JACKSON, Mich., May 29, 2013 /PRNewswire/ -- CMS Energy's utility unit, Consumers Energy, is exercising its redemption right related to all of its outstanding $4.16 Preferred Stock [CMS-PA] (the "$4.16 Preferred Stock") of approximately $6.8 million aggregate par value. The redemption date will be July 1, 2013.
The outstanding share count of the $4.16 Preferred Stock is currently at a level below the minimum required for listing on the New York Stock Exchange. Consumers Energy is exercising its redemption right to assist holders in avoiding issues that might otherwise arise from holding a delisted security.
Upon redemption, holders of the $4.16 Preferred Stock will be entitled to receive $103.25 per share (the "redemption price"). Accrued dividends to the date of redemption with respect to each share of $4.16 Preferred Stock redeemed will be paid to holders of record as of June 3, 2013.
The redemption price in respect of each share of $4.16 Preferred Stock will be paid in cash on July 1, 2013. Payment of the redemption price to registered holders of $4.16 Preferred Stock will be made only upon surrender of the certificates for such shares to Consumers Energy, redemption agent, Investor Services Department, One Energy Plaza, Jackson, MI 49201.
From and after the redemption date, dividends on the $4.16 Preferred Stock will cease to accumulate and the $4.16 Preferred Stock no longer will be deemed to remain outstanding. All rights of the holders with respect to the $4.16 Preferred Stock will terminate, except the right to receive the amounts owing upon redemption as described above. No transfers of ownership will be processed after June 3, 2013.
CMS Energy (NYSE: CMS) is a Michigan-based company that has an electric and natural gas utility, Consumers Energy, as its primary business and also owns and operates independent power generation businesses.
This news release contains forward-looking statements. The forward-looking statements are subject to risks and uncertainties. They should be read in conjunction with "FORWARD-LOOKING STATEMENTS AND INFORMATION" and "RISK FACTORS", each found in Consumers Energy's Form 10-K for the year ended December 31, 2012 and Form 10-Q for the quarter ended March 31, 2013. Consumers Energy's "FORWARD-LOOKING STATEMENTS AND INFORMATION" and "RISK FACTORS" sections are incorporated herein by reference and discuss important factors that could cause Consumers Energy's results to differ materially from those anticipated in such statements.
For more information on Consumers Energy, please visit our web site at: www.cmsenergy.com
SOURCE CMS Energy