ELWOOD ENERGY LLC: Extension of Solicitation of Consents and Increase in Consent Payment Relating to the 8.159% Senior Secured Bonds due 2026 (CUSIP No. 290408AB9)

SCHAUMBURG, Ill., Aug. 31, 2017 /PRNewswire/ -- Elwood Energy LLC, the owner of a 1,350 MW gas-fired electric generating facility located in Elwood, Illinois (the "Project") and a wholly-owned subsidiary of J-POWER USA Generation, L.P., announced today that it has extended until 5:00 p.m., New York City time, on September 6, 2017 (the "New Expiration Time"), unless extended or earlier terminated in Elwood Energy LLC's sole discretion, its solicitation of consents (the "Consent Solicitation") from holders of its 8.159% Senior Secured Bonds due 2026 (CUSIP No. 290408AB9) to amend the Indenture for the Bonds. Elwood Energy LLC further announced that it has increased the consent payment for consenting holders who validly deliver and do not revoke their consents prior to the New Expiration Time to an aggregate cash consent payment of $1,500,000 (the "Revised Consent Payment") from a cash payment of $5.00 per $1,000 in amortized principal amount of the Bonds.  The Revised Consent Payment will be paid to the holders of the Bonds, on a pro rata basis, that have validly delivered (and not validly revoked) a properly completed Letter of Consent prior to the New Expiration Time.

Depending on the number of holders of the Bonds who validly deliver (and do not validly revoke) their consent prior to the New Expiration Time, the actual pro rata portion of the Revised Consent Payment received by a consenting holder may result in a "significant modification" of such consenting holder's Bonds for United States federal income tax purposes, potentially resulting in a deemed exchange of such consenting holder's Bonds.  Such a deemed exchange would be a taxable event (unless a non-recognition provision were to apply).  Holders should consult their own tax advisors regarding tax consequences of the Consent Solicitation.

Holders of the Bonds are referred to the Consent Solicitation Statement, dated August 25, 2017, and the related Letter of Consent for the detailed terms and conditions of the Consent Solicitation, all of which remain unchanged except as set forth in this release.

Holders of Bonds who have previously delivered consents do not need to redeliver such consents or take any other action in response to this announcement in order to consent or receive their pro rata portion of the Revised Consent Payment upon the successful conclusion of the Consent Solicitation.

Elwood Energy LLC has engaged MUFG Securities Americas Inc. to act as Solicitation Agent for the Consent Solicitation.  Global Bondholder Services Corporation has been engaged to act as the Information and Tabulation Agent for the Consent Solicitation.  Questions or requests for assistance or additional copies of the Consent Solicitation Statement, the Letter of Consent and related documents may be directed to Global Bondholder Services Corporation at +1 (866) 924-2200 (toll-free) or +1 (212) 430-3774 (for banks and brokers) or at [email protected].  A holder of Bonds may also contact the Solicitation Agent at +1 (212) 405-7481 or +1 (877) 744-4532, or such holder's broker, dealer, commercial bank, trust company or other nominee for assistance concerning the Consent Solicitation.

This press release is for informational purposes only and is not a solicitation of consents.  The Consent Solicitation is only being made pursuant to the Consent Solicitation Statement dated August 25, 2017 and the related Letter of Consent, as modified hereby.  The Consent Solicitation is subject to certain conditions and presents certain risks for the holders, as set forth more fully in the Consent Solicitation Statement.  Elwood Energy LLC retains the rights to waive or modify any term of, or to terminate, the Consent Solicitation for any reason prior to the New Expiration Time.

SOURCE J-Power USA Development Co., Ltd.