Oct. 5, 2009 (PR Newswire) --
RED BANK, N.J., Oct. 5 /PRNewswire-FirstCall/ -- Hovnanian Enterprises, Inc. (NYSE: HOV) (the "Company") announced today that in connection with the previously announced tender offers and consent solicitations (the "Tender Offers" and "Consent Solicitations") by its wholly owned subsidiary, K. Hovnanian Enterprises, Inc. ("K. Hovnanian"), the early tender period in respect of each of the Tender Offers expired at 5:00 p.m., New York City time, on October 2, 2009 (the "Early Tender Date"). Holders of notes listed below ("Notes") who validly tendered and did not validly withdraw their Notes on or prior to the Early Tender Date, will, if their Notes are accepted for purchase, be entitled to receive the applicable total consideration, which includes an early tender consideration of $50 for each $1,000 principal amount of Notes validly tendered on or before the Early Tender Date and accepted in the applicable Tender Offer.
The following table shows the amount of Notes validly tendered and not validly withdrawn, by series, at the Early Tender Date:
Title of Outstanding Principal Amount Percentage of Acceptance
Security Principal Tendered as of Outstanding Priority
Amount(1) Early Tender Notes Level
Date Tendered
--------- ----------- ---------------- ------------- ----------
Secured Notes
-------------
11-1/2% Senior
Secured Notes
due 2013 $600,000,000 $589,227,000 98.2% N/A
18% Senior
Secured Notes
due 2017 $29,299,000 $17,597,000 60.1% N/A
Unsecured Notes
---------------
8% Senior Notes
due 2012 $43,500,000 $7,826,000 18.0% 1
6-1/2% Senior
Notes due 2014 $144,000,000 $60,206,000 41.8% 2
6-3/8% Senior
Notes due 2014 $114,300,000 $26,054,000 22.8% 3
6-1/4% Senior
Notes due 2015 $129,300,000 $36,632,000 28.3% 4
7-1/2% Senior
Notes due 2016 $172,500,000 $64,523,000 37.4% 5
6-1/4% Senior
Notes due 2016 $173,200,000 $75,129,000 43.4% 6
(1) As of July 31, 2009.
As previously announced, K. Hovnanian will, subject to satisfaction of the Tender Offer conditions, purchase for cash (i) any and all of its outstanding 2013 Secured Notes (the "2013 Secured Notes") (the "2013 Secured Notes Tender Offer") and (ii) any and all of its outstanding 2017 Secured Notes (the "2017 Secured Notes" and, together with the 2013 Secured Notes, the "Secured Notes") (the "2017 Secured Notes Tender Offer" and, together with the 2013 Secured Notes Tender Offer, the "Secured Notes Tender Offers"), and will purchase 8% Senior Notes due 2012, 6-1/2% Senior Notes due 2014, 6-3/8% Senior Notes due 2014, 6-1/4% Senior Notes due 2015, 7-1/2% Senior Notes due 2016 and 6-1/4% Senior Notes due 2016 (collectively, the "Unsecured Notes"), based on the acceptance priority levels shown in the table above, up to an amount that will require K. Hovnanian to spend the maximum aggregate payment amount (the "Maximum Payment Amount") of $100.0 million (the "Unsecured Notes Tender Offer," as amended by the Supplement described below).
K.
