Scottish Re Group Ltd (fka SKRRF)

[Enterprising Investor]

SKRUF liquidation value is $120.2 million.

Total equity is $68.9 million. Once the liquidation value of SKRUF is less than total equity, SKRRF will have book value.

[cdaniel394]

EI, am I analyzing this correctly. I am assuming the mezzanine equity at 150 million shares added to the current 68.4 million outstanding equaling 218.4 million shares.(correct?) With current equity of around 68 million or so, is not the book value of SKRRF about $31.5 cents per share?? I know I'm probably looking at this completely wrong. Thanks for all of your work to help the less savvy of us.

[Enterprising Investor]

SKRRF equity is currently $68.9 million.

Please note that equity includes a $120.2 million in SKRUF at $25 par. It will take a combination of $51.3 million of income and repurchasing of SKRUF at a discount to make SKRRF equity equal to zero.

The "right side" continues to be valued at a $651.3 million discount. A SKRUF tender offer at, for example, $10, would create about $72 million in equity. If I were the CFO, I would recommend against a tender and suggest open-market purchases.

[see iBox]

[Enterprising Investor]

Mezzanine Equity in the "fast forward" mode.

I previously prepared pro forma balance sheets to show the impact of the ME conversion as if it occurred earlier than 5/07/16. I just completed one for 2Q 2010.

Upon conversion, $555.9 million moves from ME to Ordinary Shares and Additional Paid-in Capital for 150 million shares. The conversion propels the $120.2 million (was $125 million) in Non-Cumulative Perpetual Preferred to a more senior position. SKRRF would have 218.4 million shares outstanding. Shareholders's equity would now be $504.6 million on a pro forma basis (compared to $68.9 million per the report). Book value per share would be $2.31. There is some risk that the conversion value could change prior to the mandatory conversion date.

Please note that the ME has a liquidation preference of $737 million ($600 million par value plus $137 million in accrued and unpaid dividends).

[see iBox]

[insomniac]

H Man Where are you ? Down the cape? I suspect Chatam (sp) How come you never gave us a qtrly estimate..? You were as close as could be last qtr..

[genlou]

insomniac, my understanding of a balance sheet is limited. Enterprising investors pointed out, the equity account is in the black.He posted he will add more information about SKRRF, I believe today.

[insomniac]

What is the present
Book Value of Skrrfy??? Thanks in Advance

[genlou]

Enterprising Investors,thanks for responding to my questions.Also,for pointing out the equity account is in the black.I was not sure because my understanding of balance sheets are very limited.I was not sure if the equity applied only SKRUF.

[Enterprising Investor]

Anytime before Friday may have been better!

Seriously, I do not remember ever telling anyone not to buy shares. I prepared the information to update the iBox after last quarter's result, but apparently the information was never saved correctly. I will get this done and more within the next 12 hours or so.

The equity account is now in the black at $68.9 million for shareholders and $77.2 million in total when including the non-controlling interest. It may only take one more quarter to have enough equity to cover redemption ($120.2 million) on a theoretical basis. I could be wrong, but it could be close.

Management made one mistake in my mind - the tender offer for SKRUF should have been enhanced from $5.00 to $7.50 at a minimum. We will see how SKRUF reacts going forward to the good news.

[genlou]

Enterprising Investor, is it a good time to purchase more shares.How do the company look to you now?" The equity deficit should be eliminated within the next six months based on current run rates."

[genlou]

Enterprising investor, Your thoughts on quarterly report,please.

[genlou]

Earnings report.

[insomniac]

Any Guesstimates on the upcoming earnings???? They should be out no later than 9,7. Does anyone think the book value will be positive????

[Enterprising Investor]

SALIC announces Stingray Tender Offer results.

Holders of $24.7 million aggregate stated amount of Pass-Through Certificates tendered their Pass-Through Certificates and SALIC accepted for purchase all such Tendered Pass-Through Certificates. Settlement of the Tendered Pass-Through Certificates is expected to occur on 8/04/10.

http://www.snl.com/irweblinkx/file.aspx?IID=4021224&FID=9917743

It appears that the entire issue has now been reacquired.

There were $80.2 million outstanding with non-affiliated investors as of 3/31/10. The privately negotiated transactions detailed in the most recent 10-Q totaled $55.5 million.

[cdaniel394]

Hang the bastards, but does this have any effect on current SKRRF common shareholders?

[Stock]

74. The Wylys Secretly Sold Millions of Issuer Securities in Large Blocks Offshore Through the use offtaudulent registration statements and fraudulent Forms 144 and 144(k), the Wylys were able to sell millions oflssuer Securities held in their Offshore System; generating profits in excess of$465 million. Such sales-none of which were disclosed in a Wyly Fonn 4 filing-included:

a. 733,000 Michaels shares (through four Offshore Companies) over a 3month period between May 18 and August 13, 1992;

b. 227,000 Michaels shares (through three Offshore Companies) over a 5-week period between September 30 and November 4, 1992;

c. 532,000 Sterling Software shares (fuough three Offshore Companies) over a 6-week period between November 4 and December 14, 1992;

d. Over 400,000 Sterling Software shares (through six Offshore Compames) over a2-week period between January 11 and January 25, 1996;

e. Over 2.5 million Sterling Software shares (through nine Offshore Companies) over a 3-month period between March 1 and June 6,1996;

f. Over 650,000 Sterling Commerce shares (through three Offshore Companies) over 3-week period between June 11 and July 3, 1997;

g. 1.2 million Michaels shares (through two Offshore Companies) over a 2-week period between June 16 and July 1, 1997;

h. 600,000 Michaels shares (through two Offshore Companies) over an 8-week period between October 22 and December 15, 1997;

i. 1 million Sterling Software shares (through seven Offshore Companies) overa 2~week period between March 17 and March 28, 1998;

j. Just under 2million Sterling Commerce shares (through a total of nine offshore entities) over a 2 1/2-month period between March 20 and June 8,1998;

k. 400,000 Sterling Commerce shares (through two Offshore Companies) over a I-month period between December 1 and December 31,1998;

l. 942,000 Sterling Software shares and over 660,000 Sterling Commerce shares (through three Offshore Companies) over 2 days on February 8-9, 1999;

m. Over 600,000 Michaels shares (through a single Offshore Company) over a 4-week period between January 11 and February 7, 2000;

n. 270,000 shares of Scottish Re (through two Offshore Companies) oyer a 2-week period between May 30, and June 11,2001;

o. Over 1.3 million Michaels shares (through five Offshore Companies) over a 2-month period between September 6 and November 9, 2001; and

p. 709,220 shares of Scottish Re (through two offshore entities) over a 2 week period between December 14 and 24, 2001.

[Stock]

49. The Wylys' 13D filing delinquencies as to Scottish Re went unaddressed until December 26, 2006-when the Wylys filed a 13D amendment acknowledging that they "may be deemed" to have been greater-than-5% holders ofScottish Re, and that this never-before-reported status had continued through late October2004. The Wylys have never addressed their 13D filing delinquencies with respect to their prior holdings in either Sterling Software or Sterling Commerce.

[Stock]

In June 1998 and October 1998, before Scottish Re's initial public offering, two Offshore Trusts and two Offshore Companies entered into multipte private transactions with Scottish Re through which they ultimately acquired 1.65 million Class A warrants and 937,220 common shares of Scottish Re.

[Stock]

Wyly Brothers Face SEC Fraud Charges

JULY 30, 2010
By FAWN JOHNSON

http://online.wsj.com/article/SB10001424052748703578104575397753590693916.html?mod=WSJ_business_whatsNews

The Securities and Exchange Commission on Thursday filed charges against two brothers, accusing them of reaping more than $550 million in undisclosed gains by trading stock in four companies through hidden entities in foreign jurisdictions.

The SEC said Samuel Wyly and Charles Wyly Jr. of Dallas set up a system of trusts and subsidiary companies in the Isle of Man and the Cayman Islands and that they sold more than $750 million of stock in four public companies for which they were corporate directors.

The SEC also charged their attorney Michael French and stockbroker Louis Schaufele III for their alleged roles in the scheme.

Mr. French was on the board of directors at three of the companies.

Attorneys for the Wyly brothers and Mr. French weren't immediately available for comment. A lawyer for Mr. Schaufele declined to comment

The public companies cited were Michaels Stores Inc., Sterling Software Inc., Sterling Commerce Inc. and Scottish Annuity & Life Holdings Ltd. (now known as Scottish Re Group Ltd.), the SEC said.

Representatives for the companies couldn't be immediately reached for comment.

The Wylys and Mr. French systematically and falsely created the impression that the Wylys' entire holdings and trading were limited to the fraction that they held and traded domestically, the SEC said.

The SEC complaint said the Wylys exploited their alleged illegal nondisclosure of their offshore-issuer securities to make a huge, bullish transaction in Sterling Software in October 1999 based on material and nonpublic information that they — while serving as the company chairman and vice chairman — had jointly decided to sell the company.

"The cloak of secrecy has been lifted from the complex web of foreign structures used by the Wylys to evade the securities laws," said Lorin Reisner, deputy director of the SEC's Division of Enforcement.

More

SEC Press Release on the Charges
http://www.sec.gov/news/press/2010/2010-137.htm

From the Archives
How Tax Shelters Brought Trouble to Billionaire Clan (7/31/06)
http://online.wsj.com/article/SB115430855868921885.html

Write to Fawn Johnson at [e-mail]

http://online.wsj.com/article/SB10001424052748703578104575397753590693916.html?mod=WSJ_business_whatsNews

[insomniac]

Well I couldnt get any feed back from the peanut gallery, so I stepped in and bought a little SKRUF back.. The soap opera continues,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

[genlou]

Is the News today good News?

[genlou]

HAMILTON, Bermuda--(BUSINESS WIRE)-- Scottish Annuity & Life Insurance Company (Cayman) Ltd. (the "Company"), a wholly owned subsidiary of Scottish Re Group Limited (Pink Sheets: SKRRF), has commenced a cash tender offer for any and all of the outstanding 5.902% Collateral Facility Certificates (the "Pass-Through Certificates") of the Stingray Pass-Through Trust (the "Pass-Through Trust").

The tender offer is being made pursuant to the Offer to Purchase, dated July 7, 2010 (as it may be amended and supplemented from time to time, the “Offer to Purchase”) and the related Letter of Transmittal, dated July 7, 2010 (as it may be amended and supplemented from time to time, the “Letter of Transmittal” and, together with the Offer to Purchase, the “Offer”), which set forth the full details of the terms and conditions of the Offer.

The Company recently entered into privately negotiated transactions for the purchase of approximately $55.5 million aggregate stated amount of Pass-Through Certificates, from certain third party institutional holders (the “Privately Negotiated Stingray Transactions”). In connection with the Privately Negotiated Stingray Transactions, the sellers of the Pass-Through Certificates provided the requisite consents to amend certain transaction documents related to the Pass-Through Certificates. The amendments, among other things, allowed the interest rate swap related to the Pass-Through Trust (the “Interest Rate Swap”) to be terminated. The Interest Rate Swap was terminated on July 2, 2010 and resulted in a termination payment of $39,187,000 by the swap counterparty to the Pass-Through Trust. Such swap termination payment was calculated based upon the value of the swap as of its termination date, and will be distributed, pro rata, to holders of Pass-Through Certificates as of June 30, 2010, on the next distribution date, which is expected to occur on July 12, 2010. The repurchases of the Pass-Through Certificates in the Privately Negotiated Stingray Transactions are expected to settle with the respective sellers on July 7, 2010 and July 13, 2010 and are at the same price as in the Offer.

The amendments also eliminate a covenant in the transaction documents prohibiting the sale by the Company of all or substantially all of its assets without the acquiring entity assuming the obligations of the Company.

UBS Securities LLC will serve as Dealer Manager for the Offer. Persons with questions regarding the Offer should contact UBS Securities LLC, toll-free at [phone]. Requests for documents may be directed to D.F. King & Co., Inc., the Information Agent, at [phone] or [phone].

This press release is neither an offer to purchase nor a solicitation of an offer to sell the Pass-Through Certificates or any other security. The Offer is made only by the Offer to Purchase and the related Letter of Transmittal. The Offer is not being made to security holders in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. In any jurisdiction in which the Offer is required to be made by a licensed broker or dealer, it shall be deemed to be made by the Dealer Manager on behalf of the Company.

About Scottish Re

Scottish Re Group Limited is a global life reinsurance specialist. Scottish Re has operating businesses in Bermuda, Ireland and the United States. Its operating subsidiaries include Scottish Annuity & Life Insurance Company (Cayman) Ltd., Scottish Re (Dublin) Limited and Scottish

[insomniac]

Does anyone think that SKRUF should be bought???? Im considering buying back the shares I sold..I am out of my element when it comes to distressed preferreds.... Thanks in Advance

[Enterprising Investor]

Only $3.8 million of value was created.

Non-event in my mind.

[cdaniel394]

With the ending of the $5.00 offering on the preferred's. Does this offering end up being a non-event or really helps toward cleaning up the balance sheet? Thanks

[mlkrborn]

Scottish Re Group Limited Announces Expiration of Tender Offer and Acceptance of 193,917 of its Non-Cumulative Perpetual Preferred Shares
Last update: 6/24/2010 8:46:00 AM
HAMILTON, Bermuda, Jun 24, 2010 (BUSINESS WIRE) -- Scottish Re Group Limited (Pink Sheets:SKRRF) (the "Company") announced today that the tender offer made by the Company pursuant to an Offer to Purchase, dated May 7, 2010 (as the same was subsequently amended and supplemented on June 8, 2010, the "Offer to Purchase"), and the related Letter of Transmittal, dated May 7, 2010 (together with the Offer to Purchase, the "Offer"), expired at 5:00 p.m., New York City time, June 23, 2010 pursuant to the terms of the Offer. The Offer had been made to purchase for cash any and all of the outstanding Non-Cumulative Perpetual Preferred Shares, liquidation preference of $25 per share (collectively, the "Perpetual Preferred Shares").
The Company received the requisite authorization at its Annual General Meeting of Shareholders held on June 22, 2010, in Hamilton, Bermuda, of the manner of purchase by the Company of any and all of the Perpetual Preferred Shares tendered for repurchase pursuant to the Offer.
In connection with the Offer, holders of 193,917 Perpetual Preferred Shares, with an aggregate liquidation preference of $4,847,925, tendered their Perpetual Preferred Shares (the "Tendered Perpetual Preferred Shares") and the Company accepted for purchase all such Tendered Perpetual Preferred Shares. Settlement of the Tendered Perpetual Preferred Shares is expected to occur on June 28, 2010.
Following settlement and subsequent cancellation of the Tendered Perpetual Preferred Shares, there will remain outstanding 4,806,083 Perpetual Preferred Shares, with an aggregate liquidation preference of $120,152,075.
About Scottish Re
Scottish Re Group Limited is a global life reinsurance specialist. Scottish Re has operating businesses in Bermuda, Ireland and the United States. Its flagship operating subsidiaries include Scottish Annuity & Life Insurance Company (Cayman) Ltd., Scottish Re (Dublin) Limited and Scottish Re (U.S.), Inc. Additional information about Scottish Re Group Limited can be obtained from its Web site, .
SOURCE: Scottish Re Group Limited

Scottish Re Media and Investor Contact Dan Roth, Chief Financial Officer, 441-298-4373

[genlou]

LERT (SYMBOL: SKRRF)
Scottish Re Group Limited Announces Expiration of Tender Offer and Acceptance of 193,917 of its Non-Cumulative Perpetual Preferred Shares

By BusinessWire
6/24/2010 8:46:00 AM

[mlkrborn]

Press Release Source: Scottish Re Group Limited On Monday June 7, 2010, 7:23 pm EDT

HAMILTON, Bermuda--(BUSINESS WIRE)--Scottish Re Group Limited (Pink Sheets:SKRRF - News) ("Scottish Re" or the "Company"), announced today that it has posted to its website the Company’s consolidated unaudited financial statements for the three month period ended March 31, 2010. For the three month period ended March 31, 2010, Scottish Re reported net income attributable to ordinary shareholders of $99.5 million, or $0.46 per diluted ordinary share, as compared to net income attributable to ordinary shareholders of $1,661.6 million, or $7.61 per diluted ordinary share, for the prior year period.

The net income attributable to ordinary shareholders for the three month period ended March, 31, 2010 was primarily driven by $83 million of net realized and unrealized gains in the Company’s invested assets and a $36 million income tax benefit resulting principally from the Company’s release of a liability following the reconsideration of an uncertain tax position.

The net income attributable to ordinary shareholders for the three month period ended March 31, 2009 was primarily driven by a $642 million gain associated with the sale to Hannover Ruckversicherung AG of a block of individual life reinsurance business and a $1,150 million gain generated by the de-consolidation of Ballantyne Re plc from the Company’s consolidated financial statements.

To view the financial statement documents go to Scottish Re's website at www.scottishre.com.

About Scottish Re

Scottish Re Group Limited is a global life reinsurance specialist. Scottish Re has operating businesses in Bermuda, Ireland and the United States. Its flagship operating subsidiaries include Scottish Annuity & Life Insurance Company (Cayman) Ltd., Scottish Re (Dublin) Limited and Scottish Re (U.S.), Inc. Additional information about Scottish Re Group Limited can be obtained from its website, www.scottishre.com.

[mlkrborn]

SKRRF IS 026 NOW! JULY earning reports posted on its web site
finally digested and moving it up it seems:

[cdaniel394]

309,000 in volume already.

[cdaniel394]

Holy Cow, whats happening for the spike!

[cdaniel394]

Sorry, didn't have my calendar with me. No other comments or guesses about the offer,

[bwana12]

Wrong, it ends Wednesday.

[cdaniel394]

The preferred's offer extension ends Friday. What is the feeling out there on them? Do the perpetual preferred's offer actually end on Friday? Or, do the perpetual preferred's get perpetually extended.

[cdaniel394]

Shares seem tight today. No cheapies being sold!

[g2nec]

Gettin jiggy, hedge been fishing for cheapies for a long time

[cdaniel394]

Which is better for the common shareholder.
Which is better for the common shareholder.
1. Preferred's being tendered at $5.00?
2. Preferred's being tendered nearer par value?

[insomniac]

5 to 1 downside volume today.. Im surprised it isnt down even more..Someone knows something.

[steveross]

what is going on here? ...common moved up to 0.165 then down to 0.125 --- understood it's little money, but what gives? I was of the belief that this would go over .25 heading to $1.50-$2.00 level... maybe it's just wishful thinking however the B.V. is about $3.

[ItsMyOption]

Got my proxy statement for vote. What should we vote for?

1A ELECTION OF DIRECTOR: JAMES BUTLER
For For Against Abstain

1B ELECTION OF DIRECTOR: MICHAEL ROLLINGS
For For Against Abstain

02 TO APPROVE THE MANNER OF PURCHASE BY SCOTTISH RE GROUP LIMITED OF ANY AND ALL OF ITS NON-CUMULATIVE PERPETUAL PREFERRED SHARES TENDERED FOR REPURCHASE ON THE TERMS OF THE OFFER TO PURCHASE, DATED MAY 7, 2010 (AS AMENDED BY THE SUPPLEMENT TO THE OFFER TO PURCHASE, DATED JUNE 8, 2010), AND ACCOMPANYING LETTER OF TRANSMITTAL, ALL AS MORE FULLY DESCRIBED IN THE PROXY STATEMENT.
For For Against Abstain

03 TO RATIFY THE APPOINTMENT OF ERNST & YOUNG LLP AS SCOTTISH RE GROUP LIMITED'S INDEPENDENT AUDITORS FOR 2010.

[cdaniel394]

Looks as though someone wants the commons. A slow accumulation going on.

[insomniac]

Why would anyone tender there SKRUF at 5 bucks when you could merely sell it in the mkt for $7.50. Theres gotta be some sort of collusion going on here..

[g2nec]

Looks a lil jiggy today, about time

[Enterprising Investor]

I anticipated further securities gains.

My analysis has been focused on asset and liability management and seizing opportunities around it. At some point, market value increases in the securties portfolio will slow. There are still "right side" opportunities. The tender offer for SKRUF was one, but the amount was too light to be successful.

Operationally, SKRRF could continue to lose money or break even. Interest income and gains will have to make up the difference.

[eom7]

That was quicker than you were expecting???

[Enterprising Investor]

SKRRF shareholders' deficit is only $4.436 million.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=49731854

[Enterprising Investor]

SKRRF 1Q results

Company Release - 06/07/2010 19:23

HAMILTON, Bermuda--(BUSINESS WIRE)-- Scottish Re Group Limited (Pink Sheets:SKRRF) ("Scottish Re" or the "Company"), announced today that it has posted to its website the Company’s consolidated unaudited financial statements for the three month period ended March 31, 2010. For the three month period ended March 31, 2010, Scottish Re reported net income attributable to ordinary shareholders of $99.5 million, or $0.46 per diluted ordinary share, as compared to net income attributable to ordinary shareholders of $1,661.6 million, or $7.61 per diluted ordinary share, for the prior year period.

The net income attributable to ordinary shareholders for the three month period ended March, 31, 2010 was primarily driven by $83 million of net realized and unrealized gains in the Company’s invested assets and a $36 million income tax benefit resulting principally from the Company’s release of a liability following the reconsideration of an uncertain tax position.

The net income attributable to ordinary shareholders for the three month period ended March 31, 2009 was primarily driven by a $642 million gain associated with the sale to Hannover Ruckversicherung AG of a block of individual life reinsurance business and a $1,150 million gain generated by the de-consolidation of Ballantyne Re plc from the Company’s consolidated financial statements.

To view the financial statement documents go to Scottish Re's website at www.scottishre.com.

About Scottish Re

Scottish Re Group Limited is a global life reinsurance specialist. Scottish Re has operating businesses in Bermuda, Ireland and the United States. Its flagship operating subsidiaries include Scottish Annuity & Life Insurance Company (Cayman) Ltd., Scottish Re (Dublin) Limited and Scottish Re (U.S.), Inc. Additional information about Scottish Re Group Limited can be obtained from its website, www.scottishre.com.




Source: Scottish Re Group Limited


Contact:
Scottish Re

Media and Investor Contact:

Dan Roth, Chief Financial Officer, 441-298-4373

[genlou]

Scottish Re Posts to its Web Site First Quarter 2010 Financial Statements

[cdaniel394]

You're right! Only 196,000 or so tendered. Q1 numbers to be posted later today.

[cdaniel394]

NEWS!

HAMILTON, Bermuda--(BUSINESS WIRE)--Scottish Re Group Limited (“Scottish Re” or the “Company”) (Pink Sheets: SKRRF - News) announced today that the expiration date of its previously announced cash tender offer for any and all of its outstanding Non-Cumulative Perpetual Preferred Shares, liquidation preference $25 per share (collectively, the “Perpetual Preferred Shares”), for a purchase price of $5.00 per share, has been extended to 5:00 p.m., New York City time, on June 23, 2010 (the “Expiration Date”). The Company plans to distribute a supplement to the Offer to Purchase (as defined below) to specifically incorporate by reference the unaudited Consolidated Financial Statements of Scottish Re Group Limited at and for the three-month period ended March 31, 2010 (and notes thereto). The Company expects these financial statements to be posted later today to the Company’s Web site at www.scottishre.com. In addition, the supplement will add as conditions to the Offer to Purchase (a) the approval by ordinary resolution of the holders of at least a majority of the shares entitled to vote at the Company’s upcoming Annual General Meeting (to be held prior to the Expiration Date) of the manner of purchase by the Company of any and all of the Perpetual Preferred Shares tendered pursuant to the Offer (as defined below), and (b) to the extent the Board of Directors of the Company believes that purchases of tendered Perpetual Preferred Shares pursuant to the Offer would cause one or more persons to own 10% or more of the outstanding Perpetual Preferred Shares following such purchase, the Company will reduce the number of Perpetual Preferred Shares purchased pursuant to the Offer on a pro rata basis among tendered Perpetual Preferred Shares to the extent necessary to prevent such persons from owning such 10% or greater amount.

As of 5:00 p.m., New York City time, on June 4, 2010, the Company had received valid tenders of approximately 193,606 Perpetual Preferred Shares.

The tender offer is being made pursuant to the Offer to Purchase, dated May 7, 2010 (as amended by the supplement referred to above when issued, and as it may be further amended and supplemented from time to time the “Offer to Purchase”), and the related Letter of Transmittal, dated May 7, 2010 (as it may be amended and supplemented from time to time, the “Letter of Transmittal” and, together with the Offer to Purchase, the “Offer”), which set forth the full details of the terms and conditions of the Offer. Except for the extension of the Expiration Date and the amendments to be described in the supplement referred to above, all of the other terms and conditions of the Offer to Purchase and Letter of Transmittal will remain unchanged.

BofA Merrill Lynch is serving as Dealer Manager for the Offer. Brokers and other persons with questions regarding the Offer are encouraged to contact BofA Merrill Lynch at [phone] or toll-free at [phone]. Requests for documents may be directed to D.F. King & Co., the Information Agent, at [phone] or [phone].

This press release is neither an offer to purchase nor a solicitation of an offer to sell the Perpetual Preferred Shares or any other security. The Offer is made only by the Offer to Purchase and the Letter of Transmittal. The Offer is not being made to security holders in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. In any jurisdiction in which the Offer is required to be made by a licensed broker or dealer, it shall be deemed to be made by the Dealer Manager on behalf of the Company.