8-KRegulation FDExhibits & Filings

LAM RESEARCH CORP 8-K Report, Regulation FD Disclosure (Jun 15, 2016)

Filed June 15, 2016For Securities:LRCX

Summary

Lam Research Corporation (LRCX) has filed a Form 8-K on June 15, 2016, to disclose important information regarding adjustments to the conversion rates of its outstanding convertible senior notes. Specifically, the company issued notices to holders of its 1.25% Convertible Senior Notes due 2018 and its 2.625% Senior Convertible Notes due 2041 regarding these rate adjustments. These adjustments, made pursuant to the respective indentures, could have implications for investors holding these notes. The change in conversion rate might affect the effective price at which noteholders can convert their debt into company stock, potentially impacting their investment strategy and the overall value of their holdings. Investors should carefully review the specific terms outlined in the notices attached as exhibits to understand the precise nature and impact of these adjustments.

Key Highlights

  • 1Lam Research issued notices regarding adjustments to the conversion rates of its 1.25% Convertible Senior Notes due 2018.
  • 2Lam Research also issued notices regarding adjustments to the conversion rates of its 2.625% Senior Convertible Notes due 2041.
  • 3The adjustments are made in accordance with the terms of the respective indentures governing these notes.
  • 4The 2018 Notes are governed by an indenture dated May 11, 2011.
  • 5The 2041 Notes were originally issued by Novellus Systems, Inc. and are governed by an indenture dated May 10, 2011.
  • 6The company is providing this information under Regulation FD Disclosure.
  • 7The provided information is furnished and not deemed 'filed' for purposes of Section 18 of the Exchange Act.

Frequently Asked Questions

The main purpose of this 8-K filing is to formally notify holders of Lam Research's 1.25% Convertible Senior Notes due 2018 and 2.625% Senior Convertible Notes due 2041 about adjustments to their respective conversion rates, as required by the terms of the notes' indentures.

Conversion rates of convertible notes can be adjusted for various reasons outlined in the indenture, such as stock splits, stock dividends, special dividends, or other significant corporate events. These adjustments are designed to protect the value of the conversion option for noteholders or to reflect changes in the company's capital structure.

An adjustment to the conversion rate can affect the number of shares an investor receives when converting their notes into stock, or the effective price per share. Depending on the nature of the adjustment (increase or decrease), it could make conversion more or less attractive and impact the overall value of the convertible note investment.

The specific details of the conversion rate adjustments are provided in the 'Notices of Adjustment of Conversion Rate' which are included as Exhibits 99.1 and 99.2 to this Form 8-K filing.