HIGHLAND HEIGHTS, Ky.--(BUSINESS WIRE)--Nov. 18, 2005--General
Cable Corporation (NYSE:BGC) a leading global supplier of wire and
cable products for the energy, specialty, industrial, and
communications markets, today announced the execution of the
definitive Share Purchase Agreement for the acquisition of the Silec
energy cable business of SAFRAN SA. Subject to closing adjustments,
the consideration to be paid for the acquisition would be
approximately 75 million Euros, which includes about 65 million Euros
for the net working capital.
The transaction is expected to close before the end of the year,
and is subject to customary closing conditions, including regulatory
approval. "We look forward to the opportunity to create value through
the combination of General Cable's worldwide sales and marketing reach
and lean manufacturing techniques and Silec's technical expertise in
the high-end energy transmission cable business," said Domingo
Goenaga, President and Chief Executive Officer of General Cable
Europe.
The purchase will be completed by General Cable subsidiary Grupo
General Cable Sistemas, S.A. General Cable Corporation will guarantee
performance of the obligations under the Share Purchase Agreement.
Silec is recognized as a global leader in the design, engineering
and installation of high voltage underground links. The company is
also among the major producers of energy and industrial cables for the
European market. General Cable (NYSE:BGC), headquartered in Highland
Heights, Kentucky, is a leader in the development, design,
manufacture, marketing and distribution of copper, aluminum and fiber
optic wire and cable products for the energy, industrial, specialty
and communications markets.
Certain statements in this press release, including without
limitation, statements regarding future financial results and
performance, plans and objectives, capital expenditures and the
Company's or management's beliefs, expectations or opinions, are
forward-looking statements. Actual results may differ materially from
those statements as a result of factors, risks and uncertainties over
which the Company has no control. Such factors include economic and
political consequences resulting from the September 2001 terrorist
attack and the war with Iraq, economic consequences arising from
natural disasters and other similar catastrophes, such as floods,
earthquakes, hurricanes and tsunamis; domestic and local country price
competition, particularly in certain segments of the power cable
market and other competitive pressures; general economic conditions,
particularly in construction; changes in customer or distributor
purchasing patterns in our business segments; the Company's ability to
increase manufacturing capacity and productivity; the financial impact
of any future plant closures; the Company's ability to successfully
complete and integrate acquisitions and divestitures; the Company's
ability to negotiate extensions of labor agreements on acceptable
terms; the Company's ability to service debt requirements and maintain
adequate domestic and international credit facilities and credit
lines; the Company's ability to pay dividends on its preferred stock;
the impact of unexpected future judgments or settlements of claims and
litigation; the Company's ability to achieve target returns on
investments in its defined benefit plans; the Company's ability to
avoid limitations on utilization of net losses for income tax
purposes; the cost and availability of raw materials, including
copper, aluminum and petrochemicals, generally and as a consequence of
hurricanes Katrina and Rita; the Company's ability to increase its
selling prices during periods of increasing raw material costs; the
impact of foreign currency fluctuations; the impact of technological
changes; and other factors which are discussed in the Company's Report
on Form 10-K filed with the Securities and Exchange Commission on
March 30, 2005, as well as periodic reports filed with the Commission.
CONTACT: General Cable Corporation
Michael P. Dickerson, 859-572-8684
SOURCE: General Cable Corporation
