Summary
Chesapeake Energy Corporation (the Company) filed a Form 8-K on November 15, 2005, to report the elimination of shares of its preferred stock. Effective November 14, 2005, the Company filed Certificates of Elimination with the Oklahoma Secretary of State to retire a total of 29,285 shares of its 4.125% Cumulative Convertible Preferred Stock and 365 shares of its 6.00% Cumulative Convertible Preferred Stock. The 4.125% preferred stock shares were acquired through privately negotiated exchange offers where the Company exchanged its common stock for these preferred shares. The 6.00% preferred stock shares were retired due to a conversion by a holder into the Company's common stock. These actions reduce the outstanding preferred stock, which can be viewed positively by common stockholders as it may lead to a more streamlined capital structure and potentially increase earnings per common share over time.
Key Highlights
- 1Chesapeake Energy Corporation filed an 8-K on November 15, 2005.
- 2The filing reports the elimination of 29,285 shares of 4.125% Cumulative Convertible Preferred Stock.
- 3The filing also reports the elimination of 365 shares of 6.00% Cumulative Convertible Preferred Stock.
- 4The 4.125% preferred stock was retired via exchange offers for common stock.
- 5The 6.00% preferred stock was retired due to conversion into common stock by a shareholder.
- 6Certificates of Elimination were filed with the Oklahoma Secretary of State.
- 7Aubrey K. McClendon, Chairman and CEO, signed the report.