P-Com lowers conversion price on convertibles as part of restructuring plan

New York, May 6 - P-Com, Inc. said it is lowering the conversion price for its 4¼% convertible subordinated notes to 50 cents per share from $24.73.

The amended price is effective May 5 and will remain until further action by the company's board of directors but for at least 20 days.

P-Com said the reset of the conversion price is part of a previously announced effort to extend the maturity of the convertibles, of which there are $29.3 million outstanding.

The Campbell, Calif. provider of wireless telecom products and services has already agreed with holders of $21.2 million of the convertibles to extend the November 2002 maturity to November 2005 or, under certain conditions, November 2007.

"P-Com continues to make progress in renegotiating its debt and reducing cash outlays as part of its previously announced goal to return to cash flow positive by the end of 2002," said chairman George Roberts in a news release.

P-Com's stock closed at 18 cents Friday.

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