Windstream to buy Paetec for $891 mn in stock CIOL
NEW YORK, USA: Telephone company Windstream Corp plans to buy Paetec Holding Corp for about $891 million in stock to expand its broadband business and cut costs.
Paetec stockholders will get 0.460 Windstream share, or the equivalent of about $5.62 as of Friday's close. That represents a 27 percent premium over Paetec's closing Nasdaq price on Friday.
Paetec shares were up 19 percent in morning trade, while Windstream shares were up almost 1 percent.
Windstream will also assume or refinance about $1.4 billion of Paetec's debt. Paetec shareholders are expected to own about 13 percent of the combined company after the deal closes.
The deal is the latest in a rash of mergers among U.S. phone companies, which are looking to acquisitions to boost their financials as consumers disconnect home phones.
Other recent deals include rival CenturyLink's purchase of Savvis for $2.5 billion and Qwest Communications for about $10.6 billion earlier this year.
The Windstream-Paetec deal is expected to provide about $100 million in annual pre-tax operating cost savings and tax benefits of about $250 million, the companies said.
Freddie Mac Announces Winter Sales Promotion
November 16, 2011 (Shirley Allen)
Freddie Mac is offering a new round of buyer assistance on foreclosed homes purchased through its HomeSteps real estate unit from now through January 31, 2012.
The HomeSteps Winter Sales Promotion is being offered nationwide and provides closing cost assistance for the buyer and a bonus for the selling agent in selected states.
The offer is only valid on HomeSteps homes sold to owner-occupant buyers only. The program provides for buyers assistance of up to three percent of the buyers closing costs with a $1,000 bonus for the selling agent (in selected states) for initial offers tendered between November 15, 2011 and January 31, 2012. Escrows must close on or before March 15, 2012.
The Agent Bonus offer is only available on HomeSteps sales in 28 states and the District of Columbia including Colorado, Connecticut, Delaware, Iowa, Idaho, Illinois, Indiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Montana, North Dakota, Nebraska, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, South Dakota, Utah, Virginia, Vermont, Wisconsin, West Virginia, and Wyoming.
Some homes may also qualify for a two year Home Protect limited home warranty that covers electrical, plumbing, air conditioning, heating and other major systems and appliances. Home Protect also provides discounts of up to 30 percent on the purchase of appliances.
With homes selling for an average of 94 percent of the estimated market price in their respective regions, purchasing a foreclosed home through Freddie Mac’s HomeSteps real estate unit can be a great start to your homeownership experience.
Freddie Mac strives to have the best property and sales standards in the country through HomeSteps, requiring their supplier network to adhere to its HomeSteps Good Neighbor Practices.
The Good Neighbor Practices protects neighborhood values by requiring participating agents to show a clean and maintained home and sell them at market prices.
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VA Streamline Refinance Information (VA IRRRL)
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