needed to tender their notes by 5 p.m. ET on June 26, the early tender date, to receive the total amount, which included an early tender premium of $10.00 for each $1,000 of notes.

Holders were also to receive accrued interest to but excluding the settlement date.

As previously announced, notes tendered by the early tender date could be withdrawn by the early tender date, and notes tendered after the early deadline could be withdrawn by the offer expiration.

The company previously said it expected to accept for purchase all notes promptly following the expiration date.

The tender offer was being conducted in conjunction with Sinclair Broadcast Group’s acquisition of Perpetual Corp.’s stock. Perpetual is Allbritton’s parent company.

Allbritton said it expected Sinclair to fund the tender offer as part of the acquisition.

The tender offer was conditioned on completion of the acquisition.

Deutsche Bank Securities Inc. (855 287-1922 or 212 250-7527 collect) was the dealer manager for the tender offer, and D.F. King & Co., Inc. (800 967-4604 or 212 269-5550 collect) was the information agent and tender agent.

Allbritton is an Arlington, Va.-based communications company.

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