(The Associated Press distributed the following on May 8.)
KANSAS CITY, Mo. — Kansas City Southern said Thursday that its subsidiary has begun a cash tender offer for $200 million of 9.5 percent senior notes due 2008 and a consent solicitation to amend the notes.
The cash tender offer is being made by Kansas City Southern’s primary U.S. holding, the Kansas City Southern Railway Co.
Unless extended, the solicitation of consents will expire on May 21 and the tender offer will expire on June 5.
Kansas City Southern said the total consideration also includes a consent payment of $30 per $1,000 of notes tendered. The consent payment is payable to holders that tender their notes and give their consents before the deadline.
The company has retained Morgan Stanley and Banc of America Securities as dealer managers and solicitation agents for the tender offer and consent solicitation.