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):
DECEMBER 16, 2002
GREEN MOUNTAIN POWER CORPORATION
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
VERMONT 03-0127430
(STATE OR OTHER JURISDICTION OF INCORPORATION) (I.R.S. EMPLOYER IDENTIFICATION
NUMBER)
1-8291
COMMISSION FILE NUMBER
163 ACORN LANE,
COLCHESTER, VERMONT 05446
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)
(ZIP CODE)
(802) 864-5731
(REGISTRANT'S TELEPHONE NUMBER,
INCLUDING AREA CODE)
Item . Other Events. Green Mountain Power places $42 million first mortgage
bonds
COLCHESTER, VT. Green Mountain Power Corporation (NYSE:GMP) announced
today the sale through private placement of $42 million principal amount of
first mortgage bonds bearing interest at 6.04 percent per year and maturing on
December 1, 2017. The average life of the bond issuance is twelve years and the
bonds are subject to seven equal annual principal payments beginning on December
1, 2011.
Net proceeds from the sale will be used to repay short-term and
intermediate-term borrowings, including amounts arising as a result of the
Company's successful repurchase of approximately 812,000 shares of its common
stock through a modified Dutch Auction last month. Proceeds will also be used
to redeem $8 million in first mortgage bonds due December 18, 2002, and for
other corporate purposes. The repayment of amounts outstanding under the
Company's revolving credit facility and its $12 million two-year term loan means
that the annual dividend paid on the Company's common stock will increase to
$0.76 per share, consistent with the action of the Company's Board of Directors
earlier this month.
"This issuance completes our financing plan for 2002," said Christopher Dutton,
President and Chief Executive Officer. "The bond sale improves our liquidity
and, with the stock repurchase, will lower costs of capital for our customers
for many years. We also expect to increase our dividend over the next several
years in a measured, consistent manner to a payout range of between fifty and
sixty percent of annual earnings, which we will sustain so long as our financial
health seems assured."
There are statements in this information release that contain projections or
estimates and that are considered to be "forward-looking" as defined by the
Securities and Exchange Commission (the "SEC"). In these statements, you may
find words such as believes, expects, plans, or similar words. These statements
are not guarantees of our future performance. There are risks, uncertainties
and other factors that could cause actual results to be different from those
projected.
ITEM 7 FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS.
(a) and (b) --not applicable
(c) Exhibits--not applicable
For further information, contact Dorothy Schnure, Manager of Corporate
Communications, (802) 655-8418.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly cased this report to be signed on its behalf by the
undersigned thereunto duly authorized.
GREEN MOUNTAIN POWER CORPORATION
Registrant
DATED: December 16, 2002 By:/s/Robert J. Griffin
-------------------------
ROBERT J. GRIFFIN, CONTROLLER AND TREASURER
DATED: December 16, 2002 By:/s/Robert J. Griffin
-------------------------
ROBERT J. GRIFFIN, CONTROLLER AND TREASURER
(AS PRINCIPAL FINANCIAL OFFICER)