EXHIBIT 5
COMMERZBANK
SECURITIES
BASKET SC 1
FORWARD AGREEMENT
AMENDED NOTICE OF EXECUTION - NOVEMBER 26TH, 2002
We are pleased to confirm the execution of the following Transactions with you.
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PARTY A (Buyer): Commerzbank AG (acting through its affiliate,
Commerzbank Capital Markets Corporation)
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PARTY B (Seller): SC Fundamental Value Fund LP
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TRADE DATE: November 26, 2002
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BASKET:
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Comprised of the following specified Shares:
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NUMBER OF SHARES TICKER CUSIP CLOSING PRICE
64,040 CRD/A 224633206 $5.34
52,480 MIPSB 604567206 $2.45
46,170 MOLXA 608554200 $23.08
430,420 ESREE SEDOL:2133089 $0.75
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FORWARD PRICE: The closing price of each specified Share on the relevant Exchange on the Trade Date
minus $0.05 per share:
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NUMBER OF SHARES TICKER CUSIP FORWARD PRICE
64,040 CRD/A 224633206 $5.29
52,480 MIPSB 604567206 $2.40
46,170 MOLXA 608554200 $23.03
430,420 ESREE SEDOL:2133089 $0.70
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PURCHASE AMOUNT: Number of Shares * Forward Price (of each of the shares, respectively) (in USD).
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NUMBER OF SHARES TICKER FORWARD PRICE PURCHASE AMOUNT
64,040 CRD/A $5.29 $338,771.60
52,480 MIPSB $2.40 $125,952.00
46,170 MOLXA $23.03 $1,063,295.10
430,420 ESREE $0.70 $301,294.00
TOTAL AMOUNT $1,829,312.70
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PURCHASE DATE: December 27, 2002. On such date, Party A shall
purchase, and Party B shall sell, the specified
Number of Shares.
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SETTLEMENT DATE: January 2, 2003. On such date, Party A shall
pay the Purchase Amount to Party B against
delivery of the specified Number of Shares by
Party B to Party A.
If Party B fails to effect delivery of the
specified Number of Shares by the close of
business on the Settlement Date, Party A may
unwind this transaction, no payment shall be
due to Party B and Party B shall be liable for
any and all costs incurred in such unwind plus
a breakage fee of $0.05 per share.
COMMERZBANK
SECURITIES
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CASH OR PHYSICAL SETTLEMENT: On the Settlement Date, Party B shall deliver
the specified Number of Shares to Party A, free
and clear of any all and all restrictions,
encumbrances or liens. In lieu thereof, Party B
may, at its option, cash settle the Transaction
upon at least three (3) Business Days prior
written notice to Party A at the price
determined by the Calculation Agent in its sole
but reasonable discretion which shall be based
on the price at which Party A is able to
purchase the specified Number of Shares. Such
amount shall be due on the Settlement Date.
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RELATED TRANSACTION: Party B shall at all times be the holder of a
Linear Call Option pursuant to which (i) Party
B shall have "long" exposure to the Reference
Amount of Shares, (ii) the maturity shall be no
shorter than the Maturity Date, and (iii) the
counterparty to such Linear Call Option shall
be Party A, the "Linear Call Option."
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COLLATERAL: The Purchase Amount will be applied toward the
premium requirement for the Linear Call Option
on January 2, 2003 and the collateral will be
held by Party A in Party B's name in an
interest-bearing cash account, which may be
drawn upon by Party B to mark if the Linear
Call Option reaches the knockout level and
Party B chooses to mark the Linear Option (by
posting additional premium).
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ADJUSTMENT & EARLY UNWIND: Party B may choose to simultaneously unwind
both the Forward Contract and the Linear Call
Option at any point during the period
commencing on the Trade Date and ending
thirty-one (31) days thereafter and cash settle
the Forward Contract and the Linear Call Option
at prices determined by the Calculation Agent
in its sole but reasonable discretion.
Settlement shall be the sixth (6th) Business
Day after such notice is provided. In the event
that the Knockout Level is reached during the
term of this Forward Agreement and Party B does
not choose to mark the Linear Call Option, this
Forward Agreement shall immediately terminate
and cash settle at the price determined by the
Calculation Agent at its sole but reasonable
discretion.
Terms of trade will be adjusted to give effect
to any corporate action, merger, insolvency or
nationalization involving Issuer and the trade
may be unwound early for the above reasons or
if it becomes impracticable to freely trade in
the underlying shares or otherwise to hedge
Commerzbank's position.
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CALCULATION AGENT: Commerzbank Capital Market Corp., acting on
behalf of Commerz-bank AG (and its successor
and assigns).
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2
COMMERZBANK
SECURITIES
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DOCUMENTATION: Party A and Party B will sign a Forward
Purchase Agreement and Pledge Agreement after
the execution of the Transaction.
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TAX, LEGAL & REGULATORY
ISSUES: Party B has consulted appropriate outside
advisors regarding any relevant tax, legal or
regulatory issues relating to this transaction,
and is not relying on Commerzbank AG or any of
its Affiliates for such advice.
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CONTACT: If you are interested in discussing the terms
of this indicative Term Sheet in more detail,
please contact:
Name: Xxxxx Xxxxxxxxxxxx
Tel: (000) 000-0000
e-mail: xxxxx_xxxxxxxxxxxx@xxxx.xxx
Fax: (000) 000-0000
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This document shall be deemed correct in all respects unless written notice of
any inaccuracy is provided to us within 24 hours. Please confirm your agreement
with and understanding of the foregoing by signing in the space provided below
and returning this document as provided below:
Attention: Xxxxx Xxxxxxxxxxxx
Fax No: 000 000 0000
Phone No: 000 000 0000
SC FUNDAMENTAL VALUE FUND, L.P.
By: SC Fundamental LLC
General Partner
/s/ Xxxx X. Xxxxxxx
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Signature of Party B
Xxxx X. Xxxxxxx, Member
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