This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Liberty Announces Adjustment To 3.125% Senior Exchangeable Debentures Due 2023

Liberty Interactive LLC (“Liberty”), a subsidiary of Liberty Interactive Corporation (NASDAQ: LINTA/LINTB and LVNTA/LVNTB ) announced a cash distribution to the holders of its 3.125% Senior Exchangeable Debentures due in 2023 (the “Debentures”). This distribution is the result of AOL, Inc.’s special dividend of $5.15 per share paid on December 14, 2012.

Each Debenture is exchangeable into a basket of securities consisting of 19.1360 common shares of Time Warner Entertainment (“TWX”), 4.8033 common shares of Time Warner Cable (“TWC”) and 1.7396 common shares of AOL, Inc. (“AOL”).

Pursuant to the indenture governing the Debentures, this distribution is considered an extraordinary distribution of cash. As a result, each Debenture holder will be entitled to receive a cash payment of $8.9589 per bond. The distribution is expected to be made on January 15, 2013 to holders of record on December 31, 2012.

Also pursuant to the indenture, on any date that we pay or make an additional distribution to the holders of the debentures that is attributable to an extraordinary distribution on the reference shares, the original principal amount of each debenture will be reduced by the amount of the additional distribution that is paid or made with respect to that debenture. Thereafter, the adjusted principal amount will be further reduced on each successive semi-annual interest payment date to the extent necessary to cause the semi-annual interest payment on that date to represent the payment by Liberty, in arrears, of an annualized yield of 3.125% of the adjusted principal amount of the debentures. An adjustment for purposes of ensuring that Liberty does not pay an annualized yield of more than 3.125% of the adjusted principal amount of the debentures that is necessary by the payment of an additional distribution to holders of the debentures will take effect on the second succeeding interest payment date after the payment of that distribution. We will issue a press release each time an adjustment is made to the adjusted principal amount of the debentures.
Payment Date    

Beginning AdjustedPrincipal per Bond


Ending AdjustedPrincipal per Bond
1/15/2013     $1000.00     $8.9589     $991.0411

The adjustments described above will not affect the amount of the semi-annual payments received by holders of the debentures, which will continue to be a rate of interest equal to 3.125% per annum of the original principal amount of the debentures.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.02 0.00%
FB $104.07 0.00%
GOOG $683.57 0.00%
TSLA $162.60 0.00%
YHOO $27.97 0.00%


Chart of I:DJI
DOW 16,204.97 -211.61 -1.29%
S&P 500 1,880.05 -35.40 -1.85%
NASDAQ 4,363.1440 -146.4150 -3.25%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs