Printer Friendly

PACIFIC TELECOM SIGNS LETTER OF INTENT WITH US WEST

 VANCOUVER, Wash., July 28 /PRNewswire/ -- Pacific Telecom Inc. (PTI) (NASDAQ: PTCM) announced today that it had signed a letter of intent with US WEST Communications Inc. (USWC) under which PTI will acquire certain rural telephone exchange properties in Colorado from USWC. It is expected that a definitive purchase agreement between the parties will be signed sometime in mid August.
 The properties to be acquired by PTI represent 45 exchanges that serve approximately 50,000 access lines primarily in rural eastern, western and southern Colorado. Completion of this transaction will be predicated upon execution of a definitive purchase agreement and obtaining appropriate regulatory approvals which could take up to a year to obtain. PTI expects to finance the acquisition using proceeds from the sale of IDB Communications (NASDAQ: IDBX) common stock received by PTI from the sale of TRT Communications Inc., its international operations. PTI currently has 1.3 million shares of IDB stock and expects to receive an additional 3.2 million shares when the TRT sale is completed sometime later in the third quarter of this year. The timing and terms of any sale of IDB stock by PTI are uncertain.
 The agreement with USWC includes a commitment by PTI to begin upgrading the outside plant facilities in certain northeastern Colorado exchanges to allow for the conversion of multi-party lines to one party service by Dec. 31, 1993. The scope of the work and the terms under which the work will be performed are governed by a construction contract between USWC and PTI.
 PTI's Chairman and Chief Executive Officer, Charles E. Robinson, commented that "this acquisition of Colorado properties is evidence of PTI's commitment to grow its local exchange operations. The properties are a good geographical fit and complement PTI's existing local exchange operations in Colorado. The operating characteristics of the service areas being acquired are generally rural in nature and are very similar to our existing service areas. We look forward to expanding our provision of quality communication services to rural Colorado and we are excited to work with the local communities as we bring new and improved services to their homes and businesses."
 John Scully, US WEST Communications Colorado vice president, said, "We believe the sale of these exchanges will strengthen Colorado's telecommunications infrastructure and help bring the benefits of the information age to our citizens."
 Pacific Telecom Inc. is an 87-percent owned subsidiary of PacifiCorp (NYSE: PPW).
 -0- 7/28/93
 /CONTACT: James H. Huesgen or Brian M. Wirkkala both of Pacific Telecom, 206-696-0983/
 (PTCM IDBX)


CO: Pacific Telecom Inc.; US WEST Communications Inc.; IDB
 Communications ST: Washington, Colorado IN: TLC SU:


JH -- SE005 -- 6768 07/28/93 13:23 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:Jul 28, 1993
Words:445
Previous Article:STANDARD & POOR'S STOCK PRICE INDEX NOON, WEDNESDAY, JULY 28 /PRN/
Next Article:PUBLIC SERVICE COMPANY BOARD OF DIRECTORS DECLARES REGULAR QUARTERLY DIVIDEND
Topics:

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