Esterline solicits consents for 7¾% notes

By Jennifer Chiou

New York, June 20 - Esterline Technologies Corp. announced the start of a consent solicitation for its 7¾% senior subordinated notes due 2013.

The solicitation will expire at 5 p.m. ET on June 27.

Esterline said it is seeking consents to amend the note indenture to reallocate some of its existing senior secured bank debt to some of its foreign subsidiaries, which are currently not permitted to incur debt without guaranteeing the notes, in order to better match currency funding needs to revenue sources.

The company noted that this amendment would not increase the total amount of debt that Esterline is permitted to incur under the indenture and would conform the provision to the corresponding one in the covenant of Esterline's 6 5/8% senior notes due 2017.

The company said it will pay a consent fee of $3.75 for each $1,000 principal amount of notes.

Esterline added that a holder of about 38% in principal amount of the notes intends to deliver consent to the proposed amendment.

Global Bondholder Services Corp. is the information agent (call collect 212 430-3774 or 866 389-1500). Merrill Lynch & Co. is the solicitation agent (888 654-8637 or call collect 212 449-4914).

The Bellevue, Wash.-based designer and manufacturer of highly engineered products for the defense and aerospace industry said it issued the notes on June 11, 2003.

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