11:54 AM EST - MEGA Brands Inc. : announced today that it intends to reduce the outstanding principal amount of its debentures by $62.4 million using proceeds from the exercise of warrants together with a scheduled repayment. As a result, the Corporation's pre-tax cash interest expense will be reduced by approximately $6.2 million annually, representing $0.22 per diluted common share on a pre-tax basis, assuming exercise of warrants by the warrant holders named herein, and on the assumptions set forth below. The principal amount of debentures outstanding will be reduced to $52.2 million, compared to $141.7 million as at March 30, 2010 when they were issued. MEGA Brands Inc.
shares T.MB are trading up $0.53 at $14.33.
