Create Exchange Offers Panel Options

In the Create Exchange Offers panel, when you create a corporate action announcement for an exchange offer or conversion, you can select various options based on the requirements of your business. Note options may vary according to your selections.

Option	Tag	Description

Option	Tag	Description
Lookup Security Information
Client Specific CA ID	1695	Specifies the client specific identifier for the corporate action.
Source Name	1102	Specifies the source name for the corporate action. The default value is Eagle PACE.
Original Source Name	4003	Specifies the original source name for the security.
From Asset ID Type	1432	Specifies the primary asset identifier type for the From security, such as CUSIP, ISIN, and SEDOL.
From Asset ID	14	Specifies the primary asset identifier of the From security.
From Issue Name	961	Specifies the name of the From security.
Maturity Date	38	Displays the maturity date of the From security.
From Issue Currency	3962	Displays the local currency of the From security.
From Pre Action Price	1264	Specifies the pre action price for the From security. This price is used in the Fair Market Value report. Typically, this price is the close price or last traded price.
From Post Action Price	369	Specifies the post action price for the From security. This price is used in the Fair Market Value report. Typically, the post action price is the open or first traded price of the existing security, and this value is used in the cost allocation percentage calculation.
Accounting Details
Trans Type	1257	This hidden field displays the transaction type that the system uses to process the transaction. The system uses the announcement's Share Taxability and Exchange Offer Type settings to determine the value used to recognize the transaction: TAXMERGP. Exchange offer or conversion is based on a price and is taxable. NONTAXMERGP. Exchange offer or conversion is based on a price and is non taxable. NONTAXMERGR. Exchange offer is based on a rate and is non taxable.
Sweep Date	1197	Specifies the date that the global processes use to extract the corporate action for processing at the global level and apply it to eligible entities/holdings.
Ex Date	65	Specifies the ex-date of the corporate action. The ex-date is the entitlement date of the corporate action. Ex-date is equal to the Trade Date of the corporate action.
Expiry Date	12876	Specifies the expiration date of voluntary corporate actions associated with the announcement. For entities that use expiry date processing, the system can process voluntary corporate actions based on expiration date +1. The system can sweep corporate actions in a Released status using the announcement's expiry date for voluntary elections that use expiry date processing. During global processing, expiration date +1 serves as the sweep date in place of the announcement's Sweep Date value.
Record Date	1694	Specifies the record date of the corporate action.
Announcement Date	1260	Specifies the announcement date of the corporate action.
Pay Date	1275	Specifies the pay date of the corporate action. The pay date is the settlement date of the corporate action.
Treatment of Fractional Shares	3965	Specifies how the system treats fractional shares for the corporate action. A fractional share is less than a single share of stock. Options include: Round Down. Default. The system rounds the fractional share entitlement down to zero decimals. No fractional shares are created. Post Fractional Shares. The system posts the fractional share entitlement, calculating the amount to two decimal places. Round Up. The system rounds the fractional share entitlement up to the next whole number. No fractional shares are created. European. The system calculates the fractional share entitlement as follows: 1. Divides the position by the divisor, 2. Drops the decimals on the number that is calculated, 3. Multiplies the whole number by the multiplier. Round to Nearest Whole Share. The system rounds the fractional shares to the nearest number of whole shares. If the calculated entitlement is greater than or equal to 0.50, the system rounds the fractional shares up to the next whole share. If the calculated entitlement is less than or equal to 0.49, the system drops the fractional shares. If you select this option, you see the Rounding Point field.
Rounding Point.	8028	Identifies the rounding point used if you round fractional shares to the nearest number of whole shares.
Corporate Action Status	54	Indicates if the corporate action is correct and ready for processing. Options include: Incomplete. The record is not confirmed to be correct, or is not confirmed. Pending. The record is fully populated and is awaiting release status. Released. The record is complete and is ready for processing. Completed. The record was processed through a global process.
Corporate Action Sub Priority	3961	Determines the order in which to process the corporate action when multiple corporate actions have the same Effective Date. Corporate action priority is from low to high; that is, an event with a corporate action priority of 1 is processed prior to an event with a corporate action priority of 10. The default value is 1.
Share Taxability	3960	Indicates whether the event is taxable or nontaxable. Options include: Yes. The event is taxable. Exchanges based on a price are tax eligible. If you select this option, you see the Limit Gain Loss Indicator field. The system creates one To open lot and the open holding period date is equal to the action's ex date. No. The event is nontaxable. Exchanges based on a rate are not tax eligible. If you set the Exchange Offer Type field to Rate, the Share Taxability field displays a value exchange of No. The To shares have the same number of open lots created as were held by the From shares, and the new To lots' open holding period dates equal the From lots' original trade dates.
Treatment Of Interest Indicator	1709	Indicates how to treat interest. This field appears after you specify both the From and To securities. For more information, see About Earnings for Exchange Offers and Conversions. Options include: Transfer. Transfers the interest receivable to the resulting debt security and continue to accrue interest. Transfer is not a valid option when processing an exchange from a Debt security to an Equity security. This option triggers a date-specific retro recalculation of yield and amortization from the beginning of the coupon period. For "like" securities where the attributes such as Coupon and Maturity Date are the same, this results in the same yield on the From and To side of the exchange. For securities with different attributes, you see an amortization delta true up on ex date. Allocate. Allocates interest receivable to the cost of the new security. Reverse. Reverses interest accrued in the current coupon period. Receive Income Accrued to Ex Date. Generates a coupon on the From security on ex date for all income accrued to ex date minus 1 of the exchange offer. Receive Income Accrued to Pay Date. Generates a coupon on the From security on ex date for all income accrued to pay date minus 1 of the exchange offer. NOTE: If you select Receive Income Accrued to Ex Date or Received Income Accrued to Pay Date, see About Security Reference Data for Exchange Offers.
Payment Override Factor	16987	Specifies the amount of interest being repaid. This field appears if you set the Treatment of Interest Indicator field to Receive Income Accrued to Ex Date or to Receive Income Accrued to Pay Date. If you provide a payment override factor for an exchange offer, this value overrides the value that Eagle Accounting calculates for the interest receivable/payable to create on the From security. You can specify a numerical value greater than zero. For example, .75, 1, 1.5.
Mandatory/Voluntary Indicator	1734	Indicates whether the corporate action is mandatory or voluntary. Options include: Mandatory. The corporate action is required by the issuer and applies to all entities. Voluntary. The corporate action is at the decision of the holder of the securities, or the issuer requires the action but there are different accounting options available to the holder of the security. If you select Voluntary, you see the Proration Percent field. You must set up a voluntary corporate action with the number of shares, or percentage of shares, participating in the election.
Cost/Proceed Flag	1715	Determines what type of cash record is created. Options include: Proceed. Default. Eagle Accounting creates a cash receivable record. Cost. Eagle Accounting creates a cash disbursement record.
Proration Percent	8081	Used for voluntary actions only when available share and/or cash are not sufficient to satisfy the offer by shareholders., The action cannot accommodate the entire order so the action is prorated at a given percent. This percent is used in the closing and opening of lots on the From and To side. The system uses this field in conjunction with the shares elected (for an entity to participate in the voluntary corporate action), to determine the amount of shares/percentage of shares that are applied. The calculation follows: # of Shares Subscribed * Proration Percent = # Shares Participating in Voluntary CA
Exchange Offer Type	2291	Indicates whether the corporate action is based on a price or rate. Options include: Price. Default. The action is based on a price. Rate. The action is based on a rate. You can select this option only if Share Taxability is set to No. If you select this value, the Cost Allocation Rate field becomes available so you can enter a rate.
Exchange Offer Rate Information
Cost Allocation Rate	1279	Specifies the cost allocation rate. This is the FMV Rate, which must be 1.0 for a single leg merger. If you set up the exchange offer as a multi leg merger, you must identify the cost allocation rate on the first leg and on each subsequent leg. The sum of all legs should be equal to 1.0.
Exchange Offer Cash Information
Rate of Action (Cash)	1692	Specifies the effective rate of consent payment. Used if the corporate action has a cash component. Stores the applicable cash rate. After you specify a value, you see the Cash Taxability, Cash Currency, and Treatment Cash Gain Loss fields.
Cash Taxability	3963	Indicates whether the cash component is taxable. If you enter a value for the Rate of Action (Cash) field, you must specify a value for this option. Options include Yes and No.
Cash Currency	3962	Specifies the currency that the system uses to process the cash. By default you see the asset currency of the From security.
Treatment Cash Gain Loss	8779	Indicates how to treat gain/loss on cash. Options include: Yes. The full amount of the cash is recognized as gain/loss. No. Default. Gain/loss is recognized on the "boot;" cost is allocated to the new security less cost of old cost related to cash percent.
Limit Gain Loss Indicator	8553	For entities eligible for gain loss processing, determines if gain loss processing occurs for the exchange offer. You can specify a value when the entity's Limit Gain Loss Eligible field is set to Yes, and the exchange offer's Cash Taxability field is set to Yes. If you set Share Taxability to Yes, gain loss processing only applies to loss restrictions. Otherwise, if you set Share Taxability to No, gain loss processing applies to both gain and loss restrictions. Options include: None. Gain/loss processing does not occur. Full Gain/Loss. Gain/loss processing occurs. When applicable, at the lot level, the gain associated with these mergers is the lesser of the cash amount or the gain to be recognized had the entire transaction been taxable. If the result is a loss, it is disallowed. The disallowed component is then treated as a return of capital. In the case of certain taxable mergers, any loss that is generated at the lot level is disallowed. There are U.S. tax provisions that limit the amount of reportable gains and losses for certain mergers with taxable components.
Exchange Offer Consent Information
Effective Date On Consent	8011	Specifies the consent date of the corporate action. If you provide a value, you must enter the Rate of Action (Consent) field value.
Rate Of Action (Consent)	8010	Specifies the rate of an additional cash payment, to entice shareholders to participate in the action. This information is treated as a separate cash receivable, and it does not impact the terms of the original corporate action, or the cost allocation to the new security.
Exchange Offer Details – Information about the underlying security
To Asset ID Type	1103	Specifies the primary asset identifier type for the To security, such as CUSIP, ISIN, and SEDOL. For a conversion, this is the underlying security to which the convertible bond converts,.
To Asset ID	1348	Specifies the asset ID of the To security.
To Issue Name	1141	Specifies the name of the To security.
To Maturity Date	337	Specifies the maturity date of the To security.
To Issue Currency	3964	Displays the local currency of the To security.
To Post Action Price	319	Captures the open or first traded price of the new security. The value in this field is used in the cost allocation percentage calculation when multiple legs of a corporate action are present.
From Shares	1710	Specifies the number of shares to convert for the From security, such as the convertible bond. This value is used to determine the Rate of Action value.
To Shares	1723	Specifies the number of shares converted for the underlying security for the corresponding From Shares. This value is used to determine the Rate of Action value.
Rate of Action	1001	Specifies the ratio used to convert the fixed income security to the equity security. This ratio determines the number of shares that one unit of the bond will be converted into. For example, a security converts 1,000 shares of par into 42.1052 shares of common stock. Therefore, the Rate of Action to convert one unit of par is .0421052 (42.1052/1000, Conversion Ratio over one thousand). You enter .0421052 in the Rate of Action field when creating the corporate action.
Corporate Action Type	1728	Identifies the business name of the corporate action. Options include: Conversion. Convertible bond changes from a debt to an equity. Exchange Offer. Exchange a fixed income security for another fixed income security.
Corporate Action Notes	1740	Specifies user-defined information about the corporate action.