California Resources Corp.

California Resources Corp., announced the commencement of private offers to exchange, upon the terms and conditions set forth in the offering memorandum and solicitation statement, dated February 20, 2020, and the related letter of transmittal, to all eligible holders of its outstanding 8% senior secured second lien notes due 2022, 5½% senior notes due 2021 and 6% senior notes due 2024 to exchange the outstanding notes.

On February 20, 2020, prior to the launch of the offers, the company and certain significant holders of the notes entered into private subscription agreements, pursuant to which the supporting holders agreed to sell, in the aggregate, approximately $452 million of 8% notes, approximately $26 million of 5½% notes and approximately $7 million of 6% notes for approximately $65 million of royalty notes, approximately $246 million of the new term loans, up to 6,709,974 Class B Shares and the company warrants exercisable for approximately 7% of the company’s common stock as of February 14, 2020, in each case in the aggregate and on a net basis.