SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
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Current Report
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 28, 1997
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ATLANTIC RICHFIELD COMPANY
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(Exact name of registrant as specified in its charter)
Delaware
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(State or other jurisdiction of incorporation)
1-1196 23-0371610
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(Commission File Number) (IRS Employer
Identification No.)
515 South Flower Street, Los Angeles, California 90071
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (213) 486-3511
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Not Applicable
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(Former name or former address, if changed since last report)
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Item 5. Other Events.
Press Release, dated July 28, 1997, finalizing ARCO's
decision to settle all of its 9% Exchangeable Notes due
September 15, 1997, with Lyondell Petrochemical Company
stock currently owned by ARCO.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned hereunto duly
authorized.
ATLANTIC RICHFIELD COMPANY
/s/ ALLAN L. COMSTOCK
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Allan L. Comstock
Vice President and Controller
Dated: July 28, 1997
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ARCO [LOGO] Media Relations N E W S
515 South Flower Street
Los Angeles CA 90071-2201
Telephone 213 486 3385
Facsimile 213 486 0169
FOR IMMEDIATE RELEASE July 28, 1997
ARCO BOARD OF DIRECTORS FINALIZES DECISION TO
SETTLE EXCHANGEABLE NOTES WITH LYONDELL STOCK
LOS ANGELES -- ARCO's Board of Directors (NYSE: ARC)
today finalized a decision to settle all of ARCO's 9.0%
Exchangeable Notes due September 15, 1997 with Lyondell
Petrochemical Company stock currently owned by ARCO.
ARCO expects to realize an after-tax gain of
approximately $300 million upon the exchange, assuming
current market conditions.
In electing to settle the Notes with Lyondell shares,
ARCO's Board of Directors reaffirmed the company's previously
stated position that Lyondell was no longer central to ARCO's
core business or part of its strategic growth objectives.
ARCO currently owns 39.9 million shares, or 49.9% of the
total outstanding shares of Houston-based Lyondell (NYSE:
LYO), a leading manufacturer and marketer of petrochemicals
and, through its interest in LYONDELL-CITGO Refining Company,
a manufacturer of refined petroleum products.
In a 1994 offering, ARCO sold $988 million of 3-year
Exchangeable Notes carrying a 9.0% annual coupon and payable,
upon maturity, in shares of Lyondell Common Stock or, at
ARCO's option, in cash with an equal value. ARCO has chosen
the option to exchange Notes for stock.
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The maturity price of the Notes, which will determine the
number of Lyondell shares to be exchanged for the Notes, will
be the average closing price per share of Lyondell Common Stock
on the 20 trading days immediately prior to September 15.
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For information, contact:
(media) Alberet Greenstein, 213-486-3384
(investor relations) Steve Enger, 213-486-1811
For a menu of ARCO news releases, visit our Web site at
http://www.arco.com on the Internet.
