Arconic Inc. (“Arconic” or the “Company”) (NYSE: ARNC) announced today
that all its outstanding 5.375% Class B Mandatory Convertible Preferred
Stock, Series 1, par value $1.00 per share (“Class B preferred stock”),
will automatically convert into shares of Arconic common stock at a rate
of 15.6996 common shares per share of Class B preferred stock, with
deemed effect on October 1, 2017, the mandatory conversion date.
On October 2, 2017, the first business day following the mandatory
conversion date, holders of the depositary shares (NYSE: ARNC.PB), each
representing one-tenth (1/10th) interest in one share of the
Class B preferred stock, will receive 1.56996 Arconic common shares for
each depositary share. Cash will be paid in lieu of fractional common
shares. No action by holders of the depositary shares is required in
connection with the conversion. As of September 27, 2017, there were
24,977,625 depositary shares outstanding; 22,375 depositary shares were
previously tendered for early conversion into 29,269 shares of Arconic
common stock.
The conversion of the remaining outstanding Class B preferred stock will
result in the issuance of approximately 39.2 million shares of Arconic
common stock on October 2, 2017 (assuming no further early conversions).
As of July 28, 2017, Arconic had 441,030,999 shares of common stock
issued and outstanding.
Arconic previously announced that Arconic’s Board of Directors declared
a dividend on July 24, 2017 of $6.71875 per share of the Class B
preferred stock (or $0.671875 per depositary share), payable on October
1, 2017 to holders of record as of September 15, 2017. This dividend
payment will be made in the customary manner.
Upon conversion, the Class B preferred stock and depositary shares will
no longer be outstanding and all rights with respect to the Class B
preferred stock and depositary shares will cease and terminate, except
the right to receive the number of whole common shares issuable upon
conversion of the Class B preferred stock and any required cash-in-lieu
of fractional shares. Upon conversion, the depositary shares will be
delisted from trading on the New York Stock Exchange.
About Arconic
Arconic (NYSE: ARNC) creates breakthrough products that shape
industries. Working in close partnership with our customers, we solve
complex engineering challenges to transform the way we fly, drive, build
and power. Through the ingenuity of our people and cutting-edge advanced
manufacturing techniques, we deliver these products at a quality and
efficiency that ensure customer success and shareholder value. For more
information: www.arconic.com.
Follow @arconic: Twitter,
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and YouTube.
Dissemination of Company Information
Arconic intends to make future announcements regarding Company
developments and financial performance through its website at www.arconic.com.
Arconic Inc.
Investor Contact:
Patricia Figueroa, 212-836-2758
Patricia.Figueroa@arconic.com
or
Media Contact:
Shona Sabnis, 212-836-2626
Shona.Sabnis@arconic.com