UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITES EXCHANGE ACT OF 1934
Date of Report (Date of earliest events reported) December 8, 1999
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December 7, 1999
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PUBLIC SERVICE COMPANY OF NEW MEXICO
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(Exact name of registrant as specified in its charter)
New Mexico 85-00019030
------------------------- Commission -----------
(State or Other Jurisdiction File Number 1-6986 (I.R.S. Employer
of Incorporation) ------ Identification Number)
Alvarado Square, Albuquerque, New Mexico 87158
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(Address of principal executive offices) (Zip Code)
(505) 241-2700
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(Registrant's telephone number, including area code)
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(Former name, former address and former fiscal year,
if changed since last report)
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Item 5. Other Event
The following is the Company's repurchase of common stock and quarterly dividend
disclosed in the Company's news release dated December 7, 1999, and is being
filed herewith as a current event.
PNM Announces $20 Million Common Stock Repurchase, Quarterly Dividend
Albuquerque, N.M., December 7, 1999 - The Board of Directors of PNM, Public
Service Company of New Mexico (NYSE:PNM), today authorized the company to
repurchase up to $20 million of PNM common stock.
The repurchase is the second stock buyback PNM has undertaken in 1999. Earlier
this year, the company bought one million shares of PNM common stock for $17.7
million. There are approximately 40,774,000 PNM common shares now outstanding.
"Given the current market price of PNM stock and the amount of cash the company
now has available, repurchase of additional shares makes sound financial sense,"
said PNM Chairman, President and Chief Executive Officer Benjamin Montoya.
"Reducing the number of shares available in the marketplace is one of the most
direct ways of translating PNM's strong financial performance into enhanced
shareholder value."
At its meeting today, the PNM board also declared a dividend of 20 cents ($0.20)
per share on the company's common stock. The dividend is payable February 18,
2000, to shareholders of record at the close of business Feb. 1, 2000. The
common stock dividend is unchanged from the previous quarter, an indicated
annual rate of 80 cents per share.
The board also declared the regular quarterly dividend of $1.145 per share on
the company's 4.58 percent series of cumulative preferred stock, payable January
15, 2000, to shareholders of record at the close of business Jan. 1, 2000.
In the common stock repurchase, PNM plans to buy shares on the open market from
time to time, depending on prevailing market conditions and other factors. The
company may discontinue purchase of the common stock at any time that management
determines additional purchases are not warranted.
PNM is a combined electric and gas utility serving approximately 1.3 million
people in New Mexico. The company also sells power on the wholesale market,
manages the City of Santa Fe's water system, and offers energy and water
management services for other municipalities and for government and
institutional clients. The company's stock is traded primarily on the NYSE under
the symbol PNM.
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Statements made in this news release that relate to future events are made
pursuant to the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are based upon current expectations and the company
assumes no obligation to update this information. Because actual results may
differ materially from expectations, the company cautions readers not to place
undue reliance on these statements. Changes in interest rates, trends in the
local and national economy, energy supply and demand, federal and state
regulatory activity, the transition to a competitive electric market in New
Mexico and the potential effects of stranded cost recovery associated with that
transition may all have an impact on PNM's financing plans, operating
performance, and future profitability. For a more detailed discussion of these
and other important factors affecting PNM, please see "Management's Discussion
and Analysis of Financial Condition and Results of Operations" in the Company's
Form 10-K for the year ended December 31, 1998 and the Form 10-Q for the quarter
ended September 30, 1999.
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<PAGE>
SIGNATURES
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.
PUBLIC SERVICE COMPANY OF NEW MEXICO
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(Registrant)
Date: December 8, 1999 /s/ John R. Loyack
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John R. Loyack
Vice President, Corporate Controller
And Chief Accounting Officer
(Officer duly authorized to sign this report)
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