Cinergy Sells 6.5 Million Shares of Common Stock.Business Editors CINCINNATI--(BUSINESS WIRE)--Feb. 19, 2002 Cinergy Corp. (NYSE NYSE See: New York Stock Exchange :CIN CIN cervical intraepithelial neoplasia. Cervical intraepithelial neoplasia (CIN) A term used to categorize degrees of dysplasia arising in the epithelium, or outer layer, of the cervix. ) announced today that it sold 6.5 million shares of common stock. Net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the transaction of approximately $200 million will be used to reduce short-term debt Short-term debt Debt obligations, recorded as current liabilities, requiring payment within the year. of Cinergy and its subsidiaries and for other general corporate purposes. The offering will be made under Cinergy's effective shelf registration statement previously filed with the Securities and Exchange Commission. "This is another step we have taken to strengthen the balance sheet," said James E. Rogers, chairman, president and chief executive officer of Cinergy. "We held a very successful sale of manditorily convertible securities in December, which demonstrated continued investor interest in our company. Although this issuance will move us to the lower end of our earnings guidance range, we believe that in this market, investor recognition of balance sheet strength more than offsets the earnings per share impact." The sole manager for the offering was Merrill Lynch Merrill Lynch & Co., Inc. (NYSE: MER TYO: 8675 ), through its subsidiaries and affiliates, provides capital markets services, investment banking and advisory services, wealth management, asset management, insurance, banking and related products and services on a global basis. & Co. Cinergy Corp. has a balanced, integrated portfolio consisting of two core businesses: regulated operations and energy merchant. Cinergy owns regulated delivery operations in Ohio, Indiana, and Kentucky that serve about 1.5 million electric customers and about 500,000 gas customers. In addition, its Indiana regulated operations own 6,000 megawatts of generation. Its energy merchant business owns 7,000 megawatts of generation and is based on a profitable balance of stable existing customer portfolios, new customer origination, marketing and trading, and industrial-site cogeneration cogeneration In power systems, use of steam for both power generation and heating. High-temperature, high-pressure steam from a boiler and superheater first passes through a turbine to produce power. . This press release does not constitute an offer to sell or a solicitation solicitation In criminal law, the act of asking, inducing, or directing someone to commit a crime. The person soliciting another becomes an accomplice to the crime. The term also refers to the act of obtaining bribes, as well as to the crime of a prostitute who offers sexual of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities law of any such jurisdiction. Each of the offerings may be made only by means of a prospectus and related prospectus supplement, copies of which may be obtained from Merrill Lynch & Co. Statements made in this release that convey the company's or management's intentions, expectations or predictions of the future are 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. . The company's actual results could differ materially from those projected in the forward-looking statements, and there can be no assurance that estimates of future results will be achieved. Please refer to the company's SEC filings for additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements. |
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