The convertible notes to be redeemed, with principal amount of $57.5 million, are due to mature on April 15, 2013 and are convertible into 14,332,002 shares of common stock, subject to certain adjustments. Upon redemption of the notes, Rentech, Inc. will have no material outstanding debt obligations, but those of Rentech Nitrogen Partners, L.P. will continue to appear on the Company’s consolidated balance sheets.Disclosure Regarding Non-GAAP Financial Measures Management believes that including the Company’s pro forma unconsolidated cash balance will provide investors with additional information regarding the Company’s liquidity. A reconciliation of the Company’s unconsolidated cash balance as of September 30, 2012 to its pro forma cash balance after giving effect to the payment of the special dividend, redemption of convertible debt, and receipt of the cash distribution from Rentech Nitrogen Partners on November 14 th is below.
|Rentech, Inc.’s Pro Forma Unconsolidated Cash Balance Reconciliation (excludes Rentech Nitrogen Partners’ cash balance)|
|($ in millions)|
|September 30, 2012 Actual Unconsolidated Cash Balance||$||183.0|
|Redemption of Convertible Notes (including accrued interest)||(58.0||)|
|Cash Distribution from Rentech Nitrogen on November 14, 2012||19.8|
|Pro Forma September 30, 2012 Unconsolidated Cash Balance||$||102.6|