DEARBORN, Mich., July 31, 2012 /PRNewswire/ --
- Ford's quarterly dividends totaling $0.15 per share ( 5 cents per share in each of the first three quarters of 2012) on common stock trigger conversion and exercise price adjustments
- Conversion and exercise price adjustments are being made pursuant to the terms of convertible debt securities and warrants
- Adjustments offset dilutive impact of common stock dividends on holders of convertible debt securities and warrants
Ford Motor Company (NYSE: F) announced that, as a result of dividends totaling $0.15 per share ( $0.05 per share in each of the first three quarters of 2012) paid and to be paid on its common stock, par value $0.01 per share ("Ford common stock"), it will adjust the conversion prices for its two outstanding convertible debt securities, which are convertible into Ford common stock, and the exercise price and number of underlying shares with respect to its outstanding warrants to purchase Ford common stock. The adjustments described below will be made in accordance with the terms of the impacted securities and are intended to offset the dilutive impact of such dividend payments on the holders of the convertible debt securities and warrants.
4.25% Senior Convertible Notes Due November 15, 2016
Ford's 4.25% Senior Convertible Notes due November 15, 2016 (the "2016 Notes") (CUSIP Number 345370 CN8) were issued on November 9, 2009 and $882,743,000 aggregate principal amount remains outstanding. Effective August 1, 2012, the initial conversion rate for the 2016 Notes of 107.5269 shares of Ford common stock for each $1,000 in principal amount of the 2016 Notes (equivalent to a conversion price of $9.30 per share of Ford common stock) will be adjusted to 109.3202 shares for each $1,000 in principal amount of 2016 Notes (equivalent to a conversion price of approximately $9.15 per share of Ford common stock).4.25% Senior Convertible Notes Due 2036 Ford's 4.25% Senior Convertible Notes due 2036 (the "2036 Notes") (CUSIP Number 345370 CF5) were issued on December 15, 2006 and $24,996,000 aggregate principal amount remains outstanding. Effective August 6, 2012, the initial conversion rate for the 2036 Notes of 108.6957 shares of Ford common stock for each $1,000 in principal amount of the 2036 Notes (equivalent to a conversion price of $9.20 per share of Ford common stock) will be adjusted to 110.5085 shares for each $1,000 in principal amount of 2036 Notes (equivalent to a conversion price of approximately $9.05 per share of Ford common stock). Warrants to Purchase One Share of Ford Common Stock Ford's Warrants to purchase Ford common stock (NYSE: F WS) (CUSIP Number 345370 134) ("Warrants") were issued on December 11, 2009 and 362,261,527 Warrants remain outstanding. Effective August 6, 2012, (i) the exercise price of $9.20 per share at which each Warrant is exercisable to purchase Ford common stock will be adjusted to $9.05 and (ii) the number of shares for which each Warrant is exercisable will also be adjusted to 1.0167. As a result of these adjustments, effective August 6, 2012, each Warrant will represent the right to purchase 1.0167 shares of Ford common stock at an exercise price of $9.05. 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 168,000 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 . Follow at www.facebook.com/ford , www.twitter.com/ford or www.youtube.com/fordvideo1 SOURCE Ford Motor Company
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV