Alltel to Issue 24.5 Million Shares, Receive $1.385 Billion Related to Equity Units.LITTLE ROCK, Ark. -- Alltel (NYSE NYSE See: New York Stock Exchange :AT) today announced that it will issue approximately 24.5 million shares of its common stock on May 17, 2005 in settlement of the purchase contracts that are a component of its equity units (NYSE:AYZ). There are 27,699,300 purchase contracts outstanding and each purchase contract obligates the holder to purchase 0.8855 of a newly issued share of Alltel common stock for $50. The settlement rate of 0.8855 was determined based on the average closing price per share of Alltel's common stock for the 20 consecutive trading days In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. that ended May 12, 2005. Upon settlement of the purchase contracts on May 17, 2005, Alltel will receive cash proceeds of approximately $1.385 billion. The settlement will complete Alltel's obligations under the equity units. Alltel is a customer-focused communications company Communications Company is a communications unit of the United States Marine Corps. They are part of Combat Logistics Regiment 37 , 3rd Marine Logistics Group (3MLG) and III Marine Expeditionary Force (III MEF). The unit is based out of the Marine Corps Base Camp Smedley D. with more than 13 million customers and $8 billion in annual revenues. Alltel provides wireless, local telephone, long-distance and broadband services See broadband and broadband service provider. to residential and business customers in 27 states. Cautionary statement regarding forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. . This news release includes certain forward-looking statements regarding the equity units. Alltel claims the protection of the safe-harbor for forward-looking statements contained in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements are subject to uncertainties that could cause actual future events and results to differ materially from those expressed in the forward-looking statements. These forward-looking statements are based on estimates, projections, beliefs, and assumptions and are not guarantees of future events and results. Actual future events and results may differ materially from those expressed in these forward-looking statements as a result of a number of important factors which are detailed in Alltel's Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2004. Alltel, NYSE: AT www.alltel.com |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion