Printer Friendly

AMENDED MINIMUM TENDER CONDITION MET, MARRIOTT EXTENDS EXCHANGE OFFER TO AUG. 27

 WASHINGTON, Aug. 23 /PRNewswire/ -- Marriott Corporation (NYSE: MHS) today announced that it has amended the minimum tender condition for its exchange offer for outstanding publicly held senior notes and debentures, so that the offer is no longer conditioned upon the amounts tendered of 9-1/8 percent Series F Notes due 1995 and 9 percent Series I Notes due 1995. As of Aug. 20, 1993, Marriott had received tenders sufficient to satisfy the minimum tender condition, as amended.
 Marriott also said it has extended the expiration date for the exchange offer, which involves securities aggregating $1.525 billion in principal amount, to midnight (EDT) on Aug. 27, 1993.
 Under the minimum tender condition, as amended, consummation of the exchange offer is conditioned on at least 85 percent of the aggregate principal amount of all series other than Series F Notes and Series I Notes, and at least 51 percent of the aggregate principal amount of each series other than Series F Notes and Series I Notes, being validly tendered and not withdrawn as of midnight (EDT) on Aug. 27, 1993. In addition, Marriott has reserved the right to waive or decrease the minimum thresholds in the minimum tender condition, without providing prior notice to holders of senior notes and debentures, and without providing additional withdrawal rights to holders.
 The company said that as of Aug. 20, 1993, excluding the Series F Notes and Series I Notes, it had received tenders of approximately $1.2 billion, or 88 percent of the aggregate principal amount of the eight remaining series, and more than 51 percent of the aggregate principal amount of each of these series.
 Tenders were received in approximately the following amounts for each series of senior notes and debentures subject to the exchange offer: 9-5/8 percent Series B due 1996: $88 million (88 percent); 8-1/8 percent Series C due 1996: $141 million (70 percent); 8-7/8 Series D due 1997: $81 million (81 percent); 9-7/8 percent Series E due 1997: $132 million (88 percent); 9-1/8 percent Series F due 1995: $46 million (46 percent); 9 percent Series I due 1995: $13 million (13 percent); 10-1/4 percent Series K due 2001: $114 million (91 percent); 10 percent Series L due 2012: $188 million (94 percent); 9-1/2 percent Series M due 2002: $184 million (92 percent); 9-3/8 percent Debentures due 2007: $236 million (94 percent). The foregoing amounts include certain tenders made under guaranteed delivery procedures and/or subject to the delivery of additional required documentation.
 Tenders of senior notes and debentures may not be withdrawn, and consents and releases may not be revoked, after midnight (EDT) on Aug. 27, 1993 if the minimum tender condition (as it may be modified by Marriott) is satisfied at such time, unless the exchange offer is terminated or expires without being consummated, or has not been consummated prior to Oct. 15, 1993.
 Regarding the Series F Notes and Series I Notes, the exchange offer remains in effect, subject to the terms and conditions set forth in the prospectus and consent solicitation, except that the exchange offer is no longer conditioned upon at least 51 percent of the aggregate principal amount of each of the Series F Notes and Series I Notes being validly tendered. If the company does not receive tenders representing more than 50 percent of the aggregate principal amount of the Series F Notes as of the expiration date, Marriott intends to call for redemption at par, plus accrued interest, all of the Series F Notes which have not been tendered.
 If Marriott does not receive tenders representing more than 50 percent of the aggregate principal amount of the Series I Notes as of the expiration date, Marriott may elect to modify the provisions of the indentures governing, respectively, the Series I Notes and the new notes to be issued by Host Marriott Hospitality, Inc. (an indirect, wholly owned subsidiary of Marriott) in the exchange offer. These modifications of the two indentures would secure the Series I Notes equally and ratably with the new notes to be issued in the exchange offer.
 The exchange offer is subject to completion of Marriott's special dividend transaction, for which the company's board of directors has established Sept. 1 and Sept. 10, 1993, respectively, as the record and distribution dates. The exchange offer and the special dividend transaction are expected to occur contemporaneously, but Marriott intends to proceed with the special dividend regardless of whether the exchange offer is consummated. The special dividend transaction is subject to the satisfaction of certain conditions, including receipt of a favorable tax ruling from the Internal Revenue Service. If such conditions are not satisfied on or before Aug. 31, 1993, Marriott may elect to set a new record and completion date for the special dividend.
 This communication shall not constitute an offer to sell or the solicitation of an offer to buy any securities. The exchange offer is being made only under the prospectus and consent solicitation and related consents and letters of transmittal, and is subject to the terms and conditions set forth therein. No offers will be made or solicited, nor will there be any sale or exchange of securities in any state in which such offer, solicitation, sale or exchange is prohibited by applicable laws.
 The foregoing modifications to the exchange offer are set forth in a supplement to the prospectus and consent solicitation to be filed with the Securities and Exchange Commission, which will be available upon request as provided below.
 BT Securities Corporation (212-775-4300) and S.G. Warburg & Co. (212-459-7754) are acting as dealer managers. Bankers Trust Company is acting as exchange agent, and Mackenzie Partners (800-322-2885) is acting as information agent in connection with the exchange offer and consent solicitation. Any questions or requests for assistance or copies of the prospectus, consents and letters of transmittal or notices of guaranteed delivery may be directed to the information agent or one of the dealer managers. Copies will be furnished promptly at Marriott's expense.
 -0- 8/23/93
 /CONTACT: Robert T. Souers of Marriott Corporation, 301-380-1339/
 (MHS)


CO: Marriott Corporation ST: Washington IN: FIN SU:

MH-DS -- DC004 -- 4918 08/23/93 08:37 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Aug 23, 1993
Words:1033
Previous Article:STEEL SERVICE CENTER SHIPMENTS EXPERIENCE MODEST SEASONAL DECLINE
Next Article:ART VAN FURNITURE PLANS GRAND OPENING FOR NEW STORE IN HOLLAND AREA; THIRD NEW STORE IN TWO MONTHS
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters