El Paso Corp. (ticker: EP, exchange: New York Stock Exchange (.N))
News Release -
Southern Natural Gas Company and Colorado Interstate Gas Company Announce Successful Completion of Consent Solicitations With Respect to Outstanding Notes
HOUSTON, Oct. 12 /PRNewswire-FirstCall/ -- Southern Natural Gas Company
("SNG") and Colorado Interstate Gas Company ("CIG"), each a wholly owned
subsidiary of El Paso Corporation (NYSE: EP), announced today that they have
received the requisite consents with respect to their previously announced
consent solicitations from holders of the notes identified below to the
adoption of certain proposed amendments to the indentures governing the notes.
SNG's consent solicitation related to its 6.125% Notes due September 15, 2008,
5.90% Notes due April 1, 2017, 7.35% Notes due February 15, 2031 and 8.00%
Notes due March 1, 2032 (the "SNG Notes"). CIG's consent solicitation related
to its 5.95% Senior Notes due March 15, 2015, 6.80% Senior Notes due November
15, 2015 and 6.85% Senior Notes due June 15, 2037 (the "CIG Notes" and,
together with the SNG Notes, the "Notes"). The consent solicitations were
made on the terms and conditions set forth in consent solicitation statements
of SNG and CIG, each dated September 28, 2007 (the "Statements").
The consent solicitations expired at 5:00 p.m., New York City time, on
October 11, 2007 (the "Expiration Date"). As of the Expiration Date, SNG had
received consents of holders of a majority in aggregate principal amount of
each series of the SNG Notes and CIG had received consents of holders of a
majority in aggregate principal amount of the CIG Notes of all series,
considered together as a single class, representing, in each case, a
percentage sufficient to amend the indentures as described in the applicable
SNG or CIG, as applicable, will pay each holder of Notes who delivered
(and did not revoke) a valid consent prior to the Expiration Date a cash
consent fee of $2.50 for each $1,000 in principal amount of Notes in respect
of which such consent was delivered. The amendments to the indentures
governing the Notes will become effective upon execution of the supplemental
indentures incorporating the amendments, which is expected to occur promptly.
Merrill Lynch & Co. and JPMorgan acted as Solicitation Agents for the
consent solicitations. Global Bondholder Services Corporation acted as the
Information Agent and Tabulation Agent.
SNG is a Delaware corporation incorporated in 1935, and a wholly owned
subsidiary of El Paso Corporation. Its primary business consists of the
interstate transportation and storage of natural gas and LNG terminalling
operations. SNG conducts its business activities through its natural gas
pipeline systems, which include its Southern Natural Gas pipeline system and
its 50 percent indirect interest in the Florida Gas Transmission pipeline
system, an LNG receiving terminal and storage facilities.
CIG is a Delaware corporation incorporated in 1927, and an indirect wholly
owned subsidiary of El Paso Corporation. Its primary business consists of the
interstate transportation, storage and processing of natural gas. CIG
conducts its business activities through its natural gas pipeline systems,
storage facilities and processing plants.
El Paso Corporation provides natural gas and related energy products in a
safe, efficient, and dependable manner. El Paso Corporation owns North
America's largest interstate natural gas pipeline system and one of North
America's largest independent natural gas producers. For more information,
Cautionary Statement Regarding Forward-Looking Statements
This release contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. All forward-looking
statements are based on assumptions that SNG and CIG believe to be reasonable.
However, actual results almost always vary from assumed facts and the
differences can be material, depending upon the circumstances. As a result,
you should not place undue reliance on such forward-looking statements. The
words "believe," "expect," "estimate," "anticipate" and similar expressions
will generally identify forward-looking statements. All of SNG's and CIG's
forward-looking statements, whether written or oral, are expressly qualified
by these cautionary statements and any other cautionary statements that may
accompany such forward-looking statements. In addition, SNG and CIG disclaim
any obligation to update any forward-looking statements to reflect events or
circumstances after the date of this release.
With this in mind, you should consider the risks discussed under the
caption "Risk Factors" in SNG's and CIG's Annual and Quarterly Reports on
Forms 10-K and 10-Q and in the other documents SNG and CIG file with the SEC
from time to time, which could cause actual results to differ materially from
those expressed in any forward-looking statement made by SNG or CIG or on
SNG's or CIG's behalf.
SOURCE El Paso Corporation
CONTACT: Investor and Public Relations, Bruce L. Connery, Vice
President, +1-713-420-5855, or fax, +1-713-420-4417, or Media Relations, Bill
Baerg, Manager, +1-713-420-2906, fax, +1-713-420-4417, both of El Paso
7347 10/12/2007 11:00 EDT http://www.prnewswire.com