By PETER HUSSMANN
Iowa Telecom shareholders will vote March 25 on a proposal to merge the Newton, Iowa-based telecommunications firm with Windstream Corporation, the company announced today in an earnings report that showed a net loss for the fourth quarter of $1.7 million.
In the release, Iowa Telecom Chairman and CEO Alan Wells said the fourth quarter loss "was primarily the result of costs related to this transaction," a total deal valued at about $1.1 billion in stock and cash.
The company's fourth quarter loss compares to net income of $5.1 million for the fourth quarter of 2008. For the full year, net income was $10.3 million last year compared to $23 million in 2008.
"Our operational and financial performances during 2009 was very strong, particularly in light of the year's challenging economic conditions," Wells said, noting shareholders were paid a total of $52.7 million in dividends for the year.
"Two-thousand-nine was also an important year strategically for our company and shareholders," the statement reads. "On Nov. 23, 2009, our Board of Directors approved an agreement for Windstream Corporation to acquire our company in a transaction valued at approximately $1.1 billion. The transaction is proceeding as planned and we continue to anticipate a closing in mid-2010. I am excited about the prospects of this new combined entity."
You can read the full release here.
Recent Comments