Ryman Hospitality adjusts conversion rate of 3.75% convertibles

By Tali David

Minneapolis, Dec. 5 - Ryman Hospitality Properties, Inc. said the conversion rate of its outstanding 3.75% convertible notes due 2014 will adjust to 46.7774 shares per $1,000 principal amount of notes, which is equivalent to a conversion price of $21.38, from a conversion rate of 46.2165 shares per $1,000 principal amount of notes, which is equivalent to a conversion price of $21.64 per share.

The adjustment will be effective at the close of business on Dec. 24, according to a press release.

The conversion rate for the notes is adjusted in connection with the company's declaration of a cash dividend of $0.50 per share of its common stock to be paid on Jan. 15 to stockholders of record on Dec. 27.

Pursuant to customary anti-dilution adjustments, effective immediately after the close of business on Dec. 24, the strike price of the company's call options related to the convertible notes will be adjusted to $21.38 per share of common stock and the exercise price of the common stock warrants it issued will be adjusted in a similar manner.

The company's shares closed at $41.35 (NYSE: RHP) on Thursday.

Ryman Hospitality is a hospitality and entertainment company based in Nashville.

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