ST. JOHN’S, NF, September 14, 2001 – Newfoundland Power Inc. announced today that it has closed its $40 million deal to acquire 70,000 joint use poles and related infrastructure from Aliant Telecom Inc. in Newfoundland Power’s service territory.
The $40 million transaction will be completed over a five-year period and represents approximately eight per cent growth in Newfoundland Power’s rate base. Approximately 70 per cent of the acquisition will occur by January 1, 2002.
“Over the last few years Newfoundland Power has made significant progress in improving productivity, reliability and customer service,” says Philip G. Hughes, President and Chief Executive Officer, Newfoundland Power Inc.
Newfoundland Power’s customer service is at an all time high, operating cost per customer is at its lowest in a decade and the company’s electrical rates continue to be the lowest in Atlantic Canada.
“This acquisition enables Newfoundland Power to accelerate its progress in delivering benefits to our customers and shareholders.”
Newfoundland Power now owns approximately 80 per cent of all distribution poles on the island of Newfoundland.