HOUSTON, Nov. 30 /PRNewswire-FirstCall/ -- EGL, Inc. (Nasdaq: EAGL)
announced today that it has called for redemption on December 20, 2004 all of
its outstanding 5% convertible subordinated notes due December 15, 2006 (the
"Notes"). There are $100 million in aggregate principal amount of Notes
currently outstanding.
Holders will have their Notes redeemed at a redemption price of 101.25% of
principal outstanding, plus additional interest accrued thereon to, but not
including, the redemption date. Alternatively, until the close of business on
December 17, 2004, Holders of the Notes may convert their Notes into shares of
EGL, Inc. common stock, par value $0.001 per share, at a conversion price of
$17.43 per share, or 57.3608 shares of EGL, Inc. common stock per
$1,000 principal amount of the Notes. On November 30, 2004, the closing price
of EGL, Inc.'s common stock on the Nasdaq Stock Market's national market was
$33.74 per share. Notice of redemption is being mailed to all registered
Holders of the Notes.
For all Notes not converted into shares of EGL, Inc. common stock, the
Company expects to fund the redemption with borrowings under the Company's
$150 million, unsecured revolving credit facility.
Houston-based EGL, Inc. operates under the name EGL Eagle Global
Logistics. EGL is a leading global transportation, supply chain management
and information services company dedicated to providing superior flexibility
and fewer shipping restrictions on a price competitive basis. With 2003
revenues exceeding $2.17 billion, EGL's services include air and ocean freight
forwarding, customs brokerage, local pickup and delivery service, materials
management, warehousing, trade facilitation and procurement, and integrated
logistics and supply chain management services. The Company's shares are
traded on the NASDAQ National Market under the symbol "EAGL".
FORWARDING LOOKING STATEMENTS
The statements in this press release regarding the Company's intentions to
redeem the Company's 5% convertible subordinated notes, the Company's ability
to fund such redemption, and other statements which are not historical facts,
are forward looking statements. Such statements involve risks and
uncertainties, including, but not limited to, general economic conditions,
changes in the market price of the Company's shares, the Company's cash needs,
and other factors detailed in the company's most recent Form 10-K, and other
filings with the Securities and Exchange Commission. Should one or more of
these risks or uncertainties materialize (or the consequences of such a
development worsen), or should underlying assumptions prove incorrect, actual
outcomes may vary materially from those forecasted or expected. The Company
disclaims any intention or obligation to update publicly or revise such
statements.
SOURCE EGL, Inc.
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Related links:
http://www.eaglegl.com
CONTACT:
Elijio Serrano, Chief Financial Officer of
EGL, Inc., +1-281-618-3665
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