Trans-Lux says exchange more successful than previously announced

New York, May 4 - Trans-Lux Corp. said its exchange offer for its 7½% convertible subordinated notes due 2006 was more successful than it previously reported.

Due to a miscommunication with the Depository Trust Co. which resulted in a withdrawal of $1.158 million of notes being counted twice, the company said the total response announced on April 15 was incorrect.

In fact, the company exchanged $17.868 million of the old notes for new 8¼% limited convertible senior subordinated notes due 2012, not $16.71 million.

As previously announced on March 2, Trans-Lux was offering new 8¼% limited convertible senior subordinated notes due 2012 on a one-for-one basis for the existing securities.

Trans-Lux said the new notes will be senior to the existing convertibles and to its 9½% subordinated notes due 2012 and will have a higher coupon, a longer maturity, a later call date and a lower conversion price compared to the existing notes. The new securities will be convertible through March 1, 2007, later than the maturity of the existing notes. The conversion price is $9.00 per share compared to $14.013 for the old notes.

The company originally set a $15 million upper limit but later removed that restriction.

Trans-Lux, a Norwalk, Conn., maker of electronic information displays, said as part of its original announcement that company directors holding $110,000 of the existing convertibles indicated they will accept the exchange.

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