DP&L expects to continue paying dividends to holders of the utility’s preferred stock, AES officials said.
The merger should not affect the pensions of DP&L retirees, because the parent company DPL contributed $80 million to the pension plan in 2010 and 2011 and it is currently meeting federal requirements for funding levels, AES officials said.
AES agreed to assume $1.2 billion of DPL debt as part of the merger.
AES also owns Indianapolis Power & Light Co., which it bought in 2001. AES said it wanted DP&L in order to expand the new owner’s presence in the Midwest.
AES has promised not to pass along to DP&L ratepayers any expenses directly related to the negotiation, approval and closing of the merger.
Contact this reporter at (937) 225-2242 or jnolan@DaytonDailyNews.com.