From May 3 through May 6, 2016, California Resources Corporation (the “Company”) entered into privately negotiated exchange agreements with
certain holders of its 6% Senior Notes due 2024 and its 5 1/2 % Senior Notes due 2021 in reliance on Section 3(a)(9) of the Securities Act of 1933, as
amended. The Company agreed to exchange a total of 20,855,361 shares of its common stock, par value $0.01 per share, for notes in the aggregate principal
amount of $80,000,000. No commission or other remuneration was paid or given for soliciting the exchange.
The deal was completed at $3.83/share. This is what the stock price should be right now.
