Family Memorials gets OK to extend 15% convertibles, skip coupon

By Susanna Moon

Chicago, Dec. 14 – Family Memorials Inc. said it obtained the needed 66 2/3% holder approval to amend its 15% convertible secured debentures.

As a result, Family Memorials will no longer be required to pay the interest due Dec. 15, according to a company announcement.

The amendments also allow pushing out the notes’ maturity to March 31, 2017 from Dec. 15 and deferring interest accrued beginning June 16 until maturity.

The consents were received in writing for the convertibles indenture dated July 7, 2011, as amended Oct. 31, 2013 and as further amended June 10.

As announced June 14, the company received written consent from more than the required two-thirds majority of the holders to amend the terms of its 10% convertible secured debentures.

The amendments extended the maturity of the convertibles by six months to Dec. 15, 2016 from June 15, increased the coupon to 15% beginning June 16 and removed the requirement for the company, upon redemption of the debentures, to pay a premium of 5%.

The Thunder Bay, Ont., company sells granite monuments for placement on individual cemetery lots.

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