Berry Petroleum gets early tenders for 52% of 10¼% notes due 2014

By Jennifer Chiou

New York, March 20 - Berry Petroleum Co. said it has thus far received tenders for about $184 million, or 52%, of its $355,256,000 of outstanding 10¼% senior notes due 2014 in the modified Dutch auction cash tender offer for up to $150 million principal amount.

The early deadline passed at 5 p.m. ET on March 19.

As already reported, the bid price range is $1,155 to $1,175, including an early tender fee of $30.00, for each $1,000 principal amount of 10¼% notes tendered by the early deadline.

Holders who tender notes without specifying a bid price will be deemed to have specified $1,155 per $1,000 principal amount of notes.

Holders also will receive accrued interest up to but excluding the settlement date, which is expected to be April 3.

The offer will end at 11:59 p.m. ET on April 2. It began on March 6.

If the amount of tendered notes exceeds the offer cap, the notes will be purchased on a prorated basis.

Funding for the tender offer will come from a public offering of $600 million principal amount of 6 3/8% senior notes due 2022 that was completed on March 9.

Proceeds also will be used to redeem all $200 million of the company's 8¼% notes and to reduce outstanding borrowings under its senior secured revolving credit facility.

Wells Fargo Securities, LLC (866 309-6316 or collect 704 715-8341) is the dealer manager. D.F. King & Co., Inc. (800 628-8536 or banks and brokers call 212 269-5550) is the tender agent and information agent.

Berry Petroleum is a Denver-based oil and gas production and exploitation company.

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