Advertising

The Seattle Times Company

NWjobs | NWautos | NWhomes | NWsource | Free Classifieds | seattletimes.com

The Seattle Times

Business / Technology


Our network sites seattletimes.com | Advanced

Originally published Tuesday, August 12, 2008 at 12:00 AM

E-mail article     Print view

Puget Sound Energy suitors say opposition to takeover is flawed

Puget Sound Energy and the international consortium that has proposed to take over the utility said today that the state consumer advocate's...

Seattle Times business reporter

Puget Sound Energy and the international consortium that has proposed to take over the utility said today that the state consumer advocate's opposition to the deal is based on flawed arguments.

In a filing with the Washington Utilities and Transportation Commission (UTC), executives for utility holding company Puget Energy and the buyer group led by Australian bank Macquarie said that the Attorney General's Public Counsel office was undervaluing the recent modifications made by the buyers and overstating the risks associated with the transaction. Public Counsel is the sole remaining major party opposed to the $7.8 billion deal after the consortium reached a settlement with other former critics, including the UTC's staff.

Public Counsel said the deal, which includes a $300 million investment made last December, could undermine the credit profile of Washington's largest utility by saddling it with additional debt. In their testimony today, Puget Energy and the takeover group said the transaction would actually reduce the company's debt ratio to 49.6 percent from 60.4 percent.

Puget Energy's financial health "will be better than recent historical levels," the filing said.

The deal, which represents a 30 percent premium on the price of Puget Energy shares, was overwhelmingly approved by shareholders. Federal regulators have also given their blessing to the transaction, but the UTC has the last word.

Ángel González: 206-515-5644 or agonzalez@seattletimes.com

Copyright © 2008 The Seattle Times Company

More Business & Technology headlines...

E-mail article Print view      Share:    Digg     Newsvine

advertising

UPDATE - 08:37 PM
Rainier Pacific Financial calls rescue 'unlikely'

Brier Dudley: New handbook for Google, Droid users

Google snaps up mobile ad startup for $750 million

Plans call for Triangle to become West Seattle gateway

Abortion could roil Senate health care debate

Advertising

Video

Medal of Honor
Bruce Crandall and John "Bud" Hawk of Kitsap County say no one "wins" the Medal of Honor. The two recipients of the medal explain they weren't trying to be heroes - just do their duty.

Pelosi answers questions at Swedish Medical Center
Pelosi speaks at Swedish Medical Center
"Pistol" Pete Ryan
Mourners gather at KeyArena for slain officer's memorial
Procession for slain SPD officer
Election Night: Approve R-71
Election Night: Reject R-71
Election Night: Joe Mallahan
Election Night: Mike McGinn

Marketplace

nwautos

2009's most fuel-efficient sedansnew
Choosing a new sedan? Weigh the impact of your choice on your wallet and on the planet.
Post a comment

Open Houses

Find this weekend's open house listings.
Or search by location:

 
Most read
Most commented
Most e-mailed
 
 
Advertising