New Issue: Six Flags upsized $260 million convertible yields 4.5%, up 20%

Nashville, Nov. 16 - Six Flags Inc. sold an upsized $260 million of 10.5-year convertible senior notes at par to yield 4.5% with a 20% initial conversion premium via bookrunner Lehman Brothers Inc.

The registered deal, upsized from $225 million, priced at the cheap end of yield talk for a 4.0% to 4.5% coupon and at the middle of guidance for an 18% to 22% initial conversion premium.

The Oklahoma City-based theme park operator said proceeds would be used to repurchase or redeem a portion of its 9.5% senior notes due 2009 and 8.875% senior notes due 2010.

Terms of the new deal are:

Issuer:	Six Flags Inc.
Issue:	Convertible senior notes
Bookrunner:	Lehman Brothers Inc.
Amount:	$260 million, up from $225 million
Greenshoe:	$39 million, up from $33.75 million
Maturity:	May 15, 2015
Coupon:	4.5%
Price:	Par
Yield:	4.5%
Conversion premium:	20%
Conversion price:	$6.35
Conversion ratio:	157.4803
Call:	Non-callable for 5.5 years
Dividend protection:	Yes
Takeover protection:	Yes
Expected ratings:	Moody's: Caa1
	S&P: CCC
Price talk:	4.0-4.5%, up 18-22%
Pricing date:	Nov. 15, after the close
Settlement date:	Nov. 19
Distribution:	Registered

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