UPS - TNT merger failure could cost either millions

Discussion in 'The Latest UPS Headlines' started by cheryl, Mar 26, 2012.

  1. cheryl

    cheryl I started this. Staff Member

    UPS-TNT merger failure could cost either millions - Atlanta Business Chronicle

    In a Securities and Exchange Commission filing Friday, Atlanta-based UPS (NYSE: UPS) revealed more details about the proposed merger, including charges either company could incur if the merger doesn’t go through.

    According to the filing, should TNT cancel the merger, make certain breaches or get a third-party offer that is 8 percent higher than UPS’ and the TNT board views it as a better deal, TNT would have to pay UPS a $64.4 million termination fee.

    UPS would have to pay TNT a $265.5 million reverse termination fee if UPS ended the merger due to failure to consummate the deal, made certain breaches or failed to get certain regulatory approvals.
  2. bbsam

    bbsam Moderator Staff Member

    Are they sure this purchase was a good idea?