Plains Exploration gets required consents for 8¾% notes

By Jennifer Chiou

New York, Oct. 20 - Plains Exploration & Production Co. announced it received the necessary consents in its tender offer and consent solicitation for any and all of its 8¾% senior subordinated notes due 2012.

As of 5 p.m. ET on Oct. 19, the consent deadline, the company obtained consents from holders of $274.801 million or 99.93% of the notes.

The company said it will execute a supplemental indenture.

The offer ends at 11:59 p.m. ET on Nov. 1. It began on Oct. 4.

For each $1,000 principal amount, the Houston-based oil and gas company said it will pay, excluding accrued and unpaid interest, $1,062.07, which includes a $20.00 consent payment.

The payout is based on the yield to maturity of the 3.625% Treasury due June 30, 2007 and a fixed spread of 50 basis points.

Plains will also pay accrued interest up to but excluding the purchase date.

The offer is conditioned on, among other things, the completed redemption of the company's 7 1/8% senior notes due 2014.

J.P. Morgan Securities Inc. (collect 212 270-3994) is the dealer manager and solicitation agent for the tender offer and consent solicitation. MacKenzie Partners, Inc. (800 322-2885) is the information agent.

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