Online electronics store TWA wouldve this selection in spite how high risk its

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UNOFFICIAL COMMITTEE OF HOLDERS OF TRANS WORLD Flight companies, INC

10% SENIOR Protected NOTES DUE 1998 REJECTS Re-establishing PROPOSAL
Ny, January. 5 /PRNewswire/ -- The Unofficial Committee of TWA's 10% Senior Protected Notes (the "Notes"), that depicts above 37% of the awe-inspiring Notes, has refused TWA's re-establishing proposal dated Dec 30, 1994. The committee believes which the proposal is insufficient and coercive, and impulses holders of the Notes to vote against the proposal and the prepackaged plan of reorganization and not soothing their Notes. Next reviewing a close evaluation by a premier airplane industry consulting company of the collateral safe guarding the Notes, the Committee believes which the worthiness of the collateral is far in overabundance of the worthiness of TWA's proposal. The Committee believes which beating TWA's proposal would carry a much taller recovery value to holders of Notes, irrespective of even when or not TWA persists to function.
Among massive amount unacceptable factors of TWA's proposal, the Committee believes as follows to be especially disagreeable:
-- The remainder $170 mil of Notes that TWA suggests to convert to New 10% Notes will be revealed to similar equity dangers. Under its proposal, TWA can redeem, any moment, truley what component of the fresh 10% Notes it coveted utilizing normal stock precious through out a costing period that would finale or to TWA giving notification of such redemption. TWA would've this selection in spite how high risk its fiscal sistuation had become. Eventhough the stock plunged in value before it was gained by the holders of the fresh 10% Notes, the holders would gain zero extra consideration for their Notes resulting in potentially elemental losses. Given this Likelihood, the fresh 10% Notes would, in all possibility, commerce at a considerable rebate to their stated face value.
-- TWA's proposal offers zero value whatsoever for the more than $9 mil in interest that has cumulated on the Notes from Aug discount electronics electronic wholesale 1, 1994 through Dec 31, 1994. By Feb . 1, 1995, this interest 're going to have cumulated to above $11 mil (5 points for each interconnection).
-- The maturation date of the fresh 10% Notes will be stretched out under TWA's proposal by above 24 months, to Dec 31, 2000. This will likely have the actual result of further gloomy the trading value of the fresh 10% Notes.
-- The June 30, 1995 interest monthly bill on the fresh 10% Notes would be made in accordance stock trying the equivalent highly dubious equity value as will be used to transform the Equity Notes.
Given which the Committee believes which the worthiness of the collateral backing the Notes is far in overabundance of the worthiness of TWA's proposal, the Committee impulses all holders of Notes to vote against TWA's proposal, vote against the prepackaged plan of reorganization, and not to soothing their Notes to TWA. The Committee has kept Morrow & Co. to aid in conntacting Noteholders.
Further, in order to unravel the coercive fields of TWA's proposal, the Committee is swirling a Balloting Covenant that would empower Noteholders to vote against TWA's proposal whilst lessening the danger which TWA's proposal gets into consequence and strips their current Notes of collateral and seniority. For more info pls call Charles MacDonald of Elliott Affiliates,. , or Morrow & discount electronics Co..
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CO: Unofficial Committee of TWA's 10% Senior Protected Notes; TWA ST: Ny IN: AIR SU: