Crown Castle to Convert to a REIT
"We are delighted to announce this plan for conversion because we believe REIT status is the optimal structure for our business given the real estate nature of our assets," stated
Cautionary Language Regarding Forward-Looking Statements
This press release contains forward-looking statements that are based on management's current expectations. Such statements include
There are a number of implementation and operational complexities to address before
Crown Castleexpects to convert to a REIT, including completing internal reorganizations. Crown Castle can provide no assurance as to when the conversion to a REIT will be successful, if at all. If Crown Castle fails to elect REIT status for the taxable year commencing January 1, 2014, the next earliest date on which Crown Castlecan elect REIT status would be for the taxable year commencing January 1, 2015. In addition, Crown Castlecan provide no assurance that any proposed implementation of REIT-related ownership and transfer restrictions will be adopted.
REIT qualification involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, as amended, to
Crown Castle'soperations, as well as various factual determinations concerning matters and circumstances not entirely within Crown Castle'scontrol. Although, if Crown Castleconverts to a REIT, Crown Castleplans to operate in a manner consistent with REIT qualification rules, Crown Castlecannot give assurance that it will so qualify or remain so qualified.
Crown Castlecurrently intends to take the steps necessary to convert to a REIT, the REIT election decision is subject to final approval by the Crown Castle Board of Directors. Crown Castle can give no assurances that its Board of Directors will continue to pursue a conversion to a REIT, even if there are no impediments to such conversion.
Crown Castlehas considered a variety of strategies, including alternative financing, capital and tax strategies, designed to maximize long-term shareholder value, but there can be no assurances that conversion to a REIT will be the most beneficial alternative considered.
Changes in legislation or the federal tax rules can adversely impact
Crown Castle'sability to convert to a REIT or the benefits of being a REIT.
Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected. More information about potential risk factors that could affect
This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval.
Jay Brown, CFO Fiona McKone, VP - Corporate Finance Crown Castle International Corp.713-570-3050