CHARLOTTE, N.C., March 24, 2021 /PRNewswire/ -- A subsidiary of Duke Energy (NYSE: DUK), Progress Energy, today announced it will direct the trustee for its Contingent Value Obligations to pay holders of outstanding Contingent Value Obligations (CVO) approximately $1.03 per CVO. The upcoming payments account for all funds previously deposited with the trustee and no future payments will be made related to the CVOs.
The CVOs were issued as a result of the Progress Energy and Florida Progress Corporation share exchange on Nov. 30, 2000. One CVO was issued for every Florida Progress Corporation share owned at the time.
The one-time final payment will be made by the trustee to the paying agent, American Stock Transfer (AST), on April 19, 2021 for the pro rata benefit of holders of record as of March 29, 2021. AST will send payments directly to the CVO holders.
Duke Energy will report to the Internal Revenue Service that approximately 70.04% of each payment, or approximately $0.7004 per CVO, constitutes interest income to CVO holders. Given this, the company encourages CVO holders to consult a financial or tax advisor about tax consequences for his or her unique situation.
For more information on the CVOs, visit the quarterly report filed on the Form 8-K dated March 24, 2021, which the company filed with the Securities and Exchange Commission today. If investors have questions, they can contact American Stock Transfer (AST) at 877.711.4092.
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of the largest energy holding companies in the U.S. It employs 30,000 people and has an electric generating capacity of 51,000 megawatts through its regulated utilities, and 3,000 megawatts through its nonregulated Duke Energy Renewables unit. Duke Energy is transforming its customers' experience, modernizing the energy grid, generating cleaner energy and expanding natural gas infrastructure to create a smarter energy future for the people and communities it serves. The Electric Utilities and Infrastructure unit's regulated utilities serve approximately 7.7 million retail electric customers in six states – North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky. The Gas Utilities and Infrastructure unit distributes natural gas to more than 1.6 million customers in five states – North Carolina, South Carolina, Tennessee, Ohio and Kentucky. The Duke Energy Renewables unit operates wind and solar generation facilities across the U.S., as well as energy storage and microgrid projects.
Duke Energy was named to Fortune's 2020 "World's Most Admired Companies" list, and Forbes' 2019 "America's Best Employers" list. More information about the company is available at duke-energy.com. The Duke Energy News Center contains news releases, fact sheets, photos, videos and other materials. Duke Energy's illumination features stories about people, innovations, community topics and environmental issues. Follow Duke Energy on Twitter, LinkedIn, Instagram and Facebook.
Cautionary Language Concerning Forward-Looking Statements.
This document includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on management's beliefs and assumptions. These forward-looking statements are identified by terms and phrases such as "anticipate," "believe," "intend," "estimate," "expect," "continue," "should," "could," "may," "plan," "project," "predict," "will," "potential," "forecast," "target," "outlook," "guidance," and similar expressions. Various factors may cause actual results to be materially different than the suggested outcomes within forward-looking statements; accordingly, there is no assurance that such results will be realized. These risks and uncertainties are identified and discussed in Duke Energy's most recent Annual Report on Form 10-K and subsequent quarterly reports on Form 10-Q filed with the Securities and Exchange Commission ("SEC") and available at the SEC's website at www.sec.gov. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than Duke Energy has described. Duke Energy expressly disclaims an obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Media contact: Catherine Butler
View original content to download multimedia:http://www.prnewswire.com/news-releases/duke-energy-announces-final-payments-to-contingent-value-obligation-holders-301255045.html
SOURCE Duke Energy