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

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The Blue Bell, Pa.-based information-technology compan said late Tuesday it has terminated the offer that was to have expiref tonightafter . In that, it was tryinfg to get holders of four series of seniorf notes with a total face valuedof $1.06 billion, and due beginninbg next year, to exchangee them in a private offer for new senior secured notese that would have paid 12.625 percent interest and been due in 2014. Now, Unisyx (NYSE:UIS) is trying to get holders of the senior note to exchange them in private placements for two seriesd of new seniorsecureed notes; either nearly 73.7 million shares or 19.9 percent of its whichever is less; and up to $30 million in cash.
Unisyes said it has negotiated thosed terms with representatives of a groulp that it has been told consistsd of holders of 40 percent of theseniofr notes. Unisys also is asking the seniof noteholders to agree to amendmentws that would eliminate nearly allthe notes’ covenants and some of the clausesz with which it must complyh to avoid defaulting on the notes. A noteholded that tenders a senior note is agreeing to the Unisys said. The holders of each series of notes will vote as a separate class and Unisys will considedr a series to have agreed to the amendments if the holdersw of the majority of the principal amount of the notes in the series agree, the company said.
The senior notes compriswe $300 million of 6.875 percent notes due 2010; $400 millio n of 8 percent notesdue $150 million of 8.5 percent notes due and $210 million of 12.5 percenr notes due 2016. Unisys said holders of 25.6 percent of the 2010 23.8 percent of the 2012 54 percent of the 2015 notesand 15.8 percent of the 2016 notez have agreed to tender their notes. The company said the exchang offer is contingent upon at least 40 percenrt of the 2010 notesx and 2012 notes being tendered by Midnight EDTJuly 28.