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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) July 18, 1995
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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 July 18, 1995, is
incorporated herein by reference.
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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/ L. J. Bainter
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L. J. Bainter
Treasurer
Date: July 18, 1995
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Contacts: Media - H. W. Chaddock (302) 429-5261
W. R. McLaughlin (302) 429-5443
Analysts - T. L. Hughes (302) 429-5363
K. P. Murphy (302) 429-5471
FOR IMMEDIATE RELEASE July 18, 1995
COLUMBIA GAS SYSTEM REACHES AGREEMENT IN PRINCIPLE
IN SECURITIES LAWS CLASS ACTION LAWSUITS
WILMINGTON, DEL. -- The Columbia Gas System, Inc. (NYSE:CG) today
announced it has reached an agreement in principle resolving the class action
lawsuits alleging securities laws violations that were filed with the U.S.
District Court in Delaware following the Corporation's June 1991 announcement
of a major charge against earnings and suspension of its common stock dividend.
The lawsuits were filed against the Corporation, its independent
public accountants, the underwriters for the Corporation's 1990 common stock
offering, and certain officers and directors of the Corporation and Columbia
Gas Transmission Corporation by various security holders on behalf of a
purported class of all such security holders.
Columbia's portion of the proposed $36.5 million settlement would be
approximately $16.5 million. The remainder would be shared among the insurance
carrier for the directors and officer defendants and the other defendants to
the litigation.
New Columbia System Chairman and CEO Oliver G. Richard III said
Columbia is not admitting any wrongdoing or liability and agreed to the
proposed settlement to avoid costly and time-consuming litigation and to
facilitate its Chapter 11 reorganization process.
The settlement would be subject to approval by the U. S. District
Court in Delaware. It is also conditioned upon
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confirmation of the Corporation's amended Chapter 11 reorganization plan by the
U.S. Bankruptcy Court for the District of Delaware. The settlement would be
implemented when the Corporation's reorganization plan is confirmed.
The Columbia Gas System, Inc., is one of the nation's largest natural
gas holding companies. Subsidiary companies are engaged in the exploration,
production, purchase, storage, transmission and distribution of natural gas as
well as other energy operations. The parent company and its principal pipeline
subsidiary have been operating as debtors-in-possession under Chapter 11 of the
Bankruptcy Code since July 31, 1991.
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