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FORM 8-K
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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
CURRENT REPORT
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Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (date of earliest event Reported) October 13, 1994
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THE COLUMBIA GAS SYSTEM, INC.
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(Exact name of registrant as specified in its charter)
Delaware 1-1098 13--1594808
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(State of other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
20 Montchanin Road, Wilmington, Delaware 19807
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(Address of principal executive offices)
Registrant's telephone number, including area code (302) 429-5000
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Item 5. Other Events
Information contained in a News Release dated October 12, 1994, is
incorporated herein by reference.
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Contacts: Media - H. W. Chaddock (302) 429-5261
Analysts - T. L. Hughes (302) 429-5363
K. P. Murphy (302) 429-5471
FOR IMMEDIATE RELEASE October 12, 1994
BANKRUPTCY COURT APPROVES TAX SETTLEMENT
BETWEEN IRS AND COLUMBIA COMPANIES
Wilmington, Del. -- The U.S. Bankruptcy Court for the District of
Delaware today approved the tax settlement the Columbia Gas System, Inc.,
(NYSE:CG) and Columbia Gas Transmission Corporation entered into with the
Internal Revenue Service earlier this year.
It resolves the $553 million claim filed in 1992 by the IRS in the
companies' Chapter 11 proceedings for contested issues that arose during the
years 1983 through 1990. Under the settlement, the IRS claim is reduced to $63
million in taxes and $49 million in related interest. On an after-tax basis,
taking into account tax deductions that become available in subsequent years,
the final cost of the settlement is expected to be about $46 million.
The earnings impact of the settlement has previously been recorded.
The settlement was previously approved by the Joint Committee on
Taxation of the U.S. Congress.
The Columbia Gas System, Inc., and its principal pipeline subsidiary,
Columbia Gas Transmissions Corp., have been operating as debtors-in-possession
under Chapter 11 of the Federal Bankruptcy Code since July 31, 1991.
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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 hereunto duly authorized.
The Columbia Gas System, Inc.
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(Registrant)
By /s/ R. E. Lowe
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R.E. Lowe
Vice President and
Controller
Date: October 13, 1994
