Goodyear offers debt exchange

ERJ staff report (R&PN)

Akron, Ohio -- Goodyear has initiated an offer to exchange any and all of its $650 million (around Euro 467 million) in aggregate principal amount of 7.857 percent notes due in 2011 for a new series of 8.75 percent notes due in 2020.

Goodyear is asking the holders of the old notes to amend the terms of the loan.

For each $1000 principal amount of old notes validly tendered and accepted for exchange--and for which related consents are delivered--holders will receive $1080 in principal amount of new notes, as well as a cash payment equal to the accrued and unpaid interest on their old notes from the last applicable interest payment date up to but excluding the date on which the exchange of old notes accepted for exchange is settled.

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Goodyear offers debt exchange from Rubber & Plastics News (A Crain publication)