Filed Pursuant to Rule 424(b)(3)
Registration No. 333-61536
Zero Coupon Convertible Debentures Due 2021
CUSIP No. 28336LAA7
PROSPECTUS SUPPLEMENT
(TO PROSPECTUS DATED JUNE 8, 2001)
[EL PASO CORPORATION LOGO]
EL PASO CORPORATION
$1,766,500,000
ZERO COUPON CONVERTIBLE DEBENTURES DUE FEBRUARY 28, 2021
8,456,621 SHARES OF COMMON STOCK
This document supplements the prospectus dated June 8, 2001, relating to
the debentures and the shares of common stock issuable upon conversion of the
debentures. This prospectus supplement is incorporated by reference into the
prospectus. The information in this prospectus supplement replaces and
supersedes the information set forth under the heading "Selling Security
Holders" in the prospectus dated June 8, 2001.
Our common stock is listed and traded on the New York Stock Exchange and
the Pacific Exchange under the symbol "EPG." On October 30, 2001, the last
reported sales price for our common stock on the New York Stock Exchange was
$49.20 per share.
INVESTING IN THESE SECURITIES INVOLVES RISKS. SEE "RISK FACTORS" BEGINNING
ON PAGE 5 OF THE PROSPECTUS AND "FORWARD-LOOKING STATEMENTS" BEGINNING ON PAGE 5
OF THE PROSPECTUS.
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NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES
COMMISSION HAS APPROVED OR DISAPPROVED OF THESE SECURITIES OR PASSED UPON THE
ADEQUACY OR ACCURACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A
CRIMINAL OFFENSE.
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The date of this prospectus supplement is October 31, 2001.
SELLING SECURITY HOLDERS
We originally sold the debentures to Credit Suisse First Boston Corporation
(CSFB) on February 28, 2001 in a private placement. CSFB has advised us that it
resold the debentures in transactions exempt from the registration requirements
of the Securities Act of 1933 to "qualified institutional buyers" (as defined in
Rule 144A under the Securities Act) in compliance with Rule 144A. These
subsequent purchasers (and their respective donees and transferees for no
consideration) may from time to time offer and sell any or all of the debentures
or the common stock issuable on conversion of the debentures pursuant to this
prospectus.
The debentures and the common stock to be offered and sold using this
prospectus are being registered pursuant to a registration rights agreement
between us and CSFB. In that agreement, we undertook to file a registration
statement with regard to the debentures and common stock and, subject to certain
exceptions, to keep that registration statement effective for up to two years.
The registration statement to which this prospectus supplement and the
accompanying prospectus relate is intended to satisfy our obligations under that
agreement.
The selling security holders named below have advised us that they
currently intend to sell the debentures and common stock set forth below
pursuant to this prospectus. Additional selling security holders may choose to
sell debentures and common stock from time to time upon notice to us. See "Plan
of Distribution" in the accompanying prospectus.
Before a security holder may use the accompanying prospectus in connection
with an offering of securities, the prospectus as supplemented must include the
name and amount of debentures and common stock beneficially owned by the selling
security holder and the amount of debentures and common stock to be offered. The
prospectus as supplemented will also disclose whether any selling security
holder selling in connection with that prospectus supplement has held any
position, office or other material relationship with us or any of our
predecessors or affiliates during the three years prior to the date of the
prospectus supplement.
The following table is based solely on information provided by the selling
security holders.
NUMBER OF
SHARES OF NUMBER OF
AMOUNT OF PERCENTAGE OF COMMON SHARES OF
DEBENTURES DEBENTURES AMOUNT OF STOCK COMMON
BENEFICIALLY BENEFICIALLY DEBENTURES TO BENEFICIALLY STOCK TO BE
SELLING SECURITY HOLDER OWNED OWNED BE SOLD(1) OWNED(2) SOLD(1)
----------------------- ------------ ------------- ------------- ------------ -----------
AIG SoundShore Holdings Ltd........................... 6,439,000 * 6,439,000 30,825 30,825
AIG SoundShore Opportunity Holding Fund Ltd........... 3,621,000 * 3,621,000 17,334 17,334
AIG SoundShore Strategic Holding Fund Ltd............. 1,890,000 * 1,890,000 9,048 9,048
Allstate Insurance Company............................ 2,600,000 * 2,600,000 226,055(24) 226,055
Allstate Life Insurance Company....................... 5,900,000 * 5,900,000 36,544(25) 36,544
AMERUS Life Insurance Co. (AMERUS Multi-fund
Convertible Account)................................. 500,000 * 500,000 2,393 2,393
Aristeia Partners, L.P................................ 3,000,000 * 3,000,000 14,361 14,361
Aristeia International, Limited....................... 8,300,000 * 8,300,000 39,733 39,733
Associated Electric & Gas Insurance Services
Limited.............................................. 1,500,000 * 1,500,000 7,181 7,181
Banc of America Securities LLC(3)..................... 57,625,000 3.26 57,625,000 275,862 275,862
Bancroft Convertible Fund, Inc........................ 3,300,000 * 3,300,000 15,798 15,798
Bankers Life Insurance Company of New York............ 125,000 * 125,000 598 598
BBT Fund, L.P.(4)..................................... 65,000,000 3.68 65,000,000 311,168 311,168
Bear, Stears & Co. Inc................................ 7,500,000 * 7,500,000 35,904 35,904
Catholic Health East.................................. 3,246,000 * 3,246,000 15,539 15,539
Catholic Health East -- Pension Investment Program.... 442,000 * 442,000 2,116 2,116
CDC IXIS PARIS........................................ 10,000,000 * 10,000,000 73,422 47,872
CIBC World Markets.................................... 10,000,000 * 10,000,000 47,872 47,872
Conseco Annuity Assurance Company --
Multi-Bucket Annuity Convertible Bond Fund........... 8,000,000 * 8,000,000 38,298 38,298
Credit Suisse First Boston Corporation(5)............. 324,930,000 18.40 324,930,000 1,555,504 1,555,504
Deephaven Domestic Convertible Trading Ltd............ 5,000,000 * 5,000,000 23,936 23,936
Deusche Banc Alex Brown Inc.(6)....................... 52,000,000 2.95 52,000,000 248,934 248,934
Dylan (IMA) Limited................................... 5,000,000 * 5,000,000 23,936 23,936
Ellsworth Convertible Growth and Income Fund, Inc..... 3,300,000 * 3,300,000 15,797 15,797
Federated Equity Income Fund, Inc.(7)................. 38,000,000 2.15 38,000,000 181,914 181,913
Federated Insurance Series, on behalf of its Federated
Equity Income Fund II................................ 1,500,000 * 1,500,000 7,181 7,181
First Union Securities Inc./BK Trading (8)............ 46,515,000 2.63 46,515,000 222,677 222,677
Fluor Corporation Master Retirement Trust............. 3,250,000 * 3,250,000 15,558 15,558
Fort Worth Employees' Retirement Fund................. 2,850,000 * 2,850,000 13,644 13,644
GLG Global Convertible Fund........................... 12,600,000 * 12,600,000 60,318 60,318
GLG Global Convertible UCITS.......................... 2,400,000 * 2,400,000 11,489 11,489
GLG Market Neutral Fund............................... 1,000,000 * 1,000,000 4,787 4,787
Global Bermuda Limited Partnership.................... 900,000 * 900,000 4,308 4,308
Goldman Sachs and Company(9).......................... 27,500,000 1.56 27,500,000 131,648 131,648
Hamilton Partners Limited(10)......................... 21,000,000 1.19 21,000,000 100,531 100,531
Highbridge International LLC(11)...................... 87,025,000 4.93 87,025,000 416,606 416,606
Houston Police Officers Pension System................ 1,725,000 * 1,725,000 8,258 8,258
HSBC Ttee Zota Managed Trust.......................... 500,000 * 500,000 2,393 2,393
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NUMBER OF
SHARES OF NUMBER OF
AMOUNT OF PERCENTAGE OF COMMON SHARES OF
DEBENTURES DEBENTURES AMOUNT OF STOCK COMMON
BENEFICIALLY BENEFICIALLY DEBENTURES TO BENEFICIALLY STOCK TO BE
SELLING SECURITY HOLDER OWNED OWNED BE SOLD(1) OWNED(2) SOLD(1)
----------------------- ------------ ------------- ------------- ------------ -----------
IL Annuity and Insurance Company...................... 590,000 * 590,000 2,824 2,824
Innovest Finanzdienstleistangs........................ 853,000 * 853,000 4,083 4,083
Jersey (Ima) Ltd. .................................... 6,000,000 * 6,000,000 28,723 28,723
JMG Capital Partners, LP.............................. 5,500,000 * 5,500,000 26,330 26,330
JMG Triton Offshore Fund, Ltd.(12).................... 33,000,000 1.87 33,000,000 157,977 157,977
J.P. Morgan Securities, Inc.(13)...................... 36,940,000 2.09 36,940,000 176,839 176,839
Kaman Corporation Employees' Pension Fund............. 1,356,000 * 1,356,000 6,491 6,491
KBC Financial Products USA............................ 9,000,000 * 9,000,000 43,085 43,085
Lakeshore International Ltd........................... 2,100,000 * 2,100,000 10,053 10,053
Lehman Brothers Inc.(14).............................. 27,500,000 1.56 27,500,000 131,648 131,648
LibertyView Funds L.P................................. 12,000,000 * 12,000,000 57,446 57,446
Liberty View Fund LLC................................. 3,000,000 * 3,000,000 14,361 14,361
LibertyView Global Volatility Fund.................... 9,000,000 * 9,000,000 43,085 43,085
Lutheran Brotherhood.................................. 6,400,000 * 6,400,000 30,638 30,638
Lydian Overseas Partners Master Fund(15).............. 65,000,000 3.68 65,000,000 311,168 311,168
Lyxor Master Fund..................................... 500,000 * 500,000 2,393 2,393
Merrill Lynch Investment Managers -- Quantitative
Advisers(16)......................................... 110,000,000 6.23 110,000,000 526,592 526,592
Morgan Stanley & Co.(17).............................. 50,000,000 2.83 50,000,000 239,360 239,360
Nationwide Separate Account Trust, on behalf of its
Nationwide Equity Income Fund........................ 840,000 * 840,000 4,021 4,021
Nomura Securities International Inc. ................. 17,500,000 * 17,500,000 539,500 83,776
OFIVM(18)............................................. 20,000,000 1.13 20,000,000 95,744 95,744
Ohio National fund, Inc., on behalf of its Equity
Income Portfolio..................................... 140,000 * 140,000 670 670
Oppenheimer Convertible Securities Fund............... 15,000,000 * 15,000,000 71,808 71,808
Pitney Bowes, Inc. Pension Plan....................... 2,728,000 * 2,728,000 13,059 13,059
Royal Bank of Canada.................................. 10,000,000 * 10,000,000 314,025 47,872
Sagamore Hill Hub Fund Ltd............................ 10,000,000 * 10,000,000 47,872 47,872
Shell Pension Trust................................... 4,416,000 * 4,416,000 21,140 21,140
Solomon Smith Barney Inc. ............................ 500,000 * 500,000 2,394 2394
Spear, Leeds & Kellogg LP............................. 9,400,000 * 9,400,000 44,999 44,999
Springfield Contributory Retirement Fund.............. 662,000 * 662,000 3,169 3,169
State of Florida Division of Treasury................. 2,800,000 * 2,800,000 13,404 13,404
Sutter Health Retirement Plan......................... 1,325,000 * 1,325,000 6,343 6,343
Teachers Insurance and Annuity Association(19)........ 27,000,000 1.53 27,000,000 129,254 129,254
TQA Master Fund, Ltd.................................. 1,000,000 * 1,000,000 4,787 4,787
TQA Master Plus Fund, Ltd............................. 9,000,000 * 9,000,000 43,085 43,085
Tribeca Investments, L.L.C.(20)....................... 70,000,000 3.96 70,000,000 335,104 335,104
UBS AG, London Branch(21)............................. 110,000,000 6.23 110,000,000 526,592 526,592
UBS O'Conner LLC f/b/o O'Conner Global Convertible
Portfolio............................................ 2,000,000 * 2,000,000 9,574 9,574
UBS O'Conner LLC f/b/o UBS Global Equity Arbitrage
Master Ltd........................................... 15,000,000 * 15,000,000 71,808 71,808
Value Line Convertible Fund, Inc. .................... 2,000,000 * 2,000,000 9,574 9,574
Van Kampen Harbor Fund (22)........................... 21,000,000 1.19 21,000,000 100,531 100,531
Van Kampen Utility Fund............................... 9,000,000 * 9,000,000 87,708(26) 43,085
White River Securities L.L.C.......................... 7,500,000 * 7,500,000 35,904 35,904
Wilmington Trust Company, as owner trustee for the
Forrestal Funding Master Trust(23)................... 25,000,000 1.42 25,000,000 119,680 119,680
Zola Partners, L.P.................................... 2,500,000 * 2,500,000 11,968 11,968
Any other holder of the debentures or future
transferee from any such holder(27)(28).............. 156,057,000 8.83 156,057,000 747,076 747,076
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* Less than 1%
(1) Because a selling security holder may sell all or a portion of the
debentures and common stock pursuant to this prospectus, no estimate can
be given as to the number or percentage of debentures and common stock
that the selling security holder will hold upon termination of any sales.
(2) None of the selling security holders beneficially owns one percent or more
of the common stock.
(3) The address of Banc of America Securities LLC is 9 West 57th Street, 29th
Floor, New York, New York 10019.
(4) The address of BBT Fund is 201 Main Street, Suite 3300, Ft. Worth, Texas
76102.
(5) The address of Credit Suisse First Boston Corporation is 5 World Trade
Center, New York, New York 10048.
(6) The address of Deutsche Bank Alex Brown Inc is 1251 Avenue of the
Americas, 26th Floor, New York, New York 10020.
(7) The address of Federated Equity Income Fund is Federated Investors Tower,
1001 Liberty Avenue, Pittsburgh, PA 15222.
(8) The address of First Union Securities, Inc./BK Trading is 8739 Research
Drive, Charlotte, NC 28262.
(9) The address of Goldman Sachs and Company is 180 Maiden Lane, 8th Floor,
New York, New York 10038.
(10) The address of Hamilton Partners Limited is 415 Madison Avenue, 19th
Floor, New York, New York 10017.
(11) The address of Highbridge International LLC is 767 5th Ave., 23rd Floor,
New York, New York 10153.
(12) The address of JMG Triton Offshore Fund, Ltd. is 1999 Avenue of the Stars,
Suite 2530, Los Angeles, California 90067.
(13) The address of J.P. Morgan Securities Inc. is 1500 Stanton-Christiana
Road, Newark, DE 19713.
(14) The address of Lehman Brothers Inc. is 3 World Financial Center, 6th
Floor, New York, New York 10285.
(15) The address of Lydian Overseas Partners Master Fund is c/o Lydian Asset
Management L.P., 101 East 52nd Street, 36th Floor, New York, New York
10022.
(16) The address of Merrill Lynch Investment Managers -- Quantitative Advisers
is Two World Financial Center, 16th Floor, New York, New York 10281.
(17) The address of Morgan Stanley & Co. is 1585 Broadway, New York, New York
10036.
(18) The address of OFIVM is 11 rue Vernier, 75017, Paris, France.
(19) The address of Teachers Insurance and Annuity Association is 730 Third
Avenue, New York, New York 10017.
(20) The address of Tribeca Investments LLC is 399 Park Avenue, New York, New
York 10043.
(21) The address of UBS AG, London Branch is 100 Liverpool Street, London EC
2M.
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(22) The address of Van Kampen Harbor Fund is c/o Van Kampen Asset Management,
Inc., 2800 Post Oak Blvd., Houston, Texas 77056. The number of shares of
common stock beneficially owned does not include 2,402,740 shares held by
affiliates of Van Kampen Harbor Fund.
(23) The address of Wilmington Trust Company is c/o Banc of America Securities
LLC, 9 West 57th Street, 29th Floor, New York, New York 10019.
(24) Does not include 112,044 shares of common stock held by affiliates of
Allstate Insurance Company.
(25) Does not include 301,555 shares of common stock held by affiliates of
Allstate Life Insurance Company.
(26) Does not include 2,358,117 shares of common stock held by affiliates of
Van Kampen Utility Fund.
(27) Information concerning other selling holders of debentures or underlying
common stock will be set forth in prospectus supplements from time to
time, if required.
(28) Assumes that any other holders of debentures, or any future transferees,
pledgees, donees or successors of or from any such other holders of
debentures do not beneficially own any common stock other than the common
stock issuable upon conversion of the debentures at the initial conversion
rate.
None of the selling security holders named above has, within the past three
years, held any position, office or other material relationship with us or any
of our predecessors or affiliates, except as noted above.
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