SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 6, 1997
MidAmerican Energy Holdings Company
(Exact name of registrant as specified in its charter)
Iowa 1-12459 42-1451822
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification No.)
incorporation)
666 Grand Avenue, P. O. Box 657, Des Moines, Iowa 50303-0657
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 515/242-4300
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Item 5 Other Events.
MidAmerican Energy Holdings Company ("MidAmerican" or "Company") announced
on March 6, 1997 a stock repurchase program which would allow the Company to
repurchase up to $200 million of its common stock. The Company plans to purchase
the shares from time to time as market conditions warrant, with the intent of
completing the entire repurchase program by December 31, 1998. Dillon, Read &
Co. Inc. has been retained as agent for the repurchase program.
MidAmerican has 101 million common shares outstanding. The Company's common
stock is traded on the New York Stock Exchange under the symbol MEC. A copy of
MidAmerican's press release with respect to the stock repurchase program is
attached as an exhibit to this report.
Item 7. Financial Statements and Exhibits.
(c) Exhibits.
1. Press Release of MidAmerican Energy Company dated March 6, 1997.
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Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
MIDAMERICAN ENERGY HOLDINGS COMPANY
/s/ Paul J. Leighton
Paul J. Leighton
Vice President and
Corporate Secretary
March 11, 1997
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March 6, 1997
Media: John F. McCarroll (515) 281-2785
Investor Relations: J. Sue Rozema (515) 281-2250
MidAmerican Energy Holdings Company's board of directors has authorized the
Company to repurchase up to $200 million of the Company's common stock.
The Company plans to purchase the shares from time to time as market conditions
warrant, with the intent of completing the entire repurchase program by Dec. 31,
1998. Dillon, Read & Co. Inc. has been retained as agent for the repurchase
program.
"We had previously announced that cash proceeds from the sale of MidAmerican
Energy Holdings' oil and gas properties, completed in January 1997, would be
used for a combination of activities that include repurchasing shares of our
common stock, reducing Company debt and pursuing appropriate investment
opportunities," said Stanley J. Bright, president and chief executive officer of
MidAmerican Energy Holdings. "We believe MidAmerican common stock represents the
best value for our funds today."
"The $200 million authorization will allow us to repurchase more than 10 percent
of our shares outstanding at current market prices and, due to the higher
earnings per share resulting from the repurchase, will produce a lower dividend
payout ratio going forward," said Philip G. Lindner, senior vice president and
chief financial officer.
At the end of trading yesterday, the stock closed at $16.50 per share,
translating to a yield of 7.3 percent, based upon the closing price and the
indicated annual dividend of $1.20 per share. MidAmerican Energy Holdings has
101 million common shares outstanding. The Company's common stock is traded on
the New York Stock Exchange under the symbol MEC.
MidAmerican Energy Holdings Company, headquartered in Des Moines, Iowa, has
three subsidiaries: MidAmerican Energy Company, MidAmerican Capital Company and
Midwest Capital Group, Inc. MidAmerican Energy Company, Iowa's largest utility,
serves 642,000 electric customers and 610,000 natural gas customers in Iowa,
Illinois, Nebraska and South Dakota. MidAmerican Capital manages nonregulated
businesses involved in railcar management and repair, electric and natural gas
marketing, communications, security systems and passive investments. Midwest
Capital is involved in regional economic development. Information on MidAmerican
is available on the Internet at http://www.midamerican.com.
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