NEW YORK—Price Communications Corp.’s board of directors has decided to pursue liquidating the company, according to a filing with the Securities and Exchange Commission.
The small wireless operator has been operating in partnership with Verizon Wireless since 2002; prior to that, Price operated its own TDMA network that served more than 560,000 subscribers in Georgia, Alabama, South Carolina and Florida, covering a population of about 3.4 million.
Price reported a fourth-quarter 2005 loss of $196 million, mostly due to a year-end charge due to an accounting requirement. The company also recorded an income tax benefit of $92 million.
The vote to liquidate must take place before August and shareholders representing two-thirds of the company’s outstanding shares must vote in favor of the liquidation for it to occur. Analyst Ric Prentiss of Raymond James estimated that the value of the partnership would be about $1.2 billion by the time the vote must occur.
Price Communications officials were unable to immediately comment on the announcement.
