Internal

Williams announced that the Internal Revenue Service has issueda favorable ruling on the company’s proposed tax free spin-off ofits communications business to Williams’ shareholders. The rulingwould permit a tax-free distribution of Williams Communications’stock to shareholders in what is commonly known as a spin-offtransaction. Under this form of transaction, each Williamsshareholder would get a proportionate number of WCG shares.Williams currently owns 85% of Williams Communications. It soldabout 15% of Williams Communications last October in public andprivate equity offerings. Last month the company’s board voted tobegin the separation process, which is expected to take about 18months. In a statement, CEO Keith Bailey said the company thoughtthe steps were “the best way to ensure that both our energy andcommunications businesses have the efficient and effective accessto the capital necessary to pursue the substantial growthopportunities that each enjoys.”

Many utilities are unprepared to handled the challenge ofcompetitive markets because their internal organizations have beenneglected, says a recent report.

Many utilities are unprepared to handled the challenge ofcompetitive markets because their internal organizations have beenneglected, says a recent report.

The electric unit at Reliant’s Buckley Compressor Station northof Shreveport, LA has shut down because of internal problems. Theoutage may last several weeks, a gas control staffer said; anupdate will be posted soon on the pipeline’s bulletin board.