Tribune Company, As Agent of and Successor By Merger to the Former the Times Mirror Company, Itself and its Consolidated Subsidiaries - Page 108

                                        - 72 -                                        
               directors of the corporation or holders of Common Stock                
               would otherwise have any other duties (including                       
               fiduciary duties) or obligations to the holders of the                 
               Preferred Stock, either at law or in equity, such                      
               duties and obligations are waived.                                     
          The Mechanics of the Bender Transaction                                     
               The mechanics of the Bender transaction are set forth below.           
          All of the events described in this section occurred on July 31,            
          1998, in accordance with detailed instructions prepared by GD&C.            
               A.  Capitalization of MergerSub and MB Parent                          
               As the first step in the capitalization of MergerSub,                  
          MergerSub borrowed $600 million from the Luxembourg branch of               
          Elsevier, S.A., an affiliate of Reed.  The Luxembourg branch of             
          Elsevier, S.A., transferred the $600 million to a bank account              
          that MergerSub maintained at Citibank (MergerSub Citibank                   
          account).                                                                   
               In addition to MergerSub’s borrowing $600 million from the             
          Luxembourg branch of Elsevier, S.A., REUS and REBV contributed              
          $616,562,500 and $158,437,500, respectively, to MergerSub.  REUS            
          and REBV transferred their respective contributions to MergerSub            
          to the MergerSub Citibank account.                                          
               After making their respective contributions to MergerSub,              
          REUS and REBV owned all of the issued and outstanding common                
          stock of MergerSub, all of the voting preferred stock of                    
          MergerSub, and all of the participating preferred stock of                  
          MergerSub.                                                                  






Page:  Previous  62  63  64  65  66  67  68  69  70  71  72  73  74  75  76  77  78  79  80  81  Next

Last modified: May 25, 2011