The contingent convertible senior subordinated notes will be able to be converted into shares of WCI's common stock.The company also has priced the offering of $125 million principal amount of 4% contingent convertible senior subordinated notes due 2023. The notes sale is expected to close August 5.

Under circumstances, the notes are convertible into WCI common stock at a conversion ratio of about 36.27 shares per $1,000 principal amount of the notes (equal to the initial conversion price of about $27.57 per share). WCI may redeem part or all of the notes in cash under circumstances Aug. 5, 2006, or after, or under any circumstances after Aug. 5, 2008. Holders may require WCI to repurchase the notes on Aug. 5, 2008, 2013 and 2018 or in certain situations.,

The company granted the initial note buyers the option to buy up to an extra $40 million principal amount of the notes.