Citizens Utilities to acquire ALLTEL Telephone Properties.STAMFORD, Conn.--(BUSINESS WIRE)--Nov. 29, 1994--Citizens Utilities announced today that it has entered into a definitive agreement with ALLTEL Corp., to acquire approximately 109,000 telephone access lines, and cable television systems serving 7,000 subscribers, in Arizona, California, Nevada, Oregon, New Mexico New Mexico, state in the SW United States. At its northwestern corner are the so-called Four Corners, where Colorado, New Mexico, Arizona, and Utah meet at right angles; New Mexico is also bordered by Oklahoma (NE), Texas (E, S), and Mexico (S). , Tennessee, Utah and West Virginia West Virginia, E central state of the United States. It is bordered by Pennsylvania and Maryland (N), Virginia (E and S), and Kentucky and, across the Ohio R., Ohio (W). Facts and Figures Area, 24,181 sq mi (62,629 sq km). Pop. . Consideration for the transaction will be cash, assumed debt of approximately $32 million, and the transfer of 3,600 Citizens telephone access lines, for an aggregate transaction value of approximately $290 million. Citizens currently provides telecommunications service In telecommunication, the term telecommunications service has the following meanings: 1. Any service provided by a telecommunication provider. 2. in six of the eight states in which the properties are located. The transfer of ownership will occur on a state-by-state basis, as necessary regulatory approvals are received. Leonard Tow, Citizens' chairman and chief executive officer, said, "This acquisition fits Citizens' strategy of acquiring and operating telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. , natural gas, electric, water and wastewater businesses in small and medium-size communities that are experiencing above-average population and job growth. "Our commitment to providing these communities with the most advanced technology, products and services is the key to superior growth in the telecommunications business. As more people migrate from urban America in search of a better quality of life for their families, they are moving to areas like those we serve," Tow said. Tow added, "From the outset, this transaction will produce increases in earnings, earnings per share and cash flow for our shareholders and will further Citizens unparalleled financial performance." ALLTEL (NYSE NYSE See: New York Stock Exchange :AT) is a telecommunications and information services See Information Systems. company. Its subsidiaries provide local telephone service, cellular telephone service, information services and other related services. Citizens Utilities (NYSE:CZNA, CZNB) is a growing diversified company diversified company A company engaged in varied business operations not directly related to one another. A diversified company is less likely to suffer either a collapse or a spectacular gain in earnings compared with a firm concentrating its operations in a providing telecommunications, natural gas, electric, water and wastewater treatment services to customers in 17 states. Citizens also has a significant investment in Centennial Cellular Corp., a cellular telephone company, and owns and operates electric Lightwave Inc., a competitive telephone access provider. CONTACT: Citizens Utilities Brigid M. Smith, 203/329-5042 |
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