Starting from Monday July 26 , 2010 Pirelli & C. shares will be grouped in the ratio of 1 new share for every 11 ordinary or savings shares.
This operation simplifies the administrative management of the shares and makes the unit value of Pirelli & C shares easier to read, in line with other listed companies in the tyre industry.
Starting from Monday July 26 the value of Pirelli & C shares in the stock market will be the one of the new shares. To compare the new stock value with that of Friday July 23 (the last trading day before the reverse split) it will be sufficient to divide the value of the news share by 11.
No expense shall be borne by the sharholders in respect of the reverse stock split that will carried out by all the authorized intermediaries exclusively through Monte Titoli S.p.A.
Pirelli & C. has appointed Mediobanca – Banca di Credito Finanziario S.p.A to be the counterparty until 31 August 2010 in respect of the settlement of the missing or exceeding Pirelli & C. share fractions within the necessary limits to enable the shareholders to hold a number of ordinary or savings shares equal to 11 or respective multiples.
Such fractions will be settled on the basis of the official price of the Pirelli & C. ordinary and savings shares as of 23 July 2010. No expense shall be borne to the sharheolders in respect of such transactions.
In this way Pirelli & C. wants to facilitate the reverse stock split transaction and to better satisfy any requests from the shareholders.