July 23, 2002 |
Dynegy Inc., owner of 21 power plants and a natural gas pipeline from Texas to Michigan, had its credit ratings cut to "junk" by Standard & Poor's Corp. because of lower profit from selling electricity to other utilities. S&P cut the long-term rating for Dynegy and its subsidiaries two levels to BB from BBB-minus, the lowest investment grade, S&P said. Senior unsecured bonds of Dynegy Holdings Inc., Dynegy's debt-issuing arm, were cut to B-plus from BBB-minus.
January 21, 2004
Dynegy Inc. and West Coast Power, a joint venture in California between Dynegy and NRG Energy Inc., agreed to pay $3 million to settle Federal Energy Regulatory Commission charges related to trading in Western energy markets in 2000 and 2001. The companies agreed to pay into a fund established at the U.S. Treasury for the benefit of California and Western electricity consumers, Dynegy said.
June 26, 2002 |
Dynegy Inc.'s credit rating was cut by Standard & Poor's Corp. to one notch above junk, a day after the energy company disclosed plans to cut its dividend in half and sell assets to raise cash. Standard & Poor's lowered its rating to BBB-minus from BBB and said the outlook on Dynegy's debt remained negative. Shares of Houston-based Dynegy fell 73 cents to $6.67 on the NYSE.
August 5, 2004 |
Dynegy Inc., owner of power plants in 12 U.S. states, has agreed to pay $22 million to former Chief Executive Charles L. Watson to resolve a dispute over his severance package. Watson's contract was terminated in May 2002 after a 62% drop in the company's stock price that year amid federal investigations of the energy company's trading and accounting.
October 23, 2002 |
A federal judge revived a suit by Enron Corp. shareholders against energy company Dynegy Inc. for abandoning a $23-billion merger. Dynegy pulled out of a proposed acquisition of Enron on Nov. 28, 2001, prompting suits by Enron and its shareholders. A federal bankruptcy judge in April blocked the shareholder suit from going forward. U.S. District Judge Alvin Hellerstein in New York reversed the bankruptcy judge's ruling and reinstated the shareholder suit.
July 9, 2005 |
A federal judge approved Dynegy Inc.'s $468-million settlement, announced April 15, of a shareholder lawsuit accusing the company of accounting misdeeds. The agreement with plaintiffs led by the University of California was the ninth-largest settlement of a class-action securities fraud case in the U.S. The settlement will be paid with $150 million from its directors' and officers' insurance policies, $250 million in cash and $68 million from the issuance of stock, Dynegy said in April.