FOR IMMEDIATE RELEASE
CHORUS COMMUNICATIONS GROUP ENTERS
INTO MERGER AGREEMENT WITH TELEPHONE AND DATA SYSTEMS
November 27, 2000 - Madison, Wis. - Chorus Communications Group, Ltd. of
Madison, Wis. [OTC Bulletin Board: CCGL] announced today that it has
entered into a definitive agreement with Telephone and Data Systems, Inc.
[AMEX:TDS] after which Chorus will become a wholly owned subsidiary of TDS
and Chorus shareholders will receive $36.07 in cash per share. The
transaction is subject to certain conditions, including regulatory
approvals and approval by Chorus shareholders, and is expected to close in
the second quarter of 2001. The total purchase price for Chorus will be
approximately $195 million plus the assumption of debt. Chorus' stock
closed Friday at $16.00 per share.
Dean W. Voeks, President and Chief Executive Officer of Chorus said: "This
merger with TDS is the logical partnership of two strong companies with the
same perspective regarding the future opportunities and challenges facing
each of us in the changing telecommunications marketplace. I believe, being
a member of the TDS family will greatly enhance our ability to serve both
our customers and our employees."
Legg Mason Wood Walker, Incorporated served as financial advisor to the
Company and issued a fairness opinion to the Board of Directors in
connection with the transaction. The Company intends to file in the next
three to four weeks with the Securities and Exchange Commission a
preliminary proxy statement with respect to the TDS merger. Following SEC
review, the Company will forward a proxy statement to all Chorus
shareholders for approval of the transaction.
Chorus also announced today the declaration of a $0.16 cash dividend per
share payable on December 15, 2000 to shareholders of record as of December
8, 2000. Pending the closing of the TDS transaction, the Company has agreed
not to declare or pay any additional dividends.
Chorus Communications Group, Ltd. is a telecommunications company serving
approximately 45,000 business and residential access lines and 30,000
Internet customers primarily in Wisconsin. Its assets include the local
exchange carriers Mid-Plains, Inc., Dickeyville Telephone and Farmers
Telephone Company. The Company's other operations, including Chorus
Networks, sell, install and service business telephone and
videoconferencing systems, data networks, Internet access and long
distance. Chorus also has recently entered the CLEC business in Wisconsin
and Minnesota. In addition, through its local exchange carriers, Chorus has
interests in certain wireless partnerships in Wisconsin.
TDS is a diversified telecommunications corporation founded in 1969.
Through its strategic business units, U.S. Cellular and TDS Telecom, TDS
operates primarily by providing cellular and local telephone service. The
Company currently employs over 8,000 people and serves approximately 3.6
million customers in 35 states. Founded in 1969, TDS Telecom serves more
than 900 rural and suburban communities in 28 states. The company has
achieved steady growth and is America's ninth largest non-Bell telephone
company, with more than 696,000 access lines and revenues of $546 million
in 1999.
All information set forth in this news release, except historical and
factual information, represents forward-looking statements. This includes
all statements about the Company's plans, beliefs, estimates and
expectations. These statements are based on current estimates and
projections, which involve certain risks and uncertainties that could cause
actual results to differ materially from those in the forward-looking
statements. Important factors that may affect these forward-looking
statements include, but are not limited to: receipt and timing of
regulatory and shareholder approvals and the satisfaction of other closing
conditions to the TDS merger; changes in the overall economy; changes in
competition in the markets in which Chorus operates; advances in
telecommunications technology; changes in the telecommunications regulatory
environment; pending and future litigation; acquisitions/divestitures of
properties and or licenses; changes in customer growth rates, penetration
rates, churn rates, and the mix of products and services offered in our
markets. Investors are encouraged to consider these and other risks and
uncertainties that are discussed in documents filed by Chorus with the SEC.
For further information contact:
DEANNE BOEGLI, VICE PRESIDENT - MARKETING
voice: 608-826-4230
e-mail: deanne.boegli@chorusgroup.com
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CHRISTY LAMASNEY, CORPORATE COMMUNICATIONS MANAGER
voice: 608-826-4296
e-mail: christy.lamasney@chorusgroup.com
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Chorus Communications Group, Ltd.
8501 Excelsior Drive
Madison, WI 53717
For further information about Chorus, visit:
www.chorusgroup.com
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