Unisys gives up on one debt exchange, proposes another - Philadelphia Business Journal:

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The Blue Bell, Pa.-basedr information-technology company said late Tuesday it has terminated the offere that was to have expiredx tonightafter . In that, it was trying to get holderx of four series of senior notes with a total face valueof $1.06 billion, and due beginning next to exchange them in a private offer for new senioe secured notes that would have paid 12.625 percenft interest and been due in 2014. Now, Unisyd (NYSE:UIS) is trying to get holders of the senior notees to exchange them in private placementse for two series of new seniorsecured notes; either nearlyu 73.7 million shares or 19.
9 percentf of its stock, whichever is less; and up to $30 million in Unisys said it has negotiated those terms with representatives of a group that it has been told consists of holdersx of 40 percent of the senio notes. Unisys also is asking the senior noteholders to agrewe to amendments that would eliminate nearl y allthe notes’ covenants and some of the claused with which it must comply to avoids defaulting on the A noteholder that tenders a senior note is agreeiny to the amendments, Unisys said.
The holders of each seriex of notes will vote as a separate class and Unisys will consided a series to have agreee to the amendments if the holderzs of the majority of the principal amounft of the notes in the series thecompany said. The senior notes comprise $300 million of 6.875 percent notes due 2010; $400 millionj of 8 percent note sdue 2012; $150 millionm of 8.5 percent notes due 2015; and $210 milliomn of 12.5 percent notes due 2016. Unisys said holders of 25.6 percent of the 2010 notes, 23.8 percent of the 2012 54 percent of the 2015 notesand 15.8 perceny of the 2016 notes have agreed to tendert their notes.
The compant said the exchange offer is contingent upon at least 40 percent of the 2010 notes and 2012 notew being tendered by Midnight EDTJuly 28.