Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - CIENA CORP | w80224e8vk.htm |
| EX-4.1 - EX-4.1 - CIENA CORP | w80224exv4w1.htm |
Exhibit 99.1
| Press Contact: | Nicole Anderson | |||
| Ciena Corporation | ||||
| (877) 857-7377 | ||||
| pr@ciena.com | ||||
| Investor Contact: | Gregg Lampf | |||
| Ciena Corporation | ||||
| (888) 243-6223 | ||||
| ir@ciena.com |
FOR IMMEDIATE RELEASE
Ciena Completes Sale of $350 Million in 3.75% Convertible Senior Notes Due 2018
LINTHICUM, Md. — October 18, 2010 — Ciena® Corporation (NASDAQ: CIEN) today
announced the successful closing of its offering of $350 million aggregate principal amount of
Convertible Senior Notes due 2018 (the “Notes”) sold to qualified institutional buyers pursuant to
Rule 144A under the Securities Act of 1933, as amended. Ciena initially offered $320 million in
principal amount of Notes through the initial purchasers, and the initial purchasers exercised in
full an over-allotment option to purchase an additional $30 million in Notes. The Notes are Ciena’s
senior unsecured obligations and rank equally with all of Ciena’s other existing and future senior
unsecured debt. The Notes bear interest at the rate of 3.75% per annum from the date of issuance,
payable semi-annually on April 15 and October 15, commencing on April 15, 2011. The Notes will
mature on October 15, 2018.
The Notes may be converted prior to maturity (unless earlier repurchased) at the option of the
holder into shares of Ciena common stock at the initial conversion rate of 49.5872 shares of Ciena
common stock per $1,000 in principal amount of Notes, which is equal to an initial conversion price
of approximately $20.17 per share and represents a 32.5% conversion premium over the closing price
of Ciena common stock of $15.22 on October 12, 2010.
Ciena will use approximately $76.2 million of the net proceeds of this offering to repurchase, in
privately negotiated transactions, approximately $81.8 million in aggregate principal amount of its
0.25% Convertible Senior Notes due May 1, 2013. Ciena intends to use the remainder of the net
proceeds of this offering for general corporate purposes, which may include the repayment at
maturity or further repurchase, from time to time, of its outstanding 0.25% Convertible Senior
Notes due May 1, 2013.
This communication does not constitute an offer to sell or the solicitation of an offer to buy any
securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which
such offer, solicitation or sale would be unlawful. The Notes and the shares of Ciena common stock
issuable upon conversion of the Notes will not be registered under the Securities Act, or the
securities laws of any other jurisdiction, and may not be offered or sold in the United States absent registration under the Securities Act or
an applicable exemption from registration requirements.
###
Note to Ciena Investors
Forward Looking Statements: This press release contains certain forward-looking statements
based on current expectations, forecasts and assumptions that involve risks and uncertainties.
These statements are based on information available to the Company as of the date hereof; and
Ciena’s actual results could differ materially from those stated or implied, due to risks and
uncertainties associated with its business, which include the risk factors disclosed in its
Quarterly Report on Form 10-Q, which Ciena filed with the Securities and Exchange Commission on
September 8, 2010. Forward-looking statements include statements regarding Ciena’s expectations,
beliefs, intentions or strategies regarding the future and can be identified by forward-looking
words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,”
“will,” and “would” or similar words. Ciena assumes no obligation to update the information
included in this press release, whether as a result of new information, future events or otherwise.