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SWIFT ENERGY COMPANY NEWSSWIFT ENERGY TO REDEEM CONVERTIBLE SUBORDINATED NOTES DUE 2006HOUSTON, December 11, 2000 - Swift Energy Company (NYSE, PCX: SFY) announced that today it is mailing Notices of Redemption and Expiration of Conversion Privileges to all remaining holders of its outstanding 6¼% Convertible Subordinated Notes due 2006 (the "Notes"). Each holder has until December 22, 2000, to convert the Notes into shares of common stock at the conversion price or allow redemption to occur on December 26, 2000, at the redemption price, including accrued interest, of $1,044.6181 per $1,000 principal amount of Notes. The Company reported that holders of approximately 40% of the Notes have already converted or have agreed to convert their Notes into shares of common stock of the Company. These Notes, in the amount of $46.5 million, have been or will be exchanged for approximately 1.47 million shares of Swift common stock. The remaining $68.5 million of the Notes that remain outstanding are subject to this redemption offer. The Notes were originally issued in November 1996 for $115 million and have a current conversion price of $31.5341 per common share. The additional shares issued or to be issued upon conversion of Notes have been accounted for in the Company's historical financial disclosures prepared on a diluted basis. The Company also announced that it had doubled its available borrowing base under its revolving credit facility from $100 million to $200 million. This revolving credit facility is provided by a group of eight leading energy banks. Currently, there are no outstanding amounts under this line of credit. Terry Swift, President of Swift Energy Company, stated, "We believe that now is the right time to call these Notes for redemption and that a significant portion, if not all, of the Notes will be converted into shares of common stock. As noted in recent press releases, we have had significant success with our domestic drilling activities as well as with the delineation of our Rimu discovery in New Zealand. We look forward to favorable developments in the future on both of these fronts. Additionally, we are seeing extraordinary developments in the natural gas markets that foretell a continued favorable environment for our industry. We expect to complete this year with record revenues, earnings and cash flow, and the conversion of this debt into equity will allow us to enter the new year with enhanced financial flexibility, sharply reduced debt, a lower level of cash interest expense and a considerable increase in shareholders' equity." Swift Energy Company is an independent oil and gas company engaged in the exploration, development, acquisition and operation of oil and gas properties, with a focus on U.S. onshore natural gas reserves as well as onshore oil and natural gas reserves in New Zealand. Founded in 1979 with headquarters in Houston, Texas, the Company has achieved outstanding growth rates in proved oil and gas reserves, production, and cash flow over the last five years through a disciplined program of acquisitions and drilling, while maintaining a strong financial position.
By Mail or Delivery: This material includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The opinions, forecasts, projections, or other statements contained herein other than statements of historical fact, are forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Certain risks and uncertainties inherent in the Company's business are set forth in the Company's filings with the Securities and Exchange Commission. Future performance is dependent upon oil and gas prices, exploratory and development drilling results, engineering and geologic information and changes in market conditions. 16825 Northchase Drive, Suite 400, Houston, Texas 77060
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This page was last updated on Monday, January 10, 2005, at 08:18:43 AM. Copyright © 1994-2008 by Swift Energy Company. |
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