Dean Foods to redeem a further $200 million convertibles

New York, April 22 - Dean Foods Co. said it will redeem a further $200 million of its 5½% Trust Issued Preferred Equity Securities (Tipes).

The Dallas food and beverage company will redeem the convertibles on May 22 at $51.0315 per security.

Holders can convert the Tipes into stock up to 4.00 p.m. ET on May 21. The securities convert into 1.278 shares of common stock. Dean Foods stock closed at $43.40 Tuesday.

Dean Foods said it will fund cash redemptions using cash flow from operations and borrowings under its credit facility.

Dean Foods previously announced on March 17 the redemption of $100 million of the Tipes on April 17. On Tuesday, the company said 99% of that first tranche was converted into stock.

When the redemption of the second tranche is complete $300 million of the Tipes will remain outstanding.

Hilton Hotels to redeem 5% convertibles

New York, April 22, Hilton Hotels Corp. said it will redeem its outstanding 5% convertible subordinated notes due 2006 on May 22.

The Beverly Hills, Calif. company will use proceeds from its recent sale of $500 million 3.375% convertible senior notes due 2023 to redeem the 5% convertibles.

The trustee and paying agent is BNY Western Trust Co. (Cristina Garchitorena at 213 630 6271).

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