FARMINGTON HILLS, Mich., May 7 /PRNewswire-FirstCall/ --
SEMCO ENERGY, Inc. (NYSE: SEN) announced today that it is planning an offering
of an aggregate of $300 million of senior unsecured notes to certain
institutional investors in an offering exempt from the registration
requirements of the Securities Act of 1933, as amended. A portion of the
notes will mature in 2008 and the remaining portion will mature in 2013.
The offering is being done concurrently with the amendment of SEMCO's
existing bank credit facility and an extension of its 364-day facility. SEMCO
intends to use the proceeds of the offering to retire its 8.95% Remarketable
or Redeemable Securities due 2008, to prepay its 8.00% Senior Notes due 2004,
its 7.20% Senior Notes due 2007 and its 8.32% Senior Notes due 2024, to pay
associated transaction fees, charges and expenses, and for working capital and
general corporate purposes.
The notes to be offered have not been registered under the Securities Act
and may not be offered or sold in the United States absent registration or an
applicable exemption from registration requirements. This press release shall
not constitute an offer to sell or solicitation of an offer to buy such notes.
SEMCO ENERGY, Inc. distributes natural gas to more than 383,000 customers
combined in Michigan, as SEMCO ENERGY GAS COMPANY, and in Alaska, as ENSTAR
Natural Gas Company. It owns and operates businesses involved in natural gas
pipeline construction services, propane distribution, intrastate pipelines and
natural gas storage in various regions of the United States. In addition, it
provides information technology and outsourcing services, specializing in the
mid-range computer market.
This document contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995 that are based on current
expectations, estimates and projections of SEMCO Energy, Inc. and its
subsidiaries (the "Company"). Statements that are not historical facts,
including without limitation statements about the Company's outlook, beliefs,
plans, goals and expectations, are forward-looking statements. In addition,
forward-looking statements generally can be identified by the use of forward-
looking terminology such as "may," "will," "expect," "intend," estimate,"
"anticipate," "believe" or "continue" or the negatives of these terms or
variations of them or similar terminology. These statements are subject to
potential risks and uncertainties and, therefore, actual results may differ
materially. The Company undertakes no obligation to update publicly any
forward-looking statements whether as a result of new information, future
events or otherwise.
SOURCE SEMCO ENERGY, Inc.