PHILADELPHIA, Sept. 11, 2017 /PRNewswire/ -- Pennsylvania
Real Estate Investment Trust (the "Company") (NYSE: PEI) today
announced that it intends to redeem on October 12, 2017 (the "Redemption Date") all of
its 8.25% Series A Cumulative Redeemable Perpetual Preferred Shares
("Series A Preferred Shares") remaining issued and outstanding as
of the Redemption Date. The Series A Preferred Shares will be
redeemed at a redemption price of $25.00 per share, plus an amount equal to all
accrued and unpaid dividends on each Series A Preferred Share
(whether or not declared) from September 15,
2017 to but excluding the Redemption Date.
Dividends on the Series A Preferred Shares will cease to
accrue on the Redemption Date. Upon redemption, the
Series A Preferred Shares will no longer be outstanding, and
all rights of the holders of such shares will terminate, except the
right of the holders to receive the cash payable upon such
redemption, without interest. Upon redemption, the Series A
Preferred Shares will be delisted from trading on the New York
Stock Exchange. Annual preferred share dividend savings are
expected to be approximately $1.58
million on the previous amount outstanding following
redemption of the Series A Preferred Shares.
All of the Series A Preferred Shares are held in book-entry form
through the Depository Trust Company ("DTC"). The Series A
Preferred Shares will be redeemed in accordance with the procedures
of DTC. Payment to DTC for the Series A Preferred Shares will be
made by Wells Fargo Shareowner Services as redemption agent.
The address for the redemption agent is as follows:
Wells Fargo Shareowner Services
1110 Centre Pointe Curve Suite 101
Mendota Heights, MN 55120
Attn: Corporate Actions
About PREIT
PREIT (NYSE:PEI) is a publicly traded real estate investment
trust that owns and manages quality properties in compelling
markets. PREIT's robust portfolio of carefully curated retail and
lifestyle offerings mixed with destination dining and entertainment
experiences are located primarily in the densely-populated eastern
U.S. with concentrations in the mid-Atlantic's top MSAs. Since
2012, the company has driven a transformation guided by an emphasis
on portfolio quality and balance sheet strength driven by
disciplined capital expenditures. Additional information is
available at www.preit.com or on Twitter or LinkedIn.
Forward-Looking Statements
This press release, together with other statements and
information publicly disseminated by us, contain certain
"forward-looking statements" within the meaning of the federal
securities laws. Forward-looking statements relate to expectations,
beliefs, projections, future plans, strategies, anticipated events,
trends and other matters that are not historical facts. When used,
the words "anticipate," "believe," "estimate," "target," "goal,"
"expect," "intend," "may," "plan," "project," "result," "should,"
"will," and similar expressions, which do not relate solely to
historical matters, are intended to identify forward looking
statements. We caution that any forward looking statements
presented are based on management's beliefs and assumptions made
by, and currently available to, management. These forward-looking
statements reflect our current views about future events,
achievements or results and are subject to risks, uncertainties and
changes in circumstances that might cause future events,
achievements or results to differ materially from those expressed
or implied by the forward-looking statements. In particular, our
business might be materially and adversely affected by
uncertainties affecting real estate businesses generally as well as
the following, among other factors: changes in the retail and real
estate industries, including consolidation and store closings,
particularly among anchor tenants; our ability to maintain and
increase property occupancy, sales and rental rates, in light of
the relatively high number of leases that have expired or are
expiring in the next two years; increases in operating costs
that cannot be passed on to tenants; current economic conditions
and the state of employment growth and consumer confidence and
spending, and the corresponding effects on tenant business
performance, prospects, solvency and leasing decisions and on our
cash flows, and the value and potential impairment of our
properties; the effects of online shopping and other uses of
technology on our retail tenants; risks related to our
development and redevelopment activities; acts of violence at
malls, including our properties, or at other similar spaces, and
the potential effect on traffic and sales; our ability to identify
and execute on suitable acquisition opportunities and to integrate
acquired properties into our portfolio; our partnerships and joint
ventures with third parties to acquire or develop properties;
concentration of our properties in the Mid-Atlantic region; changes
in local market conditions, such as the supply of or demand for
retail space, or other competitive factors; changes to our
corporate management team and any resulting modifications to our
business strategies; our ability to sell properties that we seek to
dispose of or our ability to obtain prices we seek; potential
losses on impairment of certain long-lived assets, such as real
estate, or of intangible assets, such as goodwill, including such
losses that we might be required to record in connection with any
dispositions of assets; our substantial debt and liquidation
preference of our preferred shares and our high leverage ratio;
constraining leverage, unencumbered debt yield, interest and
tangible net worth covenants under our principal credit agreements;
our ability to refinance our existing indebtedness when it matures,
on favorable terms or at all; our ability to raise capital,
including through joint ventures or other partnerships, through
sales of properties or interests in properties, through the
issuance of equity or equity-related securities if market
conditions are favorable, or through other actions; our short- and
long-term liquidity position; potential dilution from any capital
raising transactions or other equity issuances; and general
economic, financial and political conditions, including credit and
capital market conditions, changes in interest rates or
unemployment. The risks included here are non-exhaustive, and there
are additional factors that might cause future events, achievements
or results to differ materially from those expressed or implied by
our forward-looking statements, including those discussed in the
section entitled "Risk Factors" in the prospectus supplement, the
accompanying prospectus and the documents incorporated by reference
therein, including our Annual Report on Form 10-K for the year
ended December 31, 2016 and our
Quarterly Reports on Form 10-Q for the quarters ended March 31, 2017 and June
30, 2017. We do not intend to update or revise any
forward-looking statements to reflect new information, future
events or otherwise.
CONTACT:
Robert McCadden
EVP & CFO
(215) 875-0735
Heather Crowell
SVP, Corporate Communications and Investor Relations
(215) 454-1241
heather.crowell@preit.com
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