- Files Registration Statement
CINCINNATI, March 21 /PRNewswire-FirstCall/ -- Cincinnati Financial Corporation (Nasdaq: CINF) today announced that it has filed a registration statement on Form S-4 with the Securities and Exchange Commission. The company proposes to exchange up to $420 million aggregate principal amount of newly issued 6.92% debentures due 2028 (exchange debentures) for any and all of the company's outstanding 6.9% debentures due 2028 (old debentures). Alternatively, pursuant to the registration statement, the company proposes to repurchase up to $420 million aggregate principal amount of old debentures at a price of $999.03 per $1,000 principal amount, which represents the original price of the old debentures, plus interest. Any holders who do not tender their old debentures in either the exchange offer or the rescission offer will be deemed to have rejected the offers and will continue to hold their old debentures. UBS Securities LLC is acting as dealer manager in connection with the exchange offer and the rescission offer.
The company will not receive any cash proceeds in connection with the exchange and rescission offers. However, the company believes that the exchange and rescission offers extinguish any potential rights that holders of the old debentures may have to seek rescission of the old debentures and/or monetary damages on the basis of uncertainty regarding the company's status under the Investment Company Act of 1940 as of May 26, 1998, the date the old debentures were issued.
A registration statement relating to these securities has been filed by the company with the SEC but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
After the exchange and rescission offers are commenced, a copy of the written prospectus relating to the offers can be obtained from UBS Securities LLC, Attention: Liability Management, 677 Washington Boulevard, Stamford, CT 06901, telephone: (888) 722-9555.
About the Company
Cincinnati Financial Corporation offers property and casualty insurance, its main business, through The Cincinnati Insurance Company, The Cincinnati Indemnity Company and The Cincinnati Casualty Company. The Cincinnati Life Insurance Company markets life and disability income insurance and annuities. CFC Investment Company offers commercial leasing and financing services. CinFin Capital Management Company provides asset management services to institutions, corporations and individuals. For additional information about the company, please visit http://www.cinfin.com .
SOURCE Cincinnati Financial Corporation
/CONTACT: Investors, Heather J. Wietzel, +1-513-870-2768, or Media, Joan
O. Shevchik, +1-513-603-5323, both of Cincinnati Financial Corporation/
/Web Site: http://www.cinfin.com /
(CINF)