Litton swapped a debt package for stock.

Litton Industries shareholders received a package of three subordinated notes worth a principal amount of $87.60 per share. The Beverly Hills-based conglomerate said it determined that 15.5 million common shares were validly tendered in its repurchase offer. It bought 11.4 million of those shares and another 3.6 million shares owned by Teledyne, worth an estimated $1.3 billion. Because the tender offer was oversubscribed, Litton applied a proration formula in exchanging the shares.