Tribune Company today announced the reference yield for its previously announced tender offers for any and all of its outstanding $148 million of 7.25% Debentures due 2013 and $250 million of 6.61% Debentures due 2027.
|CUSIP No.||Security||Maturity Date||Reference U.S. Treasury Security||Reference Yield||Fixed Spread
|Purchase Price per $1,000 principal amount of Debentures|
|887364AA5||2013 Debentures||March 2013||4% due 2/15/14||3.746%||30.0||$1,237.85|
|887364AF4||2027 Debentures||September 2027||5.375% due 2/15/31||4.689%||40.0||$1,206.90|
The prices offered in each tender offer were determined at 11:00 a.m. New York City time today. The price for the 2013 Debentures is based on the yield to maturity of the 4% U.S. Treasury securities due February 2014 plus a fixed spread of 30 basis points. The price for the 2027 Debentures is based on the yield to maturity of the 5.375% U.S. Treasury securities due February 2031 plus a fixed spread of 40 basis points. All payments for Debentures purchased in the offers will include accrued and unpaid interest on the principal amount tendered up to, but not including, the payment date.
The tender offers for the Debentures will expire at 5:00 p.m. New York City time on Monday, March 29, 2004, unless extended or earlier terminated (as that date may be extended or earlier terminated, the “Expiration Time”). No tenders will be valid if submitted after the Expiration Time.
The terms and conditions of the tender offers, including the conditions of Tribune’s obligation to accept the debentures tendered and pay the purchase price for them, are set forth in the Offer to Purchase dated March 18, 2004 and the related Letter of Transmittal. Each tender offer is made with respect to one series of the Debentures and is independent of the other tender offer. Each tender offer, however, is conditioned upon satisfaction of certain conditions described in the Offer to Purchase.
Tribune has retained J.P. Morgan Securities Inc., Banc of America Securities LLC, Citigroup, Merrill Lynch & Co. and Deutsche Bank Securities as Dealer Managers in connection with the tender offers. Questions regarding the tender offer and requests for documents may be directed to J.P. Morgan Securities Inc. at 866/834-4666 (toll free) or Global Bondholder Services Corporation, the Information Agent, at 866/857-2200 (toll free).