MONMOUTH, Maine, July 16, 2015 /PRNewswire/ -- Community Service Communications, Inc., OTC: "CMYS", (the "Company") today announced that the Company's Board of Directors has approved a final liquidating distribution (the "Final Liquidating Distribution") of $0.31 per share to the holders of its common stock.
The Final Liquidating Distribution will be payable on or about August 5, 2015, to shareholders of record as of the close of business on July 27, 2015 (the "Record Date") and represents the release of all remaining corporate assets available to shareholders. No further shareholder distributions will be made.
The Company also announced today that its transfer records will be closed, and the Company's stock transfer agent will no longer recognize or record transfers of the Company's common stock for any reason, effective on the Record Date for the Final Liquidating Distribution. There is no requirement for stockholders to surrender shares in connection with the Final Liquidating Distribution. The shares are valueless and no longer traded as of the Final Liquidating Distribution.
The Company's initial distribution under the "Plan" to its shareholders was paid in December 2004. The distribution announced today is the tenth and final distribution in a series of liquidating distributions pursuant to the Plan. Upon payment of this Final Liquidating Distribution, the Company will have made aggregate liquidating distributions to its shareholders of $6,836,806 or $10.81 per share. The "Plan" had predicted an asset value of $3.5 million dollars or $5.53 in liquidating dividends per share. By being patient and selling assets to buyers that recognized their value, combined with efficient management under the Plan, the asset value returned to shareholders was $3,336,806 more than predicted or $5.28 per share.
In connection with this Final Liquidating Distribution the Company will take the necessary actions with NASDAQ to delist the Company common stock and ticker symbol of "CMYS". The Company will file a Certificate of Dissolution with the Maine Secretary of State shortly and effective on the date of such filing, the Company will dissolve under Maine law.
The income tax rules & regulations for reporting the Final Liquidating Distribution announced today and each of the previous liquidating distributions are complicated. The Company recommends that shareholders consult their own tax advisors regarding the tax consequences to them of the Final Liquidation and Dissolution.
Statements made in this press release regarding the amount and timing of payment of the Final Liquidating Distribution are forward-looking statements. Such forward-looking statements reflect the Company's current expectations with respect to future events, are based on its current assumptions and information currently available to it, and are not promises or guarantees. There can be no assurance that the Company's expectations will be achieved. The Company assumes no obligation to update the forward-looking statements included in this press release.
Community has approximately 632,452 share of Common Stock, held by approximately 296 shareholders of record.
Community Service Communications, Inc.
PO Box 30
Monmouth, ME 04259
SOURCE Community Service Communications, Inc.