The Elder-Beerman Stores Corp. has entered into an amendment to its existing merger agreement with Wright Holdings, Inc. for the sole purpose of increasing the consideration payable to Elder-Beerman shareholders from $6.00 per share in cash to $7.05 per share in cash. Wright Holdings has also provided Elder-Beerman copies of revised commitment letters from its financing sources to provide the financing necessary for the increased consideration.
As previously announced, on September 4, 2003, Elder Beerman notified Wright Holdings that it had received an offer from The Bon-Ton Stores Corp. to enter into a merger agreement that would provide Elder-Beerman shareholders an opportunity to be paid $7.00 per share in cash for each Elder-Beerman common share, and that subject to complying with Elder-Beerman's obligations under its existing merger agreement with Wright Holdings, it intended to enter into such merger agreement with Bon Ton.
Under its existing merger agreement with Wright Holdings, Elder-Beerman was required to negotiate exclusively in good faith with Wright Holdings for three business days to make such adjustments to the terms of its merger agreement with Wright Holdings that would enable Elder-Beerman to proceed with the transaction with Wright Holdings. Consistent with the terms of the existing merger agreement with Wright Holdings, Elder-Beerman has not had any discussions with Bon-Ton as to what action, if any, Bon-Ton may take in response to Wright Holdings' increase in the merger price to $7.05 per share.
.
