Ford Announces Termination of Conversion Rights on its $25 Million of 4.25% Senior Convertible Notes Due 2036
DEARBORN, Mich., Dec. 20, 2013 /PRNewswire/ -- Ford Motor Company (NYSE: F) has elected to terminate the conversion rights with respect to its 4.25% Senior Convertible Notes due 2036 (the "Notes"), effective as of the close of business on January 21, 2014, in accordance with the terms of the Notes.
Holders of the Notes may elect to convert their Notes into shares of Ford Common Stock, par value $.01 per share ("Ford Common Stock"), until the close of business on January 21, 2014 at the current conversion rate of 114.0466 shares of Ford Common Stock for each $1,000 principal amount of Notes converted (equivalent to a conversion price of approximately $8.77 per share of Ford Common Stock). All conversions are subject to Ford's right under the Notes to elect to settle such conversions in cash, Ford Common Stock or a combination of cash and Ford Common Stock. Ford intends to settle all conversions in cash.
After the close of business on January 21, 2014, the Notes will no longer be convertible into shares of Ford Common Stock and any holder of the Notes who has not converted such Notes on or before that date will no longer be entitled to convert the Notes into Ford Common Stock.
The Notes were originally issued on December 15, 2006; approximately $25 million aggregate principal amount of the Notes remain outstanding.
About Ford Motor Company
Ford Motor Company, a global automotive industry leader based in Dearborn, Mich., manufactures or distributes automobiles across six continents. With about 180,000 employees and about 65 plants worldwide, the company's automotive brands include Ford and Lincoln. The company provides financial services through Ford Motor Credit Company. For more information regarding Ford's products, please visit www.ford.com.
SOURCE Ford Motor Company