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ION Media Networks (ION) to Issue Minority Consideration in Exchange Offer and Extends Exchange Offer and Consent Solicitation

July 16, 2007 8:47 AM EDT
ION Media Networks, Inc. (AMEX: ION) announced that since less than 50% of the outstanding shares of each of its 13 1/4% Cumulative Junior Exchangeable Preferred Stock and 9 3/4% Series A Convertible Preferred Stock was tendered into the exchange offer and consent solicitation ] that the Company launched on June 8, 2007, holders will receive the following consideration in the Exchange Offer.

For each tendered share of 14 1/4% Preferred Stock, the holder will receive $7,500 principal amount of 11% Series A Mandatorily Convertible Senior Subordinated Notes due 2013 (the "Series A Notes") and $500 initial liquidation preference of 12% Series B Mandatorily Convertible Preferred Stock (the "Series B Convertible Preferred Stock"), which will rank junior to any unexchanged Senior Preferred Stock; and
For each tendered share of 9 3/4% Preferred Stock, the holder will receive $4,500 principal amount of Series A Notes and $500 initial liquidation preference of Series B Convertible Preferred Stock.

The Company has extended the Exchange Offer, which will now expire at 12:00 midnight, New York City time, at the end of the day on Friday, July 27, 2007

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