Crius Energy Trust Announces Introduction of Natural Gas in California Through Frontier Communications Strategic Partnership
/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/
TORONTO, July 8, 2014 /CNW/ - Crius Energy Trust (TSX: KWH.UN) ("Crius" or "the Trust") today announced that Crius Energy LLC ("Crius Energy") and Frontier Communications Corporation ("Frontier") (NASDAQ: FTR) have further expanded their strategic marketing partnership to offer natural gas to Frontier residential and commercial customers in California. The natural gas offering, through FTR Energy Services, one of Crius Energy's best-in-class energy brands, extends its current energy offerings in California of solar energy products.
"The addition of natural gas in California through FTR Energy Services - the first Crius Energy brand to offer natural gas in the state - further demonstrates the significant potential of our strategic marketing partnership channel," said Michael Fallquist, Chief Executive Officer, Crius Energy. "Importantly, our new gas offering, like all of our FTR Energy Services offerings, is expected to benefit from the efforts of hundreds of Frontier call centre agents who are actively selling FTR Energy Services products."
The new offering will contribute to the increased diversification of Crius Energy's business by both product and geography. Recently, Crius Energy began offering Frontier customers in California solar energy products through its Citra Solar™ brand.
"In addition to our recently announced acquisitions, we continue to execute on our multi-channel strategy to grow organically," added Mr. Fallquist. "Unique to Crius, our strategic marketing partnership channel, which also includes relationships with Cincinnati Bell and FairPoint Communications, provide us with access to large customer bases that have established, trusted relationships with their telecom providers. These are customers that tend to use more energy and stay with us longer, providing more value to Crius Energy over their lifetimes."
FTR Energy Services will provide natural gas at affordable rates plus five percent cash back on customers' energy use. Frontier Communications customers can make their choice using either an easy online tool or by speaking to a trained FTR Energy Services customer representative who will help guide them through the enrollment process.
About FTR Energy Services
FTR Energy Services is a provider of affordable, green retail energy. The company currently provides 100 percent green electricity to customers in Illinois, New York and Ohio and clean-burning natural gas to customers in California, Indiana, Illinois, New York and Ohio, with plans to continue to expand its service locations. FTR Energy Services LLC is a wholly owned subsidiary of Crius Energy LLC and was created through a strategic marketing relationship with Frontier Communications. FTR Energy Services uses the FTR name under a license agreement with Frontier Communications. Through this landmark launch, Frontier Communications demonstrates a commitment to sustainability and innovation as one of the first telecommunications providers to offer green energy options to customers along with Internet, entertainment and phone services. More information is available at www.ftrenergyservices.com.
About Frontier Communications
Frontier Communications Corporation (NASDAQ: FTR) offers broadband, voice, satellite video, wireless Internet data access, data security solutions, bundled offerings, specialized bundles for residential customers, small businesses and home offices and advanced communications for medium and large businesses in 27 states. Frontier's approximately 13,700 employees are based entirely in the United States. More information is available at www.frontier.com.
About Crius Energy
The Trust was established to provide investors with a distribution-producing investment through the acquisition of a 26.8% ownership interest in Crius Energy, LLC ("Crius Energy"). With more than 600,000 residential customer equivalents, Crius Energy is a comprehensive energy solutions partner that provides electricity, natural gas and solar products to residential and commercial customers. Crius Energy connects with energy customers through an innovative family-of-brands strategy and multi-channel marketing approach. This unique combination creates multiple access points to a broad suite of energy products and services that make it easier for consumers to make informed decisions about their energy needs. Crius Energy currently sells energy products in 19 states and the District of Columbia with plans to continue expanding its geographic reach.
The Trust intends to qualify as a "mutual fund trust" under the Income Tax Act (Canada) (the "Tax Act"). The Trust will not be a "SIFT trust" (as defined in the Tax Act), provided that the Trust complies at all times with its investment restriction which precludes the Trust from holding any "non-portfolio property" (as defined in the Tax Act). Material information pertaining to the Trust may be found on www.sedar.com or www.criusenergytrust.ca.
Caution Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of applicable Canadian securities laws, including (but not limited to) statements about the Board's belief that the Bid may represent a responsible investment of funds on hand. A statement is forward-looking when it uses what Crius knows and expects today to make a statement about the future. Forward-looking statements may include words such as anticipate, assumption, believe, could, expect, goal, guidance, intend, may, objective, outlook, plan, seek, should, strive, target and will. These statements relate to future events or future performance and reflect current assumptions, expectations and estimates of management regarding growth, results of operations, performance, business prospects and opportunities, Canadian economic environment and liability to attract and retain customers. Such forward-looking statements reflect current assumptions, expectations and estimates of management and are based on information currently available to Crius as at the date of this press release. Forward-looking statements are subject to certain risks and uncertainties, and should not be read as guarantees of future performance or results and actual results may differ materially from the conclusion, forecast or projection stated in such forward-looking statements. These risks, uncertainties and other factors include but are not limited to, Crius Energy's objectives and status as a mutual fund trust and not a SIFT trust, results of operations, financial position or cash flows, customer revenues and margins, customer additions and renewals, customer attrition, customer consumption levels, general and administrative expenses, treatment under governmental regulatory regimes, distributable cash and Crius Energy's expectations and estimates regarding the payment of distributions to unitholders. Such assumptions, expectations, estimates, risks and uncertainties are discussed under "Risk Factors" and "Forward-Looking Statements" in Crius Energy's Annual Information Form dated March 28, 2013. Consequently, we cannot guarantee that any forward-looking statements will materialize. Readers should not place any undue reliance on such forward-looking statements.
SOURCE Crius Energy TrustFor further information:
Chief Executive Officer
Chief Financial Officer
(416) 815-0700 ext. 290