Crescent Real Estate Equities Files Suit to Terminate Station Merger Agreement.FORT WORTH, Texas--(BUSINESS WIRE)--Aug. 7, 1998--Crescent Real Estate Equities Company (NYSE NYSE See: New York Stock Exchange :CEI CEI Competitive Enterprise Institute CEI Conferenza Episcopale Italiana (Italian bishop conference) CEI Central European Initiative CEI Comitato Elettrotecnico Italiano (Italian Electrotechnical Committee) ), one of the country's largest real estate investment trusts, today announced that it has notified Station Casinos Inc. (NYSE:STN (SuperTwisted Nematic) A passive matrix LCD technology that provides better contrast than twisted nematic (TN) by twisting the molecules from 180 to 270 degrees. See DSTN. ) that Station is in material breach of the Agreement and Plan of Merger between Crescent and Station, and that Crescent is exercising its termination rights under the merger agreement. Crescent also announced that it has filed an action in federal court in Texas seeking damages and declaratory relief declaratory relief n. a judge's determination (called a "declaratory judgment") of the parties' rights under a contract or a statute often requested (prayed) for information in a lawsuit over a contract. as a result of Station's breaches of the merger agreement. In the suit, Crescent seeks compensatory damages A sum of money awarded in a civil action by a court to indemnify a person for the particular loss, detriment, or injury suffered as a result of the unlawful conduct of another. and a declaratory DECLARATORY. Something which explains, or ascertains what before was uncertain or doubtful; as a declaratory statute, which is one passed to put an end to a doubt as to what the law is, and which declares what it is, and what it has been. 1 Bl. Com. 86. judgement that Station's breaches of contract excuse Crescent from any further obligations under the merger agreement, and that Crescent need not fund the purchase of 20,000 shares of Station's redeemable preferred stock for $20,000,000. Crescent also announced that as a result of this development, the company intends to cancel its previously announced common stock rights offering and the announced dividend increase which was dependent on the consummation of the merger. Crescent's board of trust managers will conduct its regular annual evaluation of the company's dividend policy in September 1998. Crescent is a fully integrated real estate company which, upon completion of certain pending transactions, will own through its subsidiaries a portfolio of real estate assets, consisting of 99 office properties and 7 retail properties totaling 35.3 million square feet, a 38% interest in 94 refrigerated warehouse facilities, 89 behavioral healthcare facilities, 7 full-service hotels totaling 2,276 rooms, 2 destination health and fitness resorts, and economic interests in 5 residential development corporations. The office and retail properties are located primarily in 17 metropolitan submarkets in Texas. CONTACT: Crescent Real Estate Equities Company Crescent Real Estate Equities Co. (NYSE: CEI) is a Fort Worth, Texas-based real estate investor with holdings mainly in office and hotel properties, including several landmark buildings in the southern United States. Gerald W. Haddock, 817/321-1444 www.cei-crescent.com |
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