OVERLAND PARK, Kan.,
March 18, 2011 /PRNewswire/ --
Ferrellgas Partners, L.P. (NYSE: FGP) (the "Company") announced
today that it and its wholly owned subsidiary Ferrellgas Partners
Finance Corp. (together, the "Issuers") will redeem for cash
$98,000,000 aggregate principal
amount of their outstanding 8 5/8% Senior Notes due 2020 (CUSIP No.
315295AE5) (the "Notes"). The redemption date will be
March 28, 2011.
The Issuers will pay a redemption price of $1,086.25 per $1,000 principal amount of the Notes, plus any
accrued and unpaid interest to March 28,
2011.
The Issuers will redeem the Notes with a portion of the net
proceeds received by the Company from its previously announced
underwritten public offering of 4,400,000 common units representing
limited partner interests in the Company, which closed today.
The "equity clawback" provisions of the indenture governing
the Notes allow the Issuers to redeem up to 35% of the Notes
originally issued under the indenture at a redemption price equal
to 108.625% of the aggregate principal amount of the Notes
redeemed, plus accrued and unpaid interest, if any, to the
redemption date, from the proceeds of one or more equity offerings.
The principal amount being reduced represents the maximum
principal amount of Notes that the Issuers are permitted to redeem
under such provisions of the indenture.
A notice of partial redemption is being sent to all currently
registered holders of the Notes by the trustee, U.S. Bank National
Association. Copies of the notice of partial redemption and
additional information relating to the procedure for redemption may
be obtained from U.S. Bank National Association by calling
1-(800)-934-6802 (toll-free). The Notes will be redeemed on a
pro rata basis among all of the outstanding Notes, subject to
adjustment by U.S. Bank National Association pursuant to the terms
of the indenture governing the Notes.
Payment of the redemption price will be made on or after
March 28, 2011 upon presentation and
surrender of the Notes by mail or hand delivery to U.S. Bank
National Association, 100 Wall Street, Suite 1600, New York, New York 10005, Attention: Corporate
Trust Services. Unless the Issuers default in making the
redemption payment, interest on the Notes will cease to accrue on
and after the redemption date and the only remaining right of the
holders thereof is to receive the redemption payment upon surrender
to U.S. Bank National Association of the Notes.
Contact:
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Tom Colvin, Investor Relations,
913-661-1530
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Jim Saladin, Media Relations,
913-661-1833
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SOURCE Ferrellgas Partners, L.P.