EVANSVILLE, Ind., April 25, 2003 — Vectren Corp. and Citizens Gas and Coke Utility of Indianapolis have signed a letter of intent to sell the assets of their jointly owned affiliate CIGMA, LLC to McJunkin Corp.
CIGMA was created in 1997 to provide gas products and integrated supply services to utilities throughout the region. McJunkin is North America’s leading distributor of industrial pipe, valves and fittings.
Herb Van Keuren, President of CIGMA said, “CIGMA is excited about the opportunity to be part of the McJunkin team, it is a great strategic fit. Our sharp focus on the product and service needs of the natural gas distribution business will nicely complement and enhance the offerings of McJunkin.”
Bernie Wehrle, President of McJunkin Corporation, said of the acquisition, “By joining with CIGMA, a recognized leader in gas products and integrated supply services, we strengthen this important growth initiative for us.”
CIGMA and McJunkin distribute products such as polyethylene pipe and fittings, valves, meter sets, and line markers to gas utilities serving residential, commercial and industrial customers. Additionally, CIGMA and McJunkin serve as the outsourced materials manager for several utilities around the country.
“CIGMA brings a real depth of technical expertise and years of practical experience in the gas products industry,” said David Campbell, Vice President of McJunkin’s Gas Products Division, “This acquisition greatly expands the breadth of products and services we can bring to the market.”
The transaction is expected to be complete in the second quarter of 2003.
About VECTREN CORPORATION
Vectren Corporation is an energy and applied technology holding company headquartered in Evansville, Indiana. Vectren’s energy delivery subsidiaries provide gas and/or electricity to over one million customers in adjoining service territories that cover nearly two-thirds of Indiana and west central Ohio. Vectren’s non-regulated subsidiaries and affiliates currently offer energy-related products and services to customers throughout the surrounding region. These services include energy marketing; coal mining; utility infrastructure services; and broadband communication services. To learn more about Vectren, visit www.vectren.com .
About CIGMA LLC
Created in 1997, CIGMA, LLC is a joint venture of Vectren Utility Services, Inc, and Citizens By-Products. CIGMA is a regional distributor and integrated supplier to the utility, pipeline construction and related industries. To learn more about CIGMA, visit www.cigma.com .
About CITIZENS GAS & COKE UTILITY
Citizens Gas & Coke Utility is a Public Charitable Trust providing safe, reliable and low-cost energy services to more than 262,000 customers in Marion County. To learn more about Citizens Gas, visit www.citizensgas.com .
Founded in 1921 and based in Charleston, West Virginia, McJunkin is a provider of industrial pipe, valve, fittings and flanges. Additionally, McJunkin is a provider of integrated services to the industrial process industries. A privately held, family run business, McJunkin has over 125 branches serving the entire United States. In addition to their U.S. locations, the company has operations in Mexico, Venezuela and Nigeria. More information is available by visiting the company’s web site at www.mcjunkin.com .