Fleetwood calls $50 million of 9.5% convertibles

New York, March 10 - Fleetwood Enterprises Inc. said it will redeem $50 million liquidation amount of the $150 million outstanding 9.5% convertible trust III preferred securities on April 8.

The Riverside, Calif., manufacturer of recreational vehicles and manufactured housing will pay $53.17 per $50 liquidation amount trust preferred security plus accrued distributions up to but excluding the redemption date.

Fleetwood Enterprises will redeem $51.546 million principal amount of its 9.5% convertible trust III subordinated debentures due 2013 held by its subsidiary Fleetwood Capital Trust III. Fleetwood Capital Trust III will redeem $50 million liquidation amount of its 9.5% convertible trust III preferred securities and $1.546 million of its 9.5% convertible common securities.

Up to 5 p.m. ET on April 7, holders can convert their securities into common stock at the rate of 4.826255 shares, equivalent to a conversion price of $10.36 per share. Fleetwood stock closed at $13.50 Tuesday.

Any preferreds converted into between March 9 and 5 p.m. ET on April 7 will be considered securities selected for redemption, Fleetwood noted.

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