Plastipak Holdings tenders for 10¾% notes due 2011

By Jennifer Chiou

New York, Oct. 12 - Plastipak Holdings, Inc. said it launched a cash tender offer for its $325 million 10¾% senior notes due 2011.

The company is also soliciting consents to proposed amendments, which eliminate all restrictive covenants and events of default in the notes' indenture.

The consent deadline is 5 p.m. ET on Oct. 25. The offer expires at midnight ET on Nov. 8, unless extended.

For each $1,000 principal amount of notes, the company will pay an amount based on the present value on the initial payment date of $1,053.75 - the redemption price for the notes on Sept. 1, 2006, the earliest call date - and interest up to the redemption date, discounted using the yield to maturity of the 2 3/8% Treasury due Aug. 31, 2006 and 50 basis points. The amount includes a $30.00 per $1,000 principal amount of notes to those who tender their holdings before the consent deadline.

The offer is conditioned upon consents from a majority of noteholders, execution of the supplemental indenture condition and adequate financing, among other conditions.

Global Bondholder Services Corp. is the information agent (call collect 212 430-3774 or 866 389-1500). Banc of America Securities LLC is dealer manager and solicitation agent (call collect 704 388-9217 or 888 292-0070.

Based in Plymouth, Mich., Plastipak manufactures plastic packaging containers.

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