Peripheral controllers manufacturer Wespercorp of Santa Ana, California, has won agreement from its creditors for a complex share exchange arrangement to get it off the hook over its default on Series A preference shares. It will exchange 1.8m new common shares and 150,000 of a new Class C preference issue convertible into common on a one-for-one basis, for all 500,000 Series A preferred. Standard Chartered Plc’s Los Angeles-based Union Bank, owed $2m, will get 1.9m new common shares at $1 a share, plus 100,000 of a new Class D preferred, also con-vertible one-for-one into common, for its debt. And Wespercorp will issue 100,000 of a new Class B of non-voting redeemable preference shares paying 6% a year cumulative, to pay off another $1m of bank debt – and it must use half its net profit to redeem the B shares starting in September 1988.
