Chesapeake Energy Corporation Announces Expiration of Cash Tender Offers on Contingent Convertible Senior Notes

02.05.2011  |  Business Wire

Chesapeake Energy Corporation (NYSE:CHK) today announced the expiration
and final results of its previously announced cash tender offers to
purchase a portion of the outstanding principal amount of each series of
its contingent convertible senior notes listed in the table below
(collectively, the 'Convertible Notes?). The tender offers expired at
11:59 P.M., New York City time, on April 29, 2011. An aggregate of
$530,894,000in principal amount of the Convertible Notes was
validly tendered and accepted for purchase in the tender offers.
Combined with the $140,000,000 in principal amount of the 2.25%
Contingent Convertible Senior Notes due 2038 purchased by Chesapeake in
privately negotiated transactions earlier this year, Chesapeake has
retired an aggregate principal amount of $670,894,000 of Convertible
Notes in 2011. Chesapeake expects the final settlement of the tender
offers to occur today.

The tender offers were made pursuant to the terms of an Offer to
Purchase dated April 4, 2011 (as amended, the 'Offer to Purchase') and
the related Letter of Transmittal. The table above sets forth the
principal amount of each series of Convertible Notes that Chesapeake
offered to purchase in the column entitled 'Series Maximum,' the
principal amount of each series of Convertible Notes that was tendered
and the principal amount of each series of Convertible Notes that was
accepted for purchase.

The Offer to Purchase and related Letter of Transmittal are available at
the Securities and Exchange Commission′s ('SEC's?) website at www.sec.gov
as exhibits to the Tender Offer Statement on Schedule TO filed by
Chesapeake with the SEC on April 4, 2011, as amended.

Global Bondholder Services Corporation served as the Depositary and
Information Agent for the tender offers. Deutsche Bank Securities Inc.,
Citigroup Global Markets Inc. and RBS Securities Inc. served as the
Dealer Managers for the tender offers. Questions regarding the tender
offers may be directed to the Dealer Managers at the addresses and
telephone numbers set forth below:

This announcement is not an offer to purchase or a solicitation of an
offer to sell the Convertible Notes or any other securities. The tender
offers were made solely pursuant to the Offer to Purchase and the
related Letter of Transmittal.

This news release contains forward-looking statements, including the
anticipated settlement dates of the tender offers.Forward-looking
statements give our current expectations or forecasts of future events.
Although we believe our forward-looking statements are reasonable, they
can be affected by inaccurate assumptions or by known or unknown risks
and uncertainties, and actual results may differ from the expectations
expressed. See the 'Risk Factors' discussion in our Annual Report on
Form 10-K for the fiscal year ended December 31, 2010 filed with the SEC
on March 1, 2011 for a discussion of risk factors that affect our
business.We caution you not to place undue reliance on our
forward-looking statements, which speak only as of the date of this news
release.

Chesapeake Energy Corporation is the second-largest producer of
natural gas, a Top 15 producer of oil and natural gas liquids and the
most active driller of new wells in the U.S.Headquartered
in Oklahoma City, the company's operations are focused on discovering
and developing unconventional natural gas and oil fields onshore in the
U.S.Chesapeake owns leading positions in the Barnett,
Haynesville, Bossier, Marcellus and Pearsall natural gas shale plays and
in the Granite Wash, Cleveland, Tonkawa, Mississippian, Bone Spring,
Avalon, Wolfcamp, Wolfberry, Eagle Ford, Niobrara and Utica
unconventional liquids plays.The company has also
vertically integrated its operations and owns substantial midstream,
compression, drilling and oilfield service assets.Chesapeake′s
stock is listed on the New York Stock Exchange under the symbol CHK.Further information is available at www.chk.com
where Chesapeake routinely posts announcements, updates, events,
investor information, presentations and press releases.