Convertibles Calendar

FEB. 7 WEEK

HUNTSMAN CORP.: $250 million of three-year mandatory convertibles, with $37.5 million greenshoe; price talk of 5.0% to 5.5% dividend, 18% to 22% initial conversion premium; concurrent with initial public offering of 55.681 million shares of common stock in estimated price range of $21 to $23 a share, estimated to fetch $1.3 billion; $50 par; issue to have provisional call with 140% threshold; $40 million in proceeds will be used to buy Treasuries as collateral for dividends on the convert; Salt Lake City chemical company plans to use $591.3 million of proceeds to redeem HMP Equity Holdings Corp.'s 15% senior secured discount notes due 2008, $486.6 million to redeem Huntsman International Holdings LLC's 13.375% senior discount notes due 2009, $177.9 million to repay the $159.4 million principal amount of Huntsman LLC's 11.625% senior secured notes due 2010, repay in full Huntsman LLC's 15% subordinated note to Horizon Ventures LLC that matures in 2011, and any remaining proceeds to repay any remaining amount due on the Huntsman International senior discount notes; convertible bookrunners will be Citigroup Global Markets Inc., Credit Suisse First Boston, Merrill Lynch and Deutsche Bank Securities; pricing week of Feb. 7.

PROTEIN DESIGN LABS INC. (Symbol: PDLI): Rule 144A; $250 million of seven-year senior unsecured convertible notes; $50 million greenshoe; price talk of a 1.25% to 1.75% coupon, 30% to 35% initial conversion premium; non-callable for five years; dividend protection via a conversion ratio adjustment; Fremont, Calif.-based biotech concern to use proceeds for working capital and other general corporate purposes, including research and development, capital expenditures and expansion of manufacturing facilities - also said it may use a portion of proceeds to pay for the proposed $500 million acquisitions of ESP Pharma Holding Co. Inc. and the drug product Retavase, and to acquire or invest in other complementary businesses, products or technologies; sole bookrunner is Goldman Sachs & Co.; pricing slated for after the market close Tuesday.

SOUTHERN UNION CO. (Symbol: SUG): Registered; $100 million of three-year mandatory convertible preferreds; par $50; dividend protection via a conversion ratio adjustment; price talk of 5.0% to 5.5% dividend, 20% to 25% initial conversion premium; Wilkes-Barre, Pa.-based natural gas pipeline operator to use proceeds to repay debt incurred in connection with its investment in CCE Holdings LLC.; joint bookrunners are JPMorgan Securities and Merrill Lynch; pricing slated after the market close Wednesday.

ON THE HORIZON

PNM RESOURCES INC. (Symbol: PNM): $200 million of equity-linked securities as part of financing package for $1.024 billion acquisition of TNP Enterprises Inc.; timing to coincide with acquisition closing 9 to 12 months from announcement on July 25; letter of intent obtained for the purchase of $100 million of the equity-linked securities from an existing shareholder; Albuquerque, N.M., electric utility also plans to issue $250 million of common equity, of which $95 million will go to TNP Enterprises shareholders, and place $100 million of long-term senior notes; expected ratings BBB/Baa2.

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