Home Properties Announces Redemption of 9.00% Series F Preferred Stock.ROCHESTER, N.Y. -- Home Properties, Inc. (NYSE NYSE See: New York Stock Exchange :HME HME Home Medical Equipment HME Home Media Engine (TiVo) HME Heat and Moisture Exchange HME Hierarchical Mixtures-of-Experts HME Happy Meal Ethernet (UNIX driver) HME Honeymoon Experience ) today announced that it gave notice on February 7, 2007 that it will redeem on March 26, 2007 (the "Call Date") all of its 2,400,000 outstanding shares of Series F Preferred Stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. at a price of $25.00 per share plus accrued dividends of $0.1625 per share to the Call Date, for a total redemption price Redemption price See: Call price redemption price 1. The price at which an open-end investment company will buy back its shares from the owners. In most cases, the redemption price is the net asset value per share. 2. of $25.1625 per share of Series F Preferred Stock. On and after the Call Date, dividends on the Series F Preferred Stock will no longer accrue, and holders of the Series F Preferred Stock will have no rights other than the right to receive the redemption price of $25.00 per share and accrued interest Accrued Interest The interest that has accumulated on a bond since the last interest payment up to but not including the settlement date. There are two methods for calculating accrued interest: 1) 360-day year method, used for corporate and municipal bonds. of $0.1625 per share to the Call Date. Payment of the redemption price plus accrued dividends will be made on the redemption date. In connection with the issuance of the Series F Preferred Stock in March, 2002, the Company incurred $2.1 million in issuance costs and recorded such costs as a reduction to shareholders' equity. Upon redemption in the first quarter of 2007, the Company will reflect the $2.1 million as a reduction from both net income available to common shareholders and funds from operations Funds From Operations (FFO) Used by real estate and other investment trusts to define the cash flow from trust operations; earnings with depreciation and amortization added back. available to common shareholders. Questions relating to the Notice of Redemption and related materials should be directed by mail to Mellon Investor Services LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control , Attn: Corporate Action Dept., 27th Floor, P.O. Box 3447, South Hackensack, NJ 07606 or by calling 1-800-777-3674. Home Properties is a publicly traded apartment real estate investment trust that owns, operates, develops, acquires and rehabilitates apartment communities primarily in selected Northeast, Mid-Atlantic and Southeast Florida markets. Currently, Home Properties operates 127 communities containing 39,148 apartment units. Of these, 36,966 units in 123 communities are owned directly by the Company; 868 units are partially owned and managed by the Company as general partner, and 1,314 units are managed for other owners. For more information, visit Home Properties' Web site at www.homeproperties.com. |
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