ENERGY SERVICE COMPANY REDEEMS PREFERRED STOCK
ENERGY SERVICE COMPANY REDEEMS PREFERRED STOCK DALLAS, Dec. 12 /PRNewswire/ -- Energy Service Company, Inc.
(AMEX: ESV) (ENSCO) announced today that it has redeemed 433,252 shares of its Series A 8 percent non-cumulative convertible preferred stock (Series A) at $10.00 per share. In addition, outstanding warrants to acquire 3,607,335 shares of ENSCO common stock at $1.00 per share were exercised by the Series A shareholders contemporaneously with the redemption of the Series A stock. Dec. 11, 1991 was the last date for exercise of the warrants and was the mandatory redemption date for the Series A stock. ENSCO also announced that as part of the redemption transaction a $4 million loan from the Series A shareholders to ENSCO and an equal $4 million loan made by the company to the Series A shareholders were both retired.
As a result of this transaction, all of the Series A preferred has been redeemed, the number of ENSCO common shares outstanding has been increased by 3,607,335 and the company's debt outstanding has been reduced by $4 million. The Series A shares were issued in connection with a debt restructuring in 1986. The stock warrants were issued to the Series A shareholders in February 1987, in exchange for the relinquishment of the convertibility feature of the Series A shares. The company's $1.50 cumulative convertible exchangeable preferred stock is not affected by the Series A redemption. ENSCO, headquartered in Dallas, is engaged in providing contract drilling and related energy services to the international petroleum industry. -0- 12/12/91 /CONTACT: G. Allen Brooks, ENSCO, 214/922-1500. (ESV) CO: Energy Service Company, Inc. ST: Texas IN: OIL SU:
TS -- NY050 -- 1963 12/12/91 12:42 EST
|Printer friendly Cite/link Email Feedback|
|Date:||Dec 12, 1991|
|Previous Article:||FLEET BANK OF MASSACHUSETTS APPOINTS WHEELER EXECUTIVE VICE PRESIDENT, CORPORATE/COMMERCIAL BANKING|
|Next Article:||ROWE FURNITURE CORPORATION DECLARES DIVIDEND|