AUSWR
The Association of U S West Retirees
 

 

 

Anschutz Family Co Sells Call Option On 7.2 Million Qwest Shares
Dow Jones
Saturday, June 10, 2006

WASHINGTON -(Dow Jones)- An affiliate of Qwest Communications International Inc.  founder Philip F. Anschutz on Friday reported the sale of a call option on 7.2 million Qwest shares, three days after reporting the sale of a similar option on 10 million shares.

In Friday's disclosure, Anschutz Family Investment Co. reported the sale of the option, which has an exercise price of $7.50 a share, for $10.08 million.  The option becomes exercisable and expires on Feb. 19, 2008.

Qwest shares closed on Friday at $7.67.

A call option permits the buyer to purchase shares of stock at a prearranged price.

The family investment company holds 17.2 million Qwest shares, according to a Qwest filing made in March.  With the previously reported sale of an option on 10 million Qwest shares, all of those reported holdings are now subject to call options.

The 10 million-share option also has an exercise price of $7.50 a share, and was sold for $13 million last Friday, according to a filing made late Tuesday with the Securities and Exchange Commission.  That option is exercisable and expires Jan. 18, 2008.

The buyer in the $13 million transaction effectively paid $1.30 for each option on each share, and the buyer in the second transaction paid $1.40.  The identity of the buyer or buyers wasn't disclosed in either filing.

In addition to the 17.2 million Qwest shares held by the family investment company, Anschutz, through investment vehicle Anschutz Co., holds an additional 283.2 million shares and is the manager and a 1% equity owner in the family investment company, the March proxy said.

The combined stake of the Anschutz affiliates in Qwest was 16.1%, according to the March disclosure.

Qwest announced in February that Anschutz, who stepped down as non-executive chairman in 2002, would retire from the company's board after its annual meeting, which was held last month.

-By Tony Cooke, Dow Jones Newswires; 202-862-1347; tony.cooke@dowjones.com

(END) Dow Jones Newswires 06-09-061830ET Copyright (c) 2006 Dow Jones & Company, Inc.

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