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I am not sure I fully understand what happen here for existing shareholders and why the price of the stock jumped so dramatically if the stock will be worthless??? I don't know I just don't understand something?
Existing holders of Owens Corning common stock (which will be cancelled
upon emergence) will receive warrants to purchase 5 percent of the
fully diluted shares of the reorganized company, assuming exercise of
all warrants but ignoring management options, at an exercise price of
$45.25 per share. The warrants can be exercised within seven years of
the effective date.
So if you own the stock you will get options to buy the stock at this set price for 7 years but your existing stock will be wothless?
Bill
Existing holders of Owens Corning common stock (which will be cancelled
upon emergence) will receive warrants to purchase 5 percent of the
fully diluted shares of the reorganized company, assuming exercise of
all warrants but ignoring management options, at an exercise price of
$45.25 per share. The warrants can be exercised within seven years of
the effective date.
So if you own the stock you will get options to buy the stock at this set price for 7 years but your existing stock will be wothless?
Bill
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