American Resources of Delaware, Inc. announces repurchase and retirement of 6% Junior Cumulative Convertible Preferred Stock, Series B.VERSAILLES Versailles (vərsī`, Fr. vĕrsī`), city (1990 pop. 91,029), capital of Yvelines dept., N central France. It was an insignificant village made famous by Louis XIV, who built (mid-17th cent. , Ky.--(BUSINESS WIRE)--March 1, 1996--American Resources of Delaware Delaware, state, United States Delaware (dĕl`əwâr, –wər), one of the Middle Atlantic states of the United States, the country's second smallest state (after Rhode Island). , Inc. (the "Company") announces that as of Feb. 28, 1996, the Company has purchased 58,059 shares of its outstanding 105,504 shares of 6% Junior Cumulative Convertible Preferred Stock Convertible Preferred Stock Preferred stock that includes an option for the holder to convert the preferred shares into a fixed number of common shares, usually anytime after a predetermined date. Also known as "convertible preferred shares". , Series B (the "Series B Stock") for $795,400. The Company has also entered into an agreement with the holder of the remaining 47,445 shares of Series B Stock to purchase the shares for $650,000 by March 31, 1996. The Company plans to retire the Series B Stock, which will eliminate the possibility of conversion of the shares into common stock. Management expects that the purchase and subsequent retirement of the Series B Stock will decrease the number of shares outstanding on a fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. basis by approximately 500,000 shares, or nearly 10% on a fully diluted basis at the present time. Management also expects that in the long term, the repurchase re·pur·chase tr.v. re·pur·chased, re·pur·chas·ing, re·pur·chas·es To buy (something) again. n. The act of buying something that one previously sold or owned. Noun 1. and retirement of all of the shares of Series B Stock will benefit the holders of the Company's common stock. The funds needed to purchase the initial 58,059 shares of Series B Stock were made available under the Company's credit facility with its primary lender. For additional information about the Company, please call 606/873-5455. CONTACT: American Resources of Delaware, Inc., Versailles Karen M. Underwood, 606/873-5455 |
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