Convertibles Calendar

MARCH 19 WEEK

DIVERSA CORP. (Nasdaq: DVSA): $75 million 20-year convertible senior notes; UBS Investment Bank; Rule 144A; $11.25 million greenshoe; non-callable for five years; puts in years five, 10 and 15; San Diego-based developer of specialty enzymes used in alternative fuel, industrial, health and nutrition processes will use proceeds to expand its biofuels business, to develop its specialty enzyme business and for general purposes; pricing Thursday after the close; talked at a coupon of 5% to 5.5% and an initial conversion premium of 27.5% to 32.5%.

EXTRA SPACE STORAGE INC. (NYSE: EXR): $200 million 20-year exchangeable senior notes; Citigroup; Rule 144A; $30 million greenshoe; to be issued by operating partnership Extra Space Storage LP, exchangeable into listed company's stock; non-callable for five years; contingent exchange at 130%; Salt Lake City-based real estate investment trust focused on self-storage facilities will use proceeds for acquisitions and for general purposes; pricing Wednesday after the close; talked at a coupon of 3.375% to 3.875% and an initial exchange premium of 17.5% to 22.5%.

FREEPORT-MCMORAN COPPER & GOLD INC. (NYSE: FCX): $1 billion three-year mandatory convertible preferred stock; Merrill Lynch, JP Morgan (joint books); registered; $150 million greenshoe; non-callable, no puts; New Orleans-based copper, gold and silver mining company will use proceeds along with funds from offering of 35 million shares of common stock to repay two outstanding term loans due 2012 and 2014 that were used to help fund its acquisition of Phelps Dodge Corp.; pricing Thursday after the close; talked at a dividend of 6.75% to 7.25% and an initial conversion premium of 18% to 22%.

PIONEER COS. INC. (Nasdaq: PONR): $100 million 20-year convertible senior subordinated notes; CIBC; Rule 144A; non-callable for seven years; puts in years seven, 10 and 15; contingent conversion at 120%; Houston-based maker of chlor-alkali products will use proceeds to redeem its $75 million of 10% senior secured notes due 2008, to fund the expansion of its St. Gabriel, La.-plant and for general purposes; pricing Tuesday after the close; talked at a coupon of 2.75% to 3.25% and an initial conversion premium of 25% to 30%.

PROLOGIS (NYSE: PLD): $1 billion 30-year convertible senior unsecured notes; JP Morgan, Morgan Stanley, UBS Investment Bank (joint books); Rule 144A; $150 million greenshoe; non-callable for five years; puts in years five, 10, 15, 20 and 25; contingent conversion trigger at 130%; Denver-based real estate investment trust focused on industrial distribution properties will use proceeds of the deal to partially repay its revolving debt and for general purposes; pricing Tuesday after the close; talked at a coupon of 1.75% to 2.25%, an initial conversion premium of 20% and a reoffered price range of 98 to 98.5.

VIROPHARMA INC. (Nasdaq: VPHM): $200 million 10-year convertible senior notes; Goldman Sachs; off shelf; $30 million greenshoe; non-callable; no puts; contingent conversion at 130%; Exton, Pa., pharmaceutical company to use proceeds to fund convertible note hedge and warrant transactions and for general purposes; pricing Tuesday after the close; talked at a coupon of 2% to 2.5% and an initial conversion premium of 27.5% to 32.5%.

ON THE HORIZON

BLACK HILLS CORP. (NYSE: BKH): Mandatory convertible securities; proceeds, along with new equity and unsecured debt, to replace bridge facility; bridge facility will be used to fund the Rapid City, S.D.-based diversified energy company's acquisition of Aquila, Inc.'s electric utility in Colorado and gas utilities in Colorado, Kansas, Nebraska and Iowa, along with the associated liabilities, for $940 million.

ENERGY PARTNERS LTD. (NYSE: EPL): Possible issue of up to $450 million convertible notes; proceeds, along with $300 million four-year senior secured revolving credit facility and possible note issue (combined size of convertibles and/or notes to be $450 million); to refinance the company's existing credit facility, refinance its 8¾% senior notes and fund a self-tender offer for the repurchase of up to 8.7 common shares for about $200 million; Bank of America is lead arranger, bookrunner and administrative agent on the revolver; Energy Partners is a New Orleans-based oil and natural gas exploration and production company.

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