R.H. Donnelley tenders for 8 7/8% notes

New York, Nov. 21 - R.H. Donnelley Inc. said it has begun a cash tender offer for its $235 million of 8 7/8% senior notes due 2010.

The Cary, N.C., subsidiary of yellow pages publisher and online search company R.H. Donnelley Corp. is also soliciting consents to amend the note indenture to eliminate substantially all of the restrictive covenants and certain events of default, modify the covenant regarding mergers and modify or eliminate other provisions.

The price for each note will be based on the yield to the first call date, discounted using 50 basis points over the yield to maturity of the 3% U.S. Treasury note due Dec. 31, 2006.

The offer is subject to the receipt of consents for a majority of the notes, the company obtaining sufficient financing and other conditions.

Expiration for the consent solicitation is 5 p.m. ET on Dec. 6. Holders who tender by this date will receive the full amount, which includes a consent payment of $30.00 per $1,000.

Tenders must be accompanied by consents and vice versa.

The tender ends at midnight ET on Dec. 19.

J.P. Morgan Securities Inc. is dealer manager and solicitation agent (call collect 212 270-1509). MacKenzie Partners, Inc. is information agent (call collect 212 929-5500 or 800 322-2885).

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