STERLING SOFTWARE CLOSES REDEMPTION OF ITS $7.20 EXCHANGEABLE PREFERRED STOCK
STERLING SOFTWARE CLOSES REDEMPTION OF ITS $7.20 EXCHANGEABLE
DALLAS, Dec. 6 /PRNewswire/ -- Sterling Software, Inc. (NYSE: SSW) today announced that it closed its redemption of its $7.20 exchangeable preferred stock on Dec. 4, 1991. Upon surrender of the preferred shares for redemption, shareholders receive the redemption price of $50.16 per share plus $0.36 for accrued and unpaid dividends from Nov. 16, 1991 to Dec. 4, 1991. All rights with respect to the $7.20 exchangeable preferred stock have ceased as of Dec. 4, 1991 and no other dividends or interest shall accrue. The company's redemption agent is BancBoston Trust Company of New York. Sterling's total cash payment to redeem the preferred shares was approximately $1.85 million.
As a result of the redemption and the conclusion of an exchange offer of 3.75 shares of common stock for each share of preferred stock, Sterling has eliminated approximately $3.25 million in preferred dividend payments per year. Sterling has also issued approximately 1.55 million shares of common stock in conjunction with the exchange offer and now has approximately 8.1 million shares outstanding.
Sterling Software, headquartered in Dallas, specializes in EDI, systems software and in professional services to the U.S. government.
/CONTACT: Betty Feezor of Sterling Software, 214-891-8600/
(SSW) CO: Sterling Software, Inc. ST: Texas IN: CPR SU: FC -- NY072 -- 0288 12/06/91 17:45 EST