Company Website:
http://www.libertymedia.com
ENGLEWOOD, Colo. -- (Business Wire)
Liberty Media Corporation ("Liberty") (Nasdaq: LMCA, LMCB and LMCK),
announced today an adjustment to the conversion rate of its 1.375% Cash
Convertible Senior Notes due 2023 (the "Cash Convertible Notes"). The
new conversion rate is 15.7760 shares of LMCA per $1,000 principal
amount of Cash Convertible Notes, up from the initial conversion rate of
5.5882 shares of LMCA. Liberty is adjusting the conversion rate due to
the payment today of the previously-announced stock dividend of two
shares of its non-voting Series C common stock for each share of LMCA
and LMCB. The stock dividend was paid to holders of record of LMCA and
LMCB as of 5:00 p.m., E.D.T., on July 7, 2014, the record date for the
stock dividend.
As previously announced, the Series C common stock traded on a
when-issued basis on the Nasdaq Global Select Market under the symbol
“LMCKV” during the period commencing on July 8, 2014 and ending on July
23, 2014. The Series C common stock will begin regular way trading
tomorrow, which is the ex-dividend date for the stock dividend, under
the symbol “LMCK” on the Nasdaq Global Select Market.
The adjustment to the conversion rate was made pursuant to section
12.04(c) of the indenture for the Cash Convertible Notes, which applies
to stock dividends made by Liberty to holders of LMCA in shares of its
capital stock other than LMCA. In accordance with section 12.04(c),
Liberty has adjusted the conversion rate for the Cash Convertible Notes
due to the stock dividend pursuant to the following formula:
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CR = CR0 x
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SP0 |
where
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SP0 - FMV
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CR = the new conversion rate in effect immediately after the open of
business on the ex-dividend date for the stock dividend (15.7760 shares).
CR0 = the conversion rate in effect immediately prior to the
open of business on the ex-dividend date for the dividend (5.5882
shares).
SP0 = the average of the last reported sale prices of shares
of LMCA over the ten consecutive trading day period ending on, and
including, the trading day immediately preceding the ex-dividend date
for the dividend ($139.5960).
FMV = the fair market value (as determined by Liberty’s board of
directors) of the shares of LMCK as of the open of business on the
ex-dividend date for the dividend.
Liberty’s board of directors determined “FMV” for purpose of the
foregoing formula based on the average of the last reported sale prices
of shares of LMCK in the when-issued trading market, over the same
period as that used to determine “SP0” -- the ten consecutive
trading day period ending on, and including, the trading day immediately
preceding the ex-dividend date for the stock dividend ($90.1480).
The adjusted conversion rate of 15.7760 is effective immediately prior
to the opening of business on July 24, 2014.
About Liberty Media Corporation
Liberty Media Corporation owns interests in a broad range of media,
communications and entertainment businesses, including its subsidiaries
Sirius XM Holdings, Inc., Atlanta National League Baseball Club, Inc.
and TruePosition, Inc., its interests in Charter Communications and Live
Nation, and minority equity investments in Time Warner Inc., Time Warner
Cable, and Viacom.
Contacts:
Liberty Media
Courtnee Ulrich, 720-875-5420
Source: Liberty Media Corporation
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