Plastipak Holdings further extends tender for 10¾% notes due 2011

By Jennifer Chiou

New York, Nov. 7 - Plastipak Holdings, Inc. said it again extended its tender offer for its $325 million of 10¾% senior notes due 2011, this time to 5 p.m. ET on Dec. 5 from 5 p.m. on Nov. 21.

As previously reported, by the consent deadline of 5 p.m. ET on Oct. 25, holders had tendered $320.5 million or 98.6% of the notes, the necessary consents to amend the notes' indenture.

Plastipak said it executed a supplemental indenture incorporating the changes, which eliminate all restrictive covenants and events of default in the notes' indenture.

The company had already extended the expiration date from midnight ET on Nov. 8. Pricing will be set at 2 p.m. ET, 10 business days before the expiration.

The consent solicitation is part of a cash tender offer for the notes announced on Oct. 12.

As previously disclosed, for each $1,000 principal amount of notes, the company will pay an amount based on the present value on the initial payment date of $1,053.75 - the redemption price for the notes on Sept. 1, 2006, the earliest call date - and interest up to the redemption date, discounted using the yield to maturity of the 2 3/8% Treasury due Aug. 31, 2006 and 50 basis points. The amount includes a $30.00 per $1,000 principal amount of notes to those who tender their holdings before the consent deadline.

The offer is conditioned upon consents from a majority of noteholders, execution of the supplemental indenture condition and adequate financing, among other conditions.

Global Bondholder Services Corp. is the information agent (call collect 212 430-3774 or 866 389-1500). Banc of America Securities LLC is dealer manager and solicitation agent (call collect 704 388-9217 or 888 292-0070.)

Based in Plymouth, Mich., Plastipak manufactures plastic packaging containers.

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