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BTR ANNOUNCES INTENTIONS TO OFFER TO PURCHASE ALL OUTSTANDING REXNORD CORPORATION 10.75% SENIOR NOTES DUE 2002

 LONDON, Dec. 10 /PRNewswire/ -- BTR plc announces that it intends to make an offer to purchase (the "Offer") all outstanding Rexnord Corporation (NYSE: REX) 10.75% Senior Notes due 2002 (the "Notes"). The offer price is expected to be 122% of par plus accrued and unpaid interest through the settlement date, but may vary depending on market conditions at the time of the offer.
 BTR intends to commence the Offer shortly after receipt of Hart-Scott-Rodino ("HSR") clearance for its proposed acquisition of Rexnord Corporation. The HSR waiting period is due to expire at midnight on Jan. 2, 1994. BTR is hopeful that the transaction will receive early HSR termination, in which case the tender offer could commence during December 1993.
 Simultaneously with the offer, BTR will seek consents from Noteholders to execute amendments to the Note Indenture which will, among other provisions, remove certain covenants of the Indenture. No Notes will be accepted for tender pursuant to the Offer unless accompanied by associated consents.
 The Offer will be conditioned on receiving at least $86,251,000 principal amount of Notes. The Offer is expected to be subject to no other conditions.
 The Offer, if made, will be open for 20 business days. However, at the time that all conditions to the Offer are met (which may be prior to the expiration date), BTR expects to accept for payment any Notes already tendered at that time, and to make payment for those Notes five business days later. Notes tendered subsequent to that time will be accepted for payment on expiration of the Offer. If BTR receives early HSR termination for the acquisition of Rexnord and is able to commence the Offer in December 1993, BTR may be able to accept Notes for purchase before year end.
 Dillon, Read,& Co. Inc. will be dealer manager for the tender offer.
 -0- 12/10/93
 /CONTACT: Kathleen A. O'Donovan, finance director of BTR plc, in London, 071-821-3800, or John G. Brim of Dillon, Read & Co. Inc., in New York, 212-906-7672/
 (REX)


CO: BTR plc; Rexnord Corporaiton ST: IN: MAC SU: TNM

LG-MP -- NY077 -- 2745 12/10/93 15:54 EST
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Publication:PR Newswire
Date:Dec 10, 1993
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