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BTR CONSENT SOLICITATION OBTAINS OVER 50 PERCENT ACCEPTANCE; REXNORD INDENTURE AMENDED, TENDERED NOTES ACCEPTED FOR PAYMENT

 LONDON, Jan. 17 /PRNewswire/ -- BTR plc announced today that all conditions to its tender offer and related consent solicitation for all of the 10 3/4 percent Senior Notes Due 2002 of Rexnord Corporation (NYSE: REX) have been satisfied. A subsidiary of BTR has accepted for payment approximately $92,150,000 principal amount of the Senior Notes which have been validly tendered pursuant to the offer, representing approximately 53% of the total principal amount outstanding, Payment for these Notes will be made on Monday, Jan. 24, 1994.
 The company also announced that in connection with the consent solicitation related to the offer, Rexnord and the trustee have executed a supplemental indenture, under the indenture governing the Notes, making the proposed amendments to the indenture effective for those Notes which remain outstanding. As a result, certain restrictive financial covenants, including the financial reporting requirement and certain events of default contained in the indenture have been eliminated.
 The offer and consent solicitation remain open and will expire at midnight, New York City time, on Jan. 25, 1994, unless extended. All Notes validly tendered prior to the expiration of the offer and consent solicitation but not accepted for payment as part of the initial acceptance, will be accepted for payment after the expiration, subject to the continued satisfaction of all conditions to the tender offer. Payment will be made on the fifth business day thereafter.
 BTR Dunlop will purchase the Notes at a cash price of 122 percent of the principal amount, plus interest accrued from Jan. 1, 1994 up to, but not including, the payment date of each Note. At the commencement of the offer, Rexnord had $172,500,000 aggregate principal amount of Notes outstanding.
 Dillon, Read & Co. Inc. is serving as exclusive dealer manager for the Offer and consent solicitation. MacKenzie Partners, Inc. is serving as Information Agent (800-322-2885).
 -0- 1/17/94
 /CONTACT: Stanley J. Kay of MacKenzie Partners, Inc., 212-929-5940, or John G. Brim of Dillon, Read & Co. Inc., 212-906-7672/
 (REX)


CO: BTR plc; Rexnord Corporation ST: IN: MAC SU:

TM -- NY095 -- 1479 01/17/94 17:21 EST
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Publication:PR Newswire
Date:Jan 17, 1994
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