PORT HURON, Mich., JUNE 7 /PRNewswire-FirstCall/ -- SEMCO ENERGY,
Inc.(NYSE: SEN) announced that at a special shareholders meeting held today
holders of the Company's Common Stock approved a proposed share exchange
agreement with Cap Rock Holding Corporation. Under the terms of the share
exchange, holders of Common Stock are to receive $8.15 in cash per share and
holders of Series B Convertible Cumulative Preferred Stock are to receive
$213.07 per share plus a "make whole" premium to be calculated at closing.
The closing of the transaction will occur after receipt of all required
federal and state regulatory approvals and satisfaction of other conditions to
closing contained in the Exchange Agreement, including the approval of the
Regulatory Commission of Alaska, or RCA. The Company filed its application
for approval with the RCA in April 2007, and a procedural order has been
issued by the RCA scheduling hearings on the Company's application for early
Donald W. Thomason, Chairman of the Board of Directors of SEMCO ENERGY,
said, "I am pleased that shareholders approved the Cap Rock share exchange.
We are hopeful that regulatory approvals will be obtained promptly, so that we
can proceed toward closing the transaction."
George A. Schreiber, Jr., President and Chief Executive Officer of SEMCO
ENERGY, commented, "Shareholder approval is a very important step in the
process for realizing the benefits of the share exchange. In approving the
share exchange, shareholders have decided what is in their best interests and
made what I believe is a wise decision. Now we will focus our efforts on
completing the regulatory approval process and closing the transaction."
About SEMCO ENERGY, Inc.
SEMCO ENERGY, Inc. distributes natural gas to more than 400,000 customers
combined in Michigan, as SEMCO ENERGY GAS COMPANY, and in Alaska, as ENSTAR
Natural Gas Company. It also owns and operates businesses involved in propane
distribution, intrastate pipelines and natural gas storage in various regions
of the United States.
About Cap Rock Holding Corporation
Cap Rock Holding Corporation, through its regulated subsidiary Cap Rock
Energy Corporation, transmits and distributes power to residential and
commercial customers in 28 counties in the State of Texas. Cap Rock owns no
generation facilities and instead purchases power wholesale through long-term
power supply contracts.
The following is a "Safe-Harbor" statement under the Private Securities
Litigation Reform Act of 1995. This release contains forward-looking
statements that involve risks and uncertainties. Statements that are not
historic facts, including statements about the Company's outlook, beliefs,
plans, goals and expectations, are forward-looking statements. Factors that
may impact forward-looking statements include, but are not limited to, the
effects of weather, the economic climate, competition, commodity prices,
changing conditions in the capital markets, regulatory approval processes,
success in obtaining new business, success in defending claims against the
Company, inability to complete the acquisition of the Company by Cap Rock
Holding Corporation and other risks detailed from time to time in the
Company's Securities and Exchange Commission filings.
SOURCE Semco Energy, Inc.
CONTACT: Analysts, Thomas Connelly, Director of Investor Relations,
+1-248-458-6163, or Media, Timothy Lubbers, Director of Marketing & Corporate
Communications, +1-810-887-4208, both of Semco Energy, Inc.
Web site: http://www.semcoenergy.com