RESTON, Va., Dec. 26 /PRNewswire-FirstCall/ -- SLM Corporation (NYSE:
SLM), commonly known as Sallie Mae, today announced that it is commencing
concurrent public offerings of common stock and mandatory convertible
preferred stock to raise a total of $2.5 billion of capital. The company
intends to apply approximately $2.0 billion of the net proceeds from the
proposed offerings to physically settle its outstanding equity forward
purchase contract, pursuant to which it will effect the repurchase of
44,039,890 shares of common stock deliverable to Sallie Mae under the
contract. The dilutive impact of the two offerings will be partially offset
by the physical settlement of the outstanding equity forward purchase
contract. Any proceeds remaining after such settlement will be used for
general corporate purposes.
(Logo: http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a )
UBS Investment Bank and Citi will serve as joint book-running managers
for the offerings, which include the issuance of $1.5 billion of common
stock and $1.0 billion of mandatory convertible preferred stock, series C.
Copies of the prospectus supplements relating to the proposed offerings may
be obtained by contacting UBS Investment Bank or Citi as follows:
UBS Investment Bank
Prospectus Department
299 Park Avenue
New York, N.Y. 10171
888/827-7275
Citi
Brooklyn Army Terminal
140 58th Street
8th Floor
Brooklyn, N.Y. 11220
718/765-6732
Shelf registration statements relating to the shares of common stock
and the shares of mandatory convertible preferred stock have previously
been filed with, and have been declared effective by, the Securities and
Exchange Commission. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale of
these securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful prior to the registration or qualification under the
securities laws of any such jurisdiction. Any offer will be made only by
means of a prospectus, including a prospectus supplement, forming a part of
the related effective registration statements.
This press release contains "forward-looking statements" including
expectations as to future market share, the success of preferred channel
originations and future results. These statements are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act of
1995. Because such statements inherently involve risks and uncertainties,
actual results may differ materially from those expressed or implied by
such forward-looking statements. Such risks include, among others, changes
in the terms of student loans and the educational credit marketplace
arising from the implementation of applicable laws and regulations, and
from changes in such laws and regulations, adverse results in legal
disputes, changes in the demand for educational financing or in financing
preferences of educational institutions, students and their families, and
changes in the general interest rate environment. For more information, see
the company's filings with the Securities and Exchange Commission,
including the preliminary prospects supplements relating to the proposed
offerings. All information in this release is as of Dec. 26, 2007. The
Company does not undertake any obligation to update or revise these forward
looking statements to conform the statement to actual results or changes in
the Company's expectations.
SLM Corporation (NYSE: SLM), commonly known as Sallie Mae, is the
nation's leading provider of saving- and paying-for-college programs. The
company manages $160 billion in education loans and serves nearly 10
million student and parent customers. Through its Upromise affiliates, the
company also manages $19 billion in 529 college-savings plans, and 8
million members have joined Upromise to help save for college with rewards
on purchases at nearly 70,000 places. Sallie Mae and its subsidiaries offer
debt management services as well as business and technical products to a
range of business clients, including higher education institutions, student
loan guarantors and state and federal agencies. More information is
available at http://www.salliemae.com. SLM Corporation and its subsidiaries are
not sponsored by or agencies of the United States of America.
SOURCE Sallie Mae
 back to top
Related links:
http://www.salliemae.com
Photo Notes:
NewsCom: http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, photodesk@prnewswire.com
http://www.prnewswire.com/comp/827187.html /
CONTACT:
Media, Tom Joyce, +1-703-984-5610, or
Investors, Steve McGarry, +1-703-984-6746, both of Sallie Mae
|
