Printer Friendly

BANKRUPTCY COURT DENIES SOUTHWESTERN PUBLIC SERVICE COMPANY'S MOTION TO FILE A PLAN OF REORGANIZATION FOR EL PASO ELECTRIC

 EL PASO, Texas, Sept. 10 /PRNewswire/ -- El Paso Electric Company ("EPE") (NASDAQ-NMS: ELPAQ) announced today that on Sept. 9, 1993, the United States Bankruptcy Court for the Western District of Texas, Austin Division, denied a motion filed by Southwestern Public Service Company ("SPS") requesting authorization to file a plan of reorganization that would compete with EPE's Modified Third Amended Plan of Reorganization. SPS's plan of reorganization would have provided for the acquisition of EPE by SPS. EPE's Modified Third Amended Plan of Reorganization ("the plan") proposes a reorganization wherein EPE will become a wholly owned subsidiary of Central and South West Corporation ("CSW"), a public utility holding company based in Dallas.
 EPE stated this is a positive ruling in the company's attempt to merge with CSW because the plan will now proceed to voting by creditors, shareholders and other parties in interest without the distraction and confusion of a competing plan.
 As announced previously, EPE will begin solicitation of approval of the plan on or before Sept. 21, 1993. The solicitation period will end Nov. 15, with all ballots and any objections to the plan due that day. The Bankruptcy Court has scheduled a pretrial hearing on Nov. 19, 1993, to consider administrative matters, and has scheduled the confirmation hearing to begin on Dec. 6, 1993.
 EPE, which filed a voluntary petition under Chapter 11 of the United States Bankruptcy Code on Jan. 8, 1992, and announced on May 4, 1993, the approval by its board of directors of a merger agreement with Central and South West Corporation based in Dallas, as its plan to emerge from Chapter 11 (which plan and merger are subject to Bankruptcy Court and regulatory approvals), is an electric utility serving approximately 255,000 customers in El Paso, Texas, and an area of the Rio Grande Valley in West Texas and Southern New Mexico, and to wholesale customers located in such diverse locations as Southern California and Mexico.
 -0- 9/10/93
 /CONTACT: Alan Lee Bunnell, corporate spokesperson, 915-543-5823 (media), or John Droubay, treasurer, 915-543-5710 (financial analysts), or El Paso Electric's Office of the Secretary, 800-592-1634 or 800-351-1621 (stockbrokers and shareholders), all of El Paso Electric/
 (ELPAQ)


CO: El Paso Electric Company; Southwestern Public Service Company ST: Texas IN: UTI SU: BCY

LG -- NY047 -- 0792 09/10/93 14:03 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 10, 1993
Words:386
Previous Article:OFFSHORE PIPELINES, INC. ANNOUNCES QUARTERLY DIVIDEND ON PREFERRED STOCK
Next Article:AIR EXPRESS INTERNATIONAL CORPORATION ANNOUNCES QUARTERLY CASH DIVIDEND
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters