Summary
Digital Realty Trust, Inc. (DLR) filed an 8-K on June 13, 2011, to disclose adjustments to the exchange rates for its outstanding exchangeable senior debentures and conversion rates for its convertible preferred stock. These adjustments, effective as of June 13, 2011, are being formally communicated to debenture holders via a Notice of Adjustment to Exchange Rate. This filing is primarily a procedural update related to the terms of these financial instruments, rather than a report on new operational or strategic developments. Investors holding these securities should review the specific adjustment details provided in the attached notices (Exhibits 99.1 and 99.2) to understand any changes affecting their conversion or exchange rights.
Key Highlights
- 1Disclosure of adjusted exchange rates for 4.125% Exchangeable Senior Debentures due 2026 and 5.50% Exchangeable Senior Debentures due 2029.
- 2Announcement of adjusted conversion rates for 4.375% Series C Cumulative Convertible Preferred Stock and 5.500% Series D Cumulative Convertible Preferred Stock.
- 3Notices of Adjustment to Exchange Rate to be distributed to holders of the respective debentures.
- 4The adjustments are effective as of June 13, 2011.
- 5This filing is made under Regulation FD Disclosure (Item 7.01) and is furnished, not deemed filed.
- 6The report does not incorporate by reference into other DLR filings.
- 7Includes standard forward-looking statements and risk factors relevant to DLR's business operations.
Frequently Asked Questions
The primary purpose of this 8-K filing is to formally announce and provide notice of adjustments to the exchange rates of Digital Realty Trust's (DLR) operating partnership's outstanding exchangeable senior debentures and the conversion rates of its convertible preferred stock. These adjustments are effective as of June 13, 2011.
The securities affected are: 4.125% Exchangeable Senior Debentures due 2026, 5.50% Exchangeable Senior Debentures due 2029, 4.375% Series C Cumulative Convertible Preferred Stock, and 5.500% Series D Cumulative Convertible Preferred Stock.
As of June 13, 2011, the rates are: 4.375% Series C Convertible Preferred Stock: 0.5350 shares per $25.00 liquidation preference; 5.500% Series D Convertible Preferred Stock: 0.6120 shares per $25.00 liquidation preference; 4.125% Exchangeable Senior Debentures due 2026: 32.2730 shares per $1,000 principal amount; 5.50% Exchangeable Senior Debentures due 2029: 23.9050 shares per $1,000 principal amount.
No, this filing is primarily a disclosure of rate adjustments for existing financial instruments. It does not report on new operational developments, financial performance, or material business events. The attached exhibits are notices to debenture holders regarding these rate changes.