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Icahn Acts to Neutralize Scare Tactics of CIT Group; Announces Tender Offer for Smaller Holders.

Publication: Telecommunications Weekly
Publication Date: 11-NOV-09
Format: Online
Delivery: Immediate Online Access

Article Excerpt
Carl C. Icahn announced that he is providing downside protection for smaller CIT Group noteholders if they are willing to support him in his opposition to the company's pre-packaged bankruptcy plan. The protection will take the form of a 30 day tender offer at 60% of par value. Through this offer, Mr. Icahn will essentially provide a free put option to small noteholders, assuring them a floor price in the event the notes trade lower, while allowing them to benefit...

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