68 FR 198 pg. 59208 - Lodgian, Inc. 401(k) Plan and Trust Agreement (the Plan)Exemption Application No. D-11180
Type: NOTICEVolume: 68Number: 198Page: 59208
FR document: [FR Doc. 03-25912 Filed 10-10-03; 8:45 am]
Agency: Labor Department
Sub Agency: Employee Benefits Security Administration
Official PDF Version: PDF Version
DEPARTMENT OF LABOR
Employee Benefits Security Administration
Lodgian, Inc. 401(k) Plan and Trust Agreement (the Plan)Exemption Application No. D-11180
Employee Benefits Security Administration,Department of Labor (the Department).
Notice of technical correction.
On September 29, 2003, the Department published in the Federal Register (68 FR 56013) a notice of a proposed exemption (the Notice) which would apply, effective December 3, 2002, to (1) the past acquisition and holding by the Plan of certain warrants (the Warrant(s)) issued by the employer, Lodgian, Inc. (Lodgian), a party in interest with respect to the Plan, which would permit the purchase of new common stock (New Lodgian Stock); (2) the cancellation payment (the Cancellation Payment) by Lodgian to the Plan in exchange for the Warrants (i) at the election of active participants (ii) at the election of the terminated vested participants whose vested interests exceed $5,000, or (iii) in accordance with the procedures for the automatic cash out of the value of Warrants held in the accounts of terminated vested participants whose vested interests are $5,000 or less, for an amount that represents the highest value of the Warrants determined by an independent, qualified, appraiser between December 31, 2002 and the date of the individual election; (3) the sale of the Warrants from Plan participants to Lodgian to cash out active and terminated vested participants; and (4) the potential exercise of the Warrants into the New Lodgian Stock.
On page 56015 of the Notice, the first sentence of Representation 8 states the following: Lodgian's obligation to purchase the Warrants is effective at a time when the New Lodgian Stock price is greater than the Warrant exercise price; the Department notes that this sentence is inaccurate and should be deleted, and hereby amends the proposal to incorporate such change.
On page 56016 of the Notice, paragraph (j) of Representation 9 states the following:
(j) Lodgian is required to purchase the Warrants upon request by a Plan participant provided that on the day of the request the price of the New Lodgian Stock is greater than the exercise price of the Warrants;
The Department notes that paragraph (j) of Representation 9 should be corrected to read as follows:
(j) Lodgian is required to purchase the Warrants upon request by a Plan participant provided that on the day of the request the price of the New Lodgian Stock is less than the exercise price of the Warrants; The Department hereby amends the proposal to incorporate such change.
FOR FURTHER INFORMATION CONTACT:
Mr. Khalif Ford of the Department at (202) 693-8540. (This is not a toll-free number.)
Signed at Washington, DC this 8th day of October, 2003.
Ivan L. Strasfeld,
Director of Exemption, Determinations, Pension and Welfare Benefits Administration, U.S. Department of Labor.
[FR Doc. 03-25912 Filed 10-10-03; 8:45 am]
BILLING CODE 4520-29-P