Citizens Communications Announces Sale of Gas Company and Completion of Investigation.Business Editors STAMFORD, Conn.--(BUSINESS WIRE)--Dec. 19, 2002 Citizens Communications Citizens Communications is the parent company of Frontier Telephone, providing telephone and internet access in 24 states. The company headquarters are located at 3 High Ridge Park in Stamford, Connecticut. Company (NYSE NYSE See: New York Stock Exchange :CZN, CZB) announced today that it has entered into a definitive agreement to sell its Hawaiian gas division ("The Gas Company of Hawaii") to K-1 USA Ventures, Inc. for $115 million in cash, subject to adjustments under the terms of the agreement. The transaction is expected to close during the fourth quarter of 2003 and is subject to regulatory and other customary approvals. The sales price approximates the book value of The Gas Company. Citizens will have generated $1.9 billion of proceeds from its utility sales after the closing of The Gas Company of Hawaii sale and its previously announced Arizona Electric and Gas sales, which exceeds the company's original estimate of $1.8 billion for total proceeds from the divestiture The breakup of AT&T. By federal court order, AT&T divested itself on January 1, 1984 of its 23 operating companies, which became known as the Regional Bell Operating Companies (RBOCs). of all of its utility divisions, with its Vermont Electric division still remaining to be sold. Citizens will apply the net cash proceeds from the sales of Arizona Electric and Gas and The Gas Company of Hawaii to its ongoing program of debt reduction. Citizens has retired approximately $1.062 billion, or 16.4 percent, of its debt during 2002. Separately, the company has concluded its internal investigation of the theft by two former officers of the company. The previously reported amount of the theft of $7.8 million has not changed. The company continues to believe that substantially all of the cash will be recovered from the former officers and from insurance. The theft does not affect the company's previously completed sales of utility properties and does not relate to the company's current operations in Arizona, Hawaii or Vermont. The company continues to cooperate fully with the Office of the U.S. Attorney for the Southern District of New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and with the New York office of the Securities and Exchange Commission. K-1 USA Ventures, Inc. is a subsidiary of k1 Ventures Limited. K1 Ventures Limited is domiciled and incorporated in the Republic of Singapore Noun 1. Republic of Singapore - a country in southeastern Asia on the island of Singapore; achieved independence from Malaysia in 1965 Singapore ASEAN, Association of Southeast Asian Nations - an association of nations dedicated to economic and political , invests in a wide range of investments across diverse sectors including energy, consumer products, technology and healthcare, and is listed on the Singapore Exchange “SGX” redirects here. For other uses, see SGX (disambiguation). Singapore Exchange Limited SGX: S68 (SGX) is the stock exchange in Singapore. SGX was formed on December 1 1999, following the merger of two established and well-respected financial Securities Trading securities trading, financial activity involving transactions of property such as stocks, bonds, commodities, and currency (see securities). Although the trading of stocks and bonds dates back several centuries in many Western nations, the development of the Limited (the Singapore Stock Exchange). More information about Citizens can be found at www.czn.net. |
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