Forest Oil Announces Minimum Tenders Received in Debt Tender Offer.DENVER--(BUSINESS WIRE)--Sept. 12, 1997--Forest Oil Corporation (Nasdaq:FOIL) today announced that in connection with its cash tender offer for its outstanding $100,000,000 aggregate principal amount of 11-1/4% Senior Subordinated Notes due 2003 (the "Notes"), it had received tenders and consents in an amount in excess of 80% of the principal amount of Notes outstanding.
Accordingly, the minimum condition has been satisfied for the consent solicitation Consent Solicitation
A solicitation by one party to the stakeholders of a particular security for the consent of a material change.
Should the majority of stakeholders provide valid consent prior to the consent expiry date, the issuer may then follow through with to affect certain amendments to the Indenture under which the Notes were issued. The company intends to enter into a supplemental indenture with respect to the Notes to effect such proposed amendments. Holders who have provided the consents to the proposed amendments will receive a consent payment of $25 for $1,000 principal amount of Notes tendered and accepted for purchase pursuant to the offer.
The purchase price for each $1,000 principal amount of Notes tendered and accepted for purchase will be based on the yield to the first call date equal to a 65-basis point spread over the yield of the 6.125% U.S. Treasury U.S. Treasury
Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. Note due August 31, 1998, as of 2:00 p.m., New York City New York City: see New York, city.
New York City
City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. time, on the second business day immediately preceding the expiration date Expiration Date
The day on which an options or futures contract is no longer valid and, therefore, ceases to exist.
The expiration date for all listed stock options in the U.S. of the offer, less the consent payment of $25 per $1,000 principal amount of the Notes.
The tender offer is scheduled to expire at 12:00 midnight, New York City time, on September 25, 1997, unless extended. Withdrawal rights and revocation rights pursuant to the tender offer and consent solicitation expired at 5:00 p.m., New York City time, on September 11, 1997.
Salomon Brothers was a Wall Street investment bank. Inc and Lehman Brothers are the exclusive dealer managers and solicitation agents, and Morrow & Co., Inc. is the information agent for the tender offer.
This announcement is not an offer to purchase, a solicitation of an offer to purchase or a solicitation of consents with respect to any Note. The tender offer and consent solicitation are being made solely by the Offer to Purchase and Consent Solicitation Statement dated August 28, 1997.
Forest Oil Corporation is engaged in the exploration, development and acquisition of oil and natural gas properties and the production and marketing of natural gas and crude oil in North America. Forest's principal reserves and producing properties are located in the Gulf of Mexico Noun 1. Gulf of Mexico - an arm of the Atlantic to the south of the United States and to the east of Mexico
Golfo de Mexico
Atlantic, Atlantic Ocean - the 2nd largest ocean; separates North and South America on the west from Europe and Africa on the east , Texas, Oklahoma, Wyoming and Canada. Forest's common stock trades on the Nasdaq National Tier of The Nasdaq Stock Market Nasdaq stock market
The first electronic stock market listing over 5000 companies. The Nasdaq stock market comprises two separate markets, namely the Nasdaq National Market, which trades large, active securities and the Nasdaq Smallcap Market that trades emerging growth companies. under the symbol FOIL.
CONTACT: Forest Oil Corp., Denver
Donald H. Stevens, 303/812-1400 (vice president)
Zack Hager Jr., 303/812-1610 (investor relations Investor relations
The process by which the corporation communicates with its investors. )