Energy West, Incorporated Announces New Holding Company Structure and Name 'Energy, Inc.'
August 03 2009 - 4:27PM
PR Newswire (US)
GREAT FALLS, Mont., Aug. 3 /PRNewswire-FirstCall/ -- Energy West,
Incorporated ("Energy West") today announced that it has completed
a reorganization to implement a holding company structure. The
purpose of the reorganization is to provide the flexibility to make
future acquisitions through subsidiaries of the holding company
rather than Energy West or its subsidiaries. The business
operations of the company will not change as a result of the
reorganization. As a result of the reorganization, stockholders of
Energy West now hold shares representing stock of the new holding
company, Energy, Inc., a Montana corporation, and Energy, Inc. now
owns 100 percent of the previously publicly held Energy West.
Outstanding shares of common stock of Energy West were
automatically converted, on a share for share basis, into identical
shares of common stock of the new holding company. The stock
(formerly Nasdaq: EWST) will continue to trade on the Nasdaq Global
Market, but under the new trading symbol "EGAS." Under Montana law,
the reorganization was structured in a manner that did not require
action by Energy West's shareholders, whose rights, privileges and
interests will remain the same with respect to the new holding
company. The change to the holding company structure was tax free
to the company's shareholders. The by-laws, executive officers and
board of directors of the company will remain the same. "Over the
past three years, we have had considerable success in expanding
geographically and growing our customer base through acquisitions,"
said Richard M. Osborne, chairman and chief executive officer of
Energy, Inc. "We intend to continue this strategy, and our new
holding company structure will allow us to complete acquisitions
even more efficiently, which will help us to increase shareholder
value in the short and long term." About Energy, Inc. Energy, Inc.,
is the parent company of Energy West, Incorporated, which
distributes and sells natural gas to end-use residential,
commercial, and industrial customers. It distributes approximately
26 billion cubic feet of natural gas to approximately 37,000
customers through regulated utilities operating in Montana,
Wyoming, North Carolina and Maine. The company markets
approximately 2.3 billion cubic feet of natural gas to commercial
and industrial customers in Montana and Wyoming on an unregulated
basis. The company also has a majority ownership interest in 160
natural gas producing wells and gas gathering assets. In addition,
the company owns the Shoshone interstate and the Glacier gathering
pipelines located in Montana and Wyoming. The company's Montana
public utility was originally incorporated in 1909 and is
headquartered in Great Falls, Montana. Safe Harbor Regarding
Forward-Looking Statements The company is including the following
cautionary statement in this release to make applicable and to take
advantage of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 for any forward-looking statements
made by, or on behalf of, Energy, Inc. Forward-looking statements
are all statements other than statements of historical fact,
including, without limitation, those that are identified by the use
of the words "anticipates," "estimates," "expects," "intends,"
"plans," "predicts," "believes" and similar expressions. Such
statements are inherently subject to a variety of risks and
uncertainties that could cause actual results to differ materially
from those expressed. Factors that may affect forward-looking
statements and the company's business generally include but are not
limited to the company's continued ability to make dividend
payments, the company's ability to implement its business plan,
fluctuating energy commodity prices, the possibility that
regulators may not permit the company to pass through all of its
increased costs to its customers, changes in the utility regulatory
environment, wholesale and retail competition, weather conditions,
litigation risks, risks associated with contracts accounted for as
derivatives and various other matters, many of which are beyond the
company's control, the risk factors and cautionary statements made
in the company's public filings with the Securities and Exchange
Commission, and other factors that the company is currently unable
to identify or quantify, but may exist in the future. Energy, Inc.
expressly undertakes no obligation to update or revise any
forward-looking statement contained herein to reflect any change in
Energy, Inc.'s expectations with regard thereto or any change in
events, conditions or circumstances on which any such statement is
based. For additional information about Energy, Inc., please
contact: Kevin J. Degenstein, President and Chief Operating
Officer, at (406) 791-7500. The company's toll-free number is (800)
570-5688. The company's address is 1 First Avenue South, Great
Falls, Montana 59401 and its website is http://www.ewst.com/.
DATASOURCE: Energy West, Incorporated CONTACT: Kevin J. Degenstein,
President and Chief Operating Officer of Energy West, Incorporated,
+1-406-791-7500 Web Site: http://www.energywest.com/
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