Comstock tenders for 11¼% notes

New York, Feb. 10 - Comstock Resources, Inc. said it has begun a cash tender offer and consent solicitation for any and all of its $220 million principal amount of 11¼% senior notes due 2007.

The Frisco, Texas independent energy company is offering to pay $1,073.47 per $1,000 principal amount to holders who tender by the consent date of 5 p.m. ET on Feb. 24. The price includes a $30 per $1,000 principal amount consent payment. Payment is expected on Feb. 25.

Holders who tender after the consent date but before the expiration of the offer at midnight ET on March 9 will receive $1,043.47 per $1,000 principal amount.

In both cases holders will receive accrued interest up to but not including the payment date.

The consent solicitation is to eliminate substantially all the restrictive covenants in the note indenture.

The offer is subject to at least a majority of the outstanding principal amount of the notes being tendered and consents delivered and Comstock obtaining financing for the offer on acceptable terms.

Banc of America Securities LLC (contact High Yield Special Products at 888 292-0070 or call collect 704 388-4813) is the dealer manager and solicitation agent and Harris Nesbitt Corp. is the co-dealer manager and solicitation agent. Global Bondholder Services Corp. (866 470-4200 or call collect 212 430-3774) is the information agent.

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