BUSINESS MEMO: PREFERRED STOCK ISSUE

Westfield America Inc. (WEA:NYSE) has announced it will issue $75 million in convertible preferred stock in a private placement.

The preferred stock will be convertible into common stock at the equivalent of $18 a share and will have a coupon equal to Westfield America's common stock dividends or 8.65 percent whichever is higher.

Of the preferred stock, $25 million will be held by Westfield American Trust, an affiliate of Westfield America but will be convertible into common stock until approved by Westfield America stockholders.

Of the $75 million raised, $40 million will be used to acquire an additional 50 percent interest in Santa Anita Fashion Park, giving Westfield an 89.7 percent in the super regional shopping center at Arcadia, Calif.

Westfield America Inc. owns West Park Mall in Cape Girardeau.