2013-02-13 14:35:02 -
New York, NY - February 13, 2013 - The Interpublic Group of Companies, Inc.
(NYSE: IPG) today announced that it is exercising its option to redeem all
4.75% Convertible Senior Notes due 2023 (the "Notes") (CUSIP Numbers 460690 BD1
and 460690 BE9), of which an aggregate principal amount of $200.0 million is
outstanding. The redemption date will be March 15, 2013. As had been
announced previously, IPG plans to apply a portion of the proceeds of its debt
issued in November 2012 towards the redemption price.
The redemption price is equal to $1,000 per $1,000 principal amount of the
Notes, plus accrued and unpaid interest up to, but excluding, the redemption
date. Interest will cease to accrue on and after the redemption date.
As a result of Interpublic's exercise of
its redemption option, holders of the
Notes may convert their Notes into shares of Interpublic common stock at any
time at a conversion rate of 84.3402 common shares per $1,000 principal amount
of Notes through March 14, 2013. All holders wishing to convert notes must
comply with the procedures of The Depository Trust Company (DTC), including with
respect to deadlines. A holder that elects to convert into shares of
Interpublic common stock will not receive any accrued interest since the most
recent interest payment date on September 15, 2012. The Notes are convertible
into approximately 16.9 million shares of IPG common stock, which, unless
holders exercise their conversion rights, will be eliminated from Interpublic's
eligible diluted share count upon redemption.
Interpublic is scheduled to announce full year and fourth quarter 2012 results
on February 22, 2013.
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About Interpublic
Interpublic is one of the world's leading organizations of advertising agencies
and marketing services companies. Major global brands include Draftfcb,
FutureBrand, GolinHarris International, Huge, Initiative, Jack Morton Worldwide,
Lowe and Partners, MAGNAGLOBAL, McCann, Momentum, MRM Worldwide, Octagon, R/GA,
UM and Weber Shandwick. Leading domestic brands include Campbell Ewald;
Campbell Mithun; Carmichael Lynch; Deutsch, a Lowe and Partners Company; Gotham
Inc.; Hill Holliday; ID Media; Mullen and The Martin Agency. For more
information, please visit www.interpublic.com.
# # #
Contact Information
Tom Cunningham
(Press)
(212) 704-1326
Jerry Leshne
(Analysts, Investors)
(212) 704-1439
# # #
Cautionary Statement
This release contains forward-looking statements. Statements in this release
that are not historical facts, including statements about management's beliefs
and expectations, constitute forward-looking statements. These statements are
based on current plans, estimates and projections, and are subject to change
based on a number of factors, including those outlined under Item 1A, Risk
Factors, in our most recent Annual Report on Form 10-K. Forward-looking
statements speak only as of the date they are made, and we undertake no
obligation to update publicly any of them in light of new information or future
events.
Forward-looking statements involve inherent risks and uncertainties. A number
of important factors could cause actual results to differ materially from those
contained in any forward-looking statement. Such factors include, but are not
limited to, the following:
* potential effects of a challenging economy, for example, on the demand for
our advertising and marketing services, on our clients' financial condition
and on our business or financial condition;
* our ability to attract new clients and retain existing clients;
* our ability to retain and attract key employees;
* risks associated with assumptions we make in connection with our critical
accounting estimates, including changes in assumptions associated with any
effects of a weakened economy;
* potential adverse effects if we are required to recognize impairment charges
or other adverse accounting-related developments;
* risks associated with the effects of global, national and regional economic
and political conditions, including counterparty risks and fluctuations in
economic growth rates, interest rates and currency exchange rates; and
* developments from changes in the regulatory and legal environment for
advertising and marketing and communications services companies around the
world.
Investors should carefully consider these factors and the additional risk
factors outlined in more detail under Item 1A, Risk Factors, in our most recent
Annual Report on Form 10-K and other SEC filings.
# # #
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: INTERPUBLIC GROUP OF COMPANIES, INC. via Thomson Reuters ONE
[HUG#1677645]