AutoNation extends, ups payment on 9% '08 note consent solicitation,

AutoNation, Inc. said on Thursday (Nov. 7) that it had extended its previously announced solicitation of consents to proposed indenture changes from the holders of its 9% senior notes due 2008, and had raised the consent payment it was offering.

AutoNation said the solicitation was extended to 5 p.m. ET on Friday (Nov. 8) from the original expiration deadline on Wednesday (Nov. 6). It also said the consent payment would be raised to $20 per $1,000 principal amount of notes tendered (the company did not publicly specify what the consent payment would be in its original announcement).

It said that holders who had already delivered their consents would NOT be required to deliver any further documentation in order to receive the increased consent payment.

Banc of America Securities LLC (call 888 292-0070 toll-free or 704 388-4813 collect) is the lead solicitation agent, with J.P. Morgan Securities and Wachovia Securities serving as co-solicitation agent. Innisfree M&A Inc. (noteholders call toll-free at 888-750- 5834, banks and brokers call collect at 212 750-5833) is serving as Information Agent in connection with the consent solicitation. Wells Fargo Bank Minnesota, NA is serving as tabulation agent.

AS PREVIOUSLY ANNOUNCED, AutoNation, a Fort Lauderdale, Fla.-based retailer of new and used vehicles - the largest in the U.S. - said on Oct. 24 that it had begun soliciting consents to the proposed indenture changes from the holders of record (as of Oct. 23) of its $450 million of 9% notes. The company said that the amendment would increase by $400 million the company's capacity to make restricted payments under the terms of the indenture, including payments for the repurchase of AutoNation's common stock.

AutoNation said the consent solicitation would expire at 5 p.m. ET on Nov. 6 (it was subsequently extended). The solicitation would be subject to the receipt of consents from holders of at least a majority of the outstanding notes and other customary conditions.

Banco Santander Chile mounts exchange offer for 7% '07 notes

Banco Santander Chile said in a preliminary prospectus filed with the Securities and Exchange Commission on Monday (Nov. 4) that it would offer to exchange a combination of $300 million new subordinated notes due 2012, plus cash for all of the existing $300 million of 7% subordinated notes due 2007 issued by its corporate predecessor, Banco Santiago.

Banco Santander, a Santiago, Chile-based financial institution, did not announce a coupon for the planned new notes; instead, it said the price and interest-rate determination for the new notes, based on the relevant benchmark treasury yields, would take place at 4 p.m. ET two business days before the scheduled expiration of the exchange offer. The bank also did not announce an expiration date for its offer. It said that it expected to deliver the new notes to the holders of the existing notes who participate in the exchange offer on the third business day following the expiration date.

Banco Santander will offer $1,000 principal amount of the new notes plus an as-yet unspecified sum of cash per $1,000 principal amount of the old notes. It said it was undertaking the exchange offer extend the maturity of the old notes from 2007 to 2012, thus allowing it to extend the time that the subordinated debt represented by the old notes will qualify under Chilean banking regulations as part of the company's required regulatory capital.

The exchange offer is not conditioned upon a minimum number of old notes being tendered.

J.P, Morgan Securities will be the lead dealer manager for the exchange offer, with Santander Central Hispano as co-dealer manager. D.F. King & Co. Is the information agent.

Satelites Mexicanos launches 10 1/8% '04 notes consent solicitation

Satelites Mexicanos, SA de CV said on Monday (Nov. 4) that it had launched a solicitation among the holders of its 10 1/8% senior notes due 2004, seeking the consent of the holders of a majority of the notes to amending the insurance covenant contained in the notes' indenture. It concurrently launched a solicitation seeking a waiver from the majority of the holders of its senior secured floating rate notes due 2004 of a covenant in those notes' indenture.

Both the consent solicitation and the waiver solicitation will expire at 5 p.m. ET on Nov. 25, subject to possible extension of one or both solicitations.

UBS Warburg LLC ( holders in the U.S. contact Raffaele Cimmino toll-free at 888 722-9555, extension 8035 or David Knutson at extension 1575; holders outside the U.S. should call Raffaele Cimmino collect at 203 719-8035 or call David Knutson collect at 203 719-1575) is acting as solicitation agent for both the consent solicitation and the waiver solicitation. D.F. King & Co., Inc. (call Edward McCarthy toll-free at 800 714-3305 or collect at 212 493-6952) is the information agent for both solicitations.

AS PREVIOUSLY ANNOUNCED, Satelites Mexicanos, a Mexico City-based satellite broadcasting and telecommunications operator - popularly known as Satmex- said on Friday (Nov. 1) that it was planning to launch a consent solicitation on Monday (Nov. 4) seeking the consent of the holders of a majority of its 10 1/8% senior notes due 2004 to a proposed change in the notes' indenture. The company wants to amend the insurance covenant contained in the indenture governing the notes so that it will make the insurance requirements under that indenture conform to insurance coverage currently available on commercially reasonable terms in the space insurance market.

Satmex also said that concurrently with the consent solicitation, it intends to launch a solicitation seeking a waiver from the majority of the holders of its senior secured floating-rate notes due 2004 of the covenant in the indenture governing the floating-rate notes that currently restricts Satmex's ability to amend the insurance covenant in the 10 1/8% notes' indenture. As a condition to the amendment, Satmex will also need to obtain a waiver from the majority of the lenders under its revolving credit facility.

The company expressed confidence that it will receive the requisite consents.

It gave no further information about the planned consent and waiver solicitation ahead of the formal announcement of the consent bid on Monday.

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