UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 205439
FORM 8-K
CURRENT REPORT
Pursuant to Section 12 or 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 2, 1998
Musicland Stores Corporation
(Exact name of registrant as specified in its charter)
Delaware 1-11014 41-1623376
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
10400 Yellow Circle Drive
Minnetonka, Minnesota 55343
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (612) 931-8000
Total of 5 Pages
Exhibit Index Located on Pages 4-5
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Item 5. Other Events.
On April 2, 1998 the Registrant and its wholly owned subsidiary, The
Musicland Group, Inc. issued a notice persuant to Rule 135c. of the Securities
Act of 1933 of the placement of $150,000,000 of 9 7/8 percent Senior
Subordinated Notes due March 15, 2008, at a purchase price of 99.211 percent of
face value. See attached Press Release (Exhibit 99).
Item 7. Financial Statements and Exhibits
(c) Exhibits
99 Press Release dated April 2, 1998
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.
Date: April 2, 1998
MUSICLAND STORES CORPORATION
(Registrant)
By /S/ Keith A. Benson
--------------------------
Keith A. Benson
Vice Chairman and Chief Financial Officer
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EXHIBIT INDEX
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Page No. in Sequentially
Exhibit Description of Exhibit Numbered Copy
- ------- ---------------------- ------------------------
99 Press Release dated April 2, 1998 4-5
- ---- - ----
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EXHIBIT 99
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CONTACT: Marcia Appel (Media)
(612) 931-8742
[email protected]
or
Brant Skogrand (Media)
(612) 931-8325
[email protected]
or
Jim Nermyr (Investors)
(612) 931-8007
[email protected]
MUSICLAND ANNOUNCES SENIOR SUBORDINATED DEBT OFFERING
MINNEAPOLIS, MINN., (April 2, 1998) - Musicland Stores Corporation
(NYSE:MLG) today said that it had signed an agreement on April 1 for the
placement of $150.0 million of 9 7/8 percent Senior Subordinated Notes due March
15, 2008, at a purchase price of 99.211 percent of face value. The net proceeds
of the placement to the company, after deducting discounts, commissions and
expenses, will be used to replace a portion of existing senior debt. The closing
of the placement is scheduled to occur on Monday, April 6, subject to normal and
customary closing conditions.
The notes have been placed pursuant to exemptions from registration
under the Securities Act of 1933. This communication shall not constitute an
offer to sell or the solicitation of an offer to buy the notes.
Based in Minneapolis, Musicland Stores Corporation is a nationwide U.S.
specialty retailer of prerecorded home-entertainment products. As of March 31,
1997, the company operated 1,350 retail stores in 49 states, Puerto Rico, the
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Virgin Islands and the United Kingdom under the names Media Play, On Cue,
Suncoast Motion Picture Company and Sam Goody/Musicland.
###
Forward-looking statements in this news release, if any, are made under
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995. Certain important factors could cause the company to not issue the above
mentioned securities, including the impact of changing economic or business
conditions, unfavorable interest rates and other risk factors discussed from
time to time in reports filed by the company with the Securities and Exchange
Commission.
To obtain a facsimile copy of Musicland Stores Corporation press
releases, at no cost to you, call 1-800-758-5804, extension 585763. You
may access Musicland's press release information on the Internet at
http://www.prnewswire.com/cnoc/cnoc.html.
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