/NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. NEWSWIRES/
MONTREAL, June 18 /CNW Telbec/ - Gaz Métro inc. ("GMi") announced today
the closing of its previously announced offering of $100 million of 4.93%
Series L First Mortgage Bonds (the "Series L Bonds") guaranteed by Gaz Métro
Limited Partnership ("Gaz Métro").
The Series L Bonds, bearing interest at the rate of 4.93% per annum, will
mature on June 18, 2019. Standard & Poor's Rating Services and DBRS Limited
have each assigned an A rating to the Series L Bonds. The prospectus
supplement and the pricing supplement relating to this issue are available on
the SEDAR website at www.sedar.com under Gaz Métro inc.'s profile.
This offering of Series L Bonds was made to address the upcoming maturity
of all outstanding 6.95% Series H First Mortgage Bonds of GMi in the aggregate
principal amount of $100,000,000 (the "Series H Bonds") on November 2, 2009.
Proceeds from this issue were loaned to Gaz Métro on substantially similar
terms as to interest rate and maturity as those of the Series L Bonds. These
proceeds were added to Gaz Métro's general funds and were used to prepay Gaz
Métro's outstanding indebtedness under the bridge-loan drawn in connection
with the acquisition of Green Mountain Power Corporation by Northern New
England Energy Corporation which would have matured on October 9, 2009, and
for general corporate purposes. Upon maturity of the Series H Bonds, GMi
expects to reimburse their holders through the same sources of financing that
would otherwise have been used, among other purposes, for the reimbursement of
The Series L Bonds were offered on an agency basis by a syndicate of
dealers led by BMO Nesbitt Burns Inc., and including Desjardins Securities
Inc., National Bank Financial Inc., Scotia Capital Inc., CIBC World Markets
Inc., RBC Dominion Securities Inc., TD Securities Inc., Laurentian Bank
Securities Inc. and Casgrain & Company Limited.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy Series L Bonds in any jurisdiction.
The Series L Bonds have not been and will not be registered under the
United States Securities Act of 1933, as amended, or any state securities
laws, and may not be offered, sold or delivered, directly or indirectly, in
the United States of America. This press release does not constitute an offer
to sell or the solicitation of an offer to buy such securities in the United
Gaz Métro Overview
With nearly $3.6 billion in assets, Gaz Métro is Quebec's leading natural
gas distribution company. Working in this regulated industry for over 50
years, Gaz Métro has become the trusted energy provider to over 180,200
customers in Quebec and 134,500 customers in Vermont while developing the
skills and expertise needed to diversify beyond natural gas. Gaz Métro's
prudent growth strategy has been met with the successful entry into
electricity distribution in Vermont and in the wind power sector. Offering
historically strong and stable distributions with a competitive spirit, Gaz
Métro is committed to its customers, unitholders, employees and community.
For further information:
For further information: Investors and analysts: Caroline Warren,
Investor Relations, (514) 598-3324; Media: Marie-Noelle Cano, Media and Public
Relations, (514) 598-3449