Summary
This Form 8-K filing from Southern Company (SO) on April 5, 2001, details the completion of the spin-off of its subsidiary, Mirant Corporation. The distribution of Mirant shares to Southern shareholders was finalized on April 2, 2001. Southern shareholders of record as of March 21, 2001, received all of Southern's shares in Mirant, representing approximately 80.3% of Mirant's outstanding common stock at the time of the distribution. Southern received no direct financial consideration for this spin-off. The filing includes a pro forma condensed consolidated balance sheet as of December 31, 2000, reflecting the impact of the Mirant spin-off. This pro forma data indicates a significant reduction in Southern's total assets, primarily due to the removal of Mirant's net assets. The spin-off was treated as a discontinued operation in Southern's prior financial statements.
Key Highlights
- 1Southern Company completed the spin-off of Mirant Corporation on April 2, 2001.
- 2Southern shareholders of record on March 21, 2001, received a stock distribution of Mirant shares.
- 3Southern distributed approximately 80.3% of Mirant's outstanding common stock.
- 4No financial consideration was received by Southern for the Mirant spin-off.
- 5Mirant has been accounted for as a discontinued operation in Southern's financial statements.
- 6Pro forma balance sheet data as of December 31, 2000, shows the financial impact of the spin-off, with a reduction in total assets and equity.
- 7The spin-off adjustments were primarily made from paid-in capital and retained earnings.