Jones Apparel extends deadline for tender offer for its $250 million 4¼% notes to May 6

By Susanna Moon

Chicago, May 1 - Jones Apparel Group, Inc. said it again extended its tender offer for the $250 million of 4¼% senior notes due 2009 it issued with Jones Apparel Group Holdings, Inc., Jones Apparel Group USA, Inc., Nine West Footwear Corp. and Jones Retail Corp.

The tender offer will now expire on May 6. It began on April 1.

As of 10 a.m. ET on May 1, investors had tendered $242,508,000 principal amount, or 97%, of the outstanding notes.

The company said on April 2 that it executed supplemental indentures after receiving the needed consents for the 4¼% notes as well as its $250 million of 5 1/8% senior notes due 2014 and $250 million of 6 1/8% senior notes due 2034.

As of 3 p.m. ET on April 15, the company received consents for $604.76 million total, or about 81%, of the notes.

The company is offering a consent fee of $20.00 per $1,000 principal amount of notes.

In the tender offer, Jones Apparel is offering $980 for each $1,000 principal amount of 4¼% notes plus accrued interest up to but excluding the settlement date.

Holders of the 4¼% notes may participate in the tender offer or the consent solicitation without participating in the other.

Jones Apparel said it sought consents to amend the indenture governing the notes to provide for a carveout to the lien covenant for liens incurred in connection with a new $650 million senior secured credit facility.

The issuers needed consents from holders of at least a majority of the notes outstanding.

The tender offer and consent solicitation are conditioned on, among other things, the receipt of the required consents and the execution of the new credit facility.

Jones Apparel said the new credit facility will give the issuers additional liquidity for general corporate purposes and may help finance the tender offer and consent solicitations.

Citi (800 558-3745 or 212 723-6106) is the lead dealer manager and lead solicitation agent. Banc of America Securities LLC, J.P. Morgan Securities Inc. and Wachovia Securities are co-dealer managers and co-solicitation agents.

Global Bondholder Services Corp. (866 937-2200 or 212 430-3774) is the information agent and depositary.

Jones Apparel is based in New York and makes branded apparel, footwear and accessories.

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