0001021408-01-509099.txt : 20011101
0001021408-01-509099.hdr.sgml : 20011101
ACCESSION NUMBER: 0001021408-01-509099
CONFORMED SUBMISSION TYPE: S-3
PUBLIC DOCUMENT COUNT: 6
REFERENCES 429: gov.sec.edgar.dataobjects.object.PDSubFN429Data@404c8933
FILED AS OF DATE: 20011031
FILER:
COMPANY DATA:
COMPANY CONFORMED NAME: UGI UTILITIES INC
CENTRAL INDEX KEY: 0000100548
STANDARD INDUSTRIAL CLASSIFICATION: GAS & OTHER SERVICES COMBINED [4932]
IRS NUMBER: 231174060
STATE OF INCORPORATION: PA
FISCAL YEAR END: 0930
FILING VALUES:
FORM TYPE: S-3
SEC ACT: 1933 Act
SEC FILE NUMBER: 333-72540
FILM NUMBER: 1771742
BUSINESS ADDRESS:
STREET 1: 100 KACHEL BOULEVARD SUITE 400
STREET 2: GREEN HILLS CORPORATE CENTER
CITY: VALLEY FORGE
STATE: PA
ZIP: 19607
BUSINESS PHONE: 6107963400
MAIL ADDRESS:
STREET 1: P O BOX 858
CITY: VALLEY FORGE
STATE: PA
ZIP: 19482
FORMER COMPANY:
FORMER CONFORMED NAME: CONSUMERS GAS CO
DATE OF NAME CHANGE: 19660830
FORMER COMPANY:
FORMER CONFORMED NAME: UGI CORP
DATE OF NAME CHANGE: 19920429
FORMER COMPANY:
FORMER CONFORMED NAME: UNITED GAS IMPROVEMENT CO
DATE OF NAME CHANGE: 19680911
S-3
1
ds3.txt
FORM S-3
As filed with the Securities and Exchange Commission on October 31, 2001
Registration No. 333-
================================================================================
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________
FORM S-3
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
____________________
UGI Utilities, Inc.
(Exact name of registrant as specified in its charter)
Pennsylvania 23-1174060
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
100 Kachel Boulevard, Suite 400
Green Hills Corporate Center
Reading, PA 19607
(610) 796-3400
(Address, including zip code, and telephone number,
including area code, of registrant's principal executive offices)
Brendan P. Bovaird, Esq.
Vice President and General Counsel
UGI Utilities, Inc.
460 North Gulph Road
King of Prussia, PA 19406
(610) 337-1000
(Name, address, including zip code, and telephone number
including area code, of agent for service)
with copy to:
Linda L. Griggs, Esq.
Thomas P. Conaghan, Esq.
Morgan, Lewis & Bockius LLP
1800 M Street, N.W.
Washington, D.C. 20036
(202) 467-7245
Approximate date of commencement of proposed sale to the public: From time to
time after the effective date of this registration statement as determined by
market conditions and other factors.
If the only securities being registered on this Form are being offered pursuant
to dividend or interest reinvestment plans, please check the following box. [_]
If any of the securities being registered on this Form are to be offered on a
delayed or continuous basis pursuant to Rule 415 under the Securities Act of
1933, other than securities offered only in connection with dividend or interest
reinvestment plans, please check the following box. [X]
If this Form is filed to register additional securities for an offering pursuant
to Rule 462(b) under the Securities Act, please check the following box and list
the Securities Act registration statement number of the earlier effective
registration statement for the same offering. [_]
If this Form is a post-effective amendment filed pursuant to Rule 462(c) under
the Securities Act, please check the following box and list the Securities Act
registration statement number of the earlier effective registration statement
for the same offering. [_]
If delivery of the prospectus is expected to be made pursuant to Rule 434,
please check the following box. [_]
__________________
CALCULATION OF REGISTRATION FEE
-----------------------------------------------------------------------------------------------------------
Title of Each Class Proposed Maximum Proposed Maximum Amount of
of Securities to Amount to be Offering Price Per Aggregate Offering Registration
be Registered Registered Unit (1) Price (1)(2) Fee
-----------------------------------------------------------------------------------------------------------
Debt Securities..... $123,000,000 100% $123,000,000 $30,750
-----------------------------------------------------------------------------------------------------------
Debt Securities..... $ 2,000,000(3) 100%(3) $ 2,000,000(2)(3) (3)
-----------------------------------------------------------------------------------------------------------
_______________
/(1)/ Estimated solely for the purpose of determining the registration fee.
/(2)/ In no event will the aggregate initial offering price of all securities
issued from time to time pursuant to this registration statement exceed
$125,000,000. If any such securities are issued at an original issue
discount, then the aggregate initial offering price as so discounted
shall not exceed $125,000,000, notwithstanding that the stated principal
amount of such securities may exceed such amount.
/(3)/ Pursuant to Rule 429(b), this Registration Statement includes $2,000,000
in Debt Securities previously registered on the Registration Statement on
Form S-3 (File No. 333-4288), originally filed on May 7, 1996.
The registrant hereby amends this registration statement on such date or dates
as may be necessary to delay its effective date until the registrant shall file
a further amendment which specifically states that this registration statement
shall thereafter become effective in accordance with Section 8(a) of the
Securities Act of 1933 or until the registration statement shall become
effective on such date as the Securities and Exchange Commission, acting
pursuant to said Section 8(a), may determine.
The information in this prospectus is not complete and may be changed. We may
not sell these securities until the registration statement filed with the
Securities and Exchange Commission is effective. This prospectus is not an
offer to sell these securities and it is not soliciting an offer to buy these
securities in any state where the offer or sale of these securities is not
permitted.
Subject to completion, dated October 31, 2001
PROSPECTUS
$125,000,000
Insert Logo of UGI Utilities, Inc.
Debt Securities
___________________
This prospectus contains summaries of the general terms of these debt
securities. We will provide the specific terms of these debt securities in
supplements to this prospectus.
You should read this prospectus and the prospectus supplements carefully before
you invest.
Neither the Securities and Exchange Commission nor any state securities
commission has approved or disapproved of these debt securities or passed upon
the adequacy or accuracy of this prospectus. Any representation to the contrary
is a criminal offense.
The date of this prospectus is , 2001
1
Table of Contents
Page
About this Prospectus..................................................... 3
Where You Can Find More Information....................................... 3
About UGI Utilities, Inc.................................................. 5
Ratio of Earnings to Fixed Charges........................................ 5
Use of Proceeds........................................................... 5
Description of Debt Securities............................................ 5
Form, Exchange, Registration, Transfer and Payment...................... 7
Global Securities....................................................... 7
Restrictive Indenture Provisions........................................ 9
Events of Default....................................................... 11
Modification of the Indenture........................................... 12
Consolidation, Merger, Sale or Conveyance............................... 13
Satisfaction and Discharge................................................ 13
Governing Law............................................................. 13
Regarding the Trustee..................................................... 14
Plan of Distribution...................................................... 14
Experts................................................................... 15
Legal Opinion............................................................. 15
No dealer, salesperson or other person is authorized to give any information or
to represent anything not contained in this prospectus. You must not rely on
any unauthorized information or representations. This prospectus is an offer to
sell only the debt securities offered hereby, but only under circumstances and
in jurisdictions where it is lawful to do so. The information contained in this
prospectus is current only as of its date.
2
About this Prospectus
This prospectus is part of a registration statement that we filed with the SEC
using a "shelf" registration process. Under this shelf process, we may sell any
of the types of debt securities described in this prospectus, including
debentures, notes and/or other unsecured indebtedness, in one or more offerings
in a dollar amount of up to $125,000,000. This prospectus provides you with a
general description of the debt securities that we may offer.
We provide information to you about the debt securities in three documents that
progressively provide more detail:
1. This Prospectus. Contains general information that may or may not apply to
each offering of debt securities.
2. The Prospectus Supplement. Will contain more specific information than this
prospectus and may also add, update or change information contained in this
prospectus. To the extent information differs from this prospectus, you should
rely on the different information in the prospectus supplement.
3. The Pricing Supplement. If applicable, will provide final details about a
specific offering and the terms of the offered debt securities, including their
price. To the extent information differs from this prospectus or the prospectus
supplement, you should rely on the different information in the pricing
supplement.
You should read this prospectus, any prospectus supplement and any pricing
supplement together with any additional information described under the heading
Where You Can Find More Information to learn about us.
Where You Can Find More Information
This prospectus is part of a registration statement that we filed with the SEC.
The registration statement contains additional information about us and the debt
securities. In addition, we file annual, quarterly and special reports and
other information with the SEC. Our SEC filings are available to the public
over the internet at the SEC's website at http://www.sec.gov. You may also read
and, for a fee, copy any document that we file with the SEC at the SEC's public
reference rooms at:
. Room 1024
450 Fifth Street, N.W.
Washington, D.C. 20549
. SEC Northeast Regional Office
233 Broadway
New York, New York 10279
3
. Citicorp Center
Suite 1400
500 West Madison Avenue
Chicago, Illinois 60661
Please call the SEC at 1-800-SEC-0330 for further information on the operation
of these public reference rooms.
This prospectus does not repeat important information that you can find
elsewhere in the registration statement and in the reports and other documents
that we file with the SEC under the Securities Exchange Act of 1934. The SEC
allows us to "incorporate by reference" the information we file with it, which
means that we can disclose important information to you by referring you to
those documents. The information incorporated by reference is an important part
of this prospectus, and information that we file later with the SEC will
automatically update and supersede that information. We incorporate by
reference the documents listed below, and all future filings made with the SEC
under Sections 13(a), 13(c), 14 or 15(d) of the Exchange Act until we sell all
of the debt securities:
. annual report on Form 10-K for the year ended September 30, 2000, and
. quarterly reports on Form 10-Q for the quarters ended June 30, 2001,
March 31, 2001 and December 31, 2000.
We are not required to, and do not, provide annual reports to holders of our
debt securities unless specifically requested by a holder.
You may request a copy of our SEC filings at no cost by writing or telephoning
us at the following address:
Vice President and General Counsel
UGI Utilities, Inc.
100 Kachel Boulevard
Green Hills Corporate Center
Suite 400
Reading, PA 19607
(610) 796-3400
You should rely only on the information that we incorporate by reference or
provide in this prospectus or any prospectus supplement. We have not authorized
anyone else to provide you with different information. We are not making an
offer of these debt securities in any state where the offer is not permitted.
You should not assume that the information in this prospectus or any prospectus
supplement is accurate as of any date other than the date on the front of these
documents.
4
About UGI Utilities, Inc.
We are a public utility company that owns and operates
. a natural gas distribution utility serving 14 counties in eastern and
southeastern Pennsylvania, and
. an electric utility serving parts of Luzerne and Wyoming counties in
northeastern Pennsylvania.
In response to state deregulation legislation, effective October 1, 1999, we
transferred our electric generation assets to our non-utility subsidiary, UGI
Development Company. UGI Development Company contributed certain of its
generation assets to a joint venture with a subsidiary of Allegheny Energy, Inc.
in December 2000. We are a wholly owned subsidiary of UGI Corporation.
We were incorporated in Pennsylvania in 1925 as the successor to a business
founded in 1882. We are subject to regulation by the Pennsylvania Public
Utility Commission. Our executive offices are located at 100 Kachel Boulevard,
Suite 400, Green Hills Corporate Center, Reading, Pennsylvania 19607, and our
telephone number is (610) 796-3400.
Ratio of Earnings to Fixed Charges
Nine Months
Ended June 30, Year Ended September 30,
------------- --------------------------------------------
Ratio of Earnings to Fixed Charges 2001 2000 2000 1999 1998 1997 1996
6.04 6.51 5.21 4.30 3.96 4.35 4.42
For purposes of this computation, "earnings" means pretax income from continuing
operations plus (i) interest (excluding capitalized interest) and amortization
of debt expense and (ii) the portion of operating rental expense that management
believes is representative of the interest component of rent expense. "Fixed
charges" means the sum of (i) and (ii) above, including capitalized interest.
Use of Proceeds
Unless we state otherwise in the applicable prospectus supplement, the net
proceeds from any sale of debt securities will be used for general corporate
purposes, which may include refinancings of indebtedness, working capital,
capital expenditures, and repurchases and redemptions of securities.
Description of Debt Securities
We will issue the debt securities under an indenture dated as of August 1, 1993,
between us and First Union National Bank, formerly known as First Fidelity Bank,
National Association, as the trustee.
5
We summarize selected provisions of the indenture below and refer you directly
to the sections in the indenture where these provisions may be found. Because
this is only a summary, it is not complete and does not describe every aspect of
the debt securities. This summary is also subject to and qualified by reference
to the description of the particular terms of the series of the debt securities
that we offer to you and describe in the applicable prospectus supplement. You
should read the indenture for provisions that may be important to you but which
are not included in this summary.
General
We will issue the debt securities from time to time in one or more series. A
prospectus supplement or a pricing supplement will describe the terms of a
particular series and specify the aggregate principal amount of each series.
The debt securities will be our direct unsecured obligations and will rank
equally with our other unsecured debt. The indenture does not limit the amount
of debt securities that we may issue under it.
Provisions Applicable to a Particular Series
The prospectus supplement or pricing supplement for a particular series of debt
securities being offered will describe the specific terms related to the
offering, including the price or prices at which the debt securities to be
offered will be issued. These terms may include some or all of the following:
. the title of the series;
. the total principal amount of the debt securities of the series;
. the date or dates on which the principal is payable;
. the interest rate or rates, if any, or the method for determining the
rate or rates, and the date or dates from which interest will accrue;
. the date or dates from which interest will accrue, the interest payment
dates and the record date for the interest payable on each interest
payment date;
. the place or places where interest, principal and any premium payments
will be made;
. whether we have the option to redeem the debt securities and, if so, the
terms of our redemption option;
. any obligation that we have to redeem the debt securities by way of
payment to a sinking fund;
. any obligation that we have to repurchase the debt securities at the
holder's option;
. the portion of the principal payable upon acceleration of maturity, or
provable in bankruptcy, if other than the entire principal;
6
. whether the debt securities will be represented by a global security, as
discussed in the section below entitled Global Securities; and
. any other additional or different terms of the debt securities.
We will issue the debt securities in denominations of $1,000 and any integral
multiples of $1,000, unless we state otherwise in the applicable prospectus
supplement. (Section 2.7.) We may offer and sell the debt securities at a
discount below their principal amount. The applicable prospectus supplement
will describe special United States federal income tax and any other
considerations applicable to those debt securities.
We need not issue all of the debt securities of a particular series at the same
time and, unless otherwise provided, we may reopen a series, without the consent
of the holders of the debt securities of that series, for issuances of
additional debt securities of that series.
Form, Exchange, Registration, Transfer and Payment
We will issue the debt securities in registered form, unless we state otherwise
in the prospectus supplement. (Section 2.7.) We will pay the principal of and
interest on the debt securities at our agent's offices in Philadelphia,
Pennsylvania or at any of our offices that we designate. You may exchange or
transfer the debt securities at the same offices. (Section 3.2.)
If you hold debt securities registered in definitive form with an aggregate
principal amount equal to or greater than $1,000,000, you may instruct us in
writing to direct our paying agent to pay the principal and accrued interest of
such debt securities directly to your account at any United States bank, as long
as such written instructions are received no less than 15 days prior to a
scheduled interest payment date and as long as the United States bank is
equipped to receive such a direct deposit. (Section 3.1.)
You may transfer or exchange debt securities without a service charge. We may,
however, require a payment to cover any applicable tax or governmental charge.
(Section 2.8.)
If we have transferred funds to our paying agent to make scheduled principal or
interest payments in respect of any of the debt securities, and you do not claim
such principal or interest payment within three years, we may reclaim such funds
and you will have to look to us, and not the paying agent, for payment.
(Section 9.4.)
Global Securities
We may issue some or all of the debt securities of a particular series in the
form of one or more global certificates registered in the name of a securities
depositary or its nominee identified in the applicable prospectus supplement.
Each global security will be deposited with the securities depositary or its
nominee or a custodian for the securities depositary, as identified in the
applicable prospectus supplement.
Except with respect to transfers of the global security as a whole between the
depositary and its nominee or between the depositary and a successor depositary,
a global security may not be
7
transferred or exchanged unless and until it is exchanged in whole or in part
for debt securities in definitive form. (Sections 2.4 and 2.8.)
As long as the securities depositary or its nominee is the registered holder of
a global security representing a series of the debt securities, that person will
be considered the sole owner and holder of the global security and the debt
securities, or series of debt securities, that it represents for all purposes.
(Sections 2.4 and 2.8.) Unless we otherwise state in an applicable prospectus
supplement, if you have a beneficial interest in a global security:
. you may not have the global security, or any debt securities that it
represents, registered in your name;
. you may not receive or be entitled to receive physical delivery of
certificated debt securities in exchange for your beneficial interest
in the global security; and
. you will not be considered the holder of the global security, or any
debt securities it represents, for any purpose under the indenture.
We will make all payments of principal and interest on a global security to the
securities depositary or its nominee as the holder of the global security. The
laws of some jurisdictions require that certain purchasers of securities, for
example, insurance companies, take physical delivery of securities in definitive
form. These laws may impair your ability to transfer beneficial interests in a
global security.
The only persons that may own beneficial interests in a global security are
institutions having accounts with the securities depositary or its nominee,
which are called "participants" in this discussion, and persons that hold
beneficial interests through participants. When a global security representing
debt securities is issued, the securities depositary will credit to the accounts
of the participants that we, or the particular underwriters of the offering,
identify for the securities depositary on the depositary's book-entry,
registration and transfer system the respective principal amounts of debt
securities that the global security represents.
Ownership of beneficial interests in a global security will be shown only, and
the transfer of those ownership interests will be effected only through, records
maintained by:
. the securities depositary, with respect to a participant's direct
holdings; and
. the applicable participants with respect to beneficial interests that
the participants hold on behalf of other persons.
Accordingly, if you hold a beneficial interest in debt securities through a
participant, you must look to the participant to receive any payments in respect
of principal of or interest on the debt securities and must follow the
participant's own procedures to exercise your own rights under the indenture.
We will describe the specific terms of any depositary agreement in the
applicable prospectus supplement.
8
Restrictive Indenture Provisions
Limitation on Mortgages
Under the indenture, if we, or any of our subsidiaries, incur or guarantee debt
that is secured by any of our or our subsidiary's property, we must secure the
debt securities at least equally and ratably with such secured debt. This
requirement does not apply, however, if the total amount of our debt that is
secured by property does not exceed 10% of our consolidated net tangible assets.
(Section 3.10.)
This restriction on the incurrence or guarantee of debt secured by a mortgage
does not apply to the following types of mortgages:
. mortgages of a subsidiary that existed at the time it became our
subsidiary;
. mortgages that existed at the time of an acquisition of property or
that were created in connection with an acquisition, for example,
mortgages created to secure the purchase price in the acquisition;
. construction mortgages which are entered into within certain time
periods;
. mortgages in our favor or in favor of one of our subsidiaries;
. mortgages existing at the date that any then outstanding debt
securities were issued;
. mortgages existing on any property at the time that we or one of our
subsidiaries acquired it in connection with a merger, consolidation,
lease, acquisition or other transaction;
. mortgages in favor of governmental bodies to secure payments pursuant
to any contract or statute; and
. any extensions, renewals or replacements of any of these categories of
mortgages. (Section 3.10.)
In determining whether the amount of debt secured by mortgages does not exceed
10% of our consolidated net tangible assets, the aggregate amount of debt
secured by mortgages should not include the mortgages listed above. (Section
3.10.) In calculating our consolidated net tangible assets, the following
items should be subtracted from our total consolidated assets using our most
recent consolidated balance sheet:
. applicable reserves and other properly deductible items;
. current liabilities, except the current portion of long-term
liabilities and liabilities under capital leases; and
. various intangible assets. (Section 1.1.)
9
Limitations on Sale and Leaseback Transactions
The indenture prohibits us and any of our subsidiaries from selling or
transferring property with the intention of leasing it back. However, this
restriction does not apply in the following situations:
. if the lease period is for a term of not more than three years at the
end of which the use will be discontinued;
. if the sale and leaseback transaction is between us and one of our
subsidiaries or between subsidiaries;
. if we or our subsidiary would be entitled under the limitation on
mortgages provisions described above, without triggering an obligation
on our part under those provisions to then equally and ratably secure
the debt securities, to incur indebtedness secured by a mortgage on
the property involved in the sale and leaseback transaction in an
amount at least equal to the amount of attributable debt, which is an
amount equal to the lesser of
. the fair market value of the property, as determined by our
board, and
. the present value of the total net amount of the rent payable by
us under the lease of the property, discounted at the rate of
interest set forth or implicit in the terms of the lease, or, if
not practicable to determine such rate, the weighted average
interest rate per annum paid by us to the holders of debt
securities then outstanding compounded semi-annually;
. if, in the opinion of our board, the proceeds of the sale of the
property in the sale and leaseback transaction are determined to
represent the fair market value of such property, and we apply an
amount of such proceeds equal to the greater of the net proceeds of
the sale or the amount of attributable debt, as defined above, within
180 days of the sale, to either or both of
. the retirement of our or one of our subsidiary's debt that
matures more than 12 months after its creation, other than
pursuant to a mandatory retirement or prepayment of debt
obligation and other than debt that is subordinate to the debt
securities or owed to us or a subsidiary, or
. the purchase, construction or development of comparable property;
or
. if the sale and leaseback transaction is entered into within 60
days of our or our subsidiary's initial acquisition of the
property. (Section 3.11.)
10
Events of Default
Under the indenture, it is an event of default if:
. we fail to pay any interest on any debt securities within 10 days of a
scheduled interest payment date;
. we fail to pay all or a portion of the principal on any of the debt
securities when due and payable;
. we fail to make any required sinking fund payment in respect of any
debt securities when due and payable;
. we fail to perform any other covenant or agreement applicable to the
debt securities within 30 days after we receive written notice of that
failure;
. we or one of our significant subsidiaries is involved in certain types
of events involving bankruptcy, insolvency or reorganization;
. there is an event of default under any of our other instruments of
indebtedness under which we had outstanding as of August 1, 1993, or
at any time thereafter, an aggregate principal amount of $10,000,000
or greater, if such event of default involves a failure to pay all or
a portion of the principal amount of such indebtedness when due and
payable, or the maturity of such indebtedness is accelerated and such
acceleration is not rescinded or annulled within 10 days after notice
of such acceleration is given to us, provided that such event of
default has not been remedied or cured by us or waived by the holders
of such indebtedness; or
. there is any other event of default under the terms of the debt
securities.
Under certain circumstances, the trustee need not provide notice to the holders
of the debt securities that an event of default has taken place. (Section 4.1.)
Remedies if an Event of Default Occurs
If an event of default occurs, other than an event of default involving
bankruptcy, insolvency or reorganization, either the trustee or the holders of
at least 25% in total principal amount of the debt securities of the relevant
series may declare the entire principal amount of such series due and payable
immediately. (Section 4.1.)
If an event of default involving our failure to perform a covenant or agreement
under the indenture occurs, and if such failure is with respect to all of the
series of the debt securities outstanding at that time, then either the trustee
or the holders of at least 25% in total principal amount of the debt securities
may declare the entire principal amount of all of the debt securities due and
payable immediately, if such event of default is continuing at the time the
trustee or the holders make such declaration. (Section 4.1.)
11
If an event of default occurs due to an event involving bankruptcy, insolvency
or reorganization, the total principal amount of all of the outstanding debt
securities will automatically be due and payable immediately, without notice to
us. (Section 4.1.)
Under various circumstances, the declaration of an event of default under the
indenture may be overturned by the holders of a majority in principal amount of
the debt securities of all affected series outstanding at that time. (Section
4.10.)
The holders of a majority in principal amount of the debt securities of any
particular series outstanding have, with various exceptions, the right to direct
the time, method and place of conducting any proceedings for any remedy
available to the trustee with respect to the debt securities of that series.
The trustee is under no obligation to exercise any of its rights or powers at
the request or direction of the holders of the debt securities, however, unless
those holders have offered the trustee reasonable indemnity against the expenses
and liabilities that it might incur as a result. (Sections 4.9 and 5.2.)
Except for actions for the payment of overdue principal or interest, under the
indenture a holder may not institute an action against us unless
. the holder shall have previously given to the trustee written notice
of default and continuation of such default; or
. the holders of not less than 25% in principal amount of the debt
securities of the series outstanding at that time shall have requested
the trustee to institute such action and shall have offered the
trustee reasonable indemnity, and the holders of a majority of the
principal amount of the debt securities of each affected series shall
not have given the trustee contrary instructions; and
. the trustee shall not have instituted such action within 60 days of
such request. (Sections 4.6 and 4.7.)
Modification of the Indenture
Under the indenture, in order to change our rights and obligations or the rights
of any holders of debt securities, the holders of a majority in principal amount
of the debt securities of all series affected by such change, voting as one
class, must consent to the change. However, we may not make any of the
following changes unless each holder of debt securities affected by such change
gives his or her specific consent:
. extend the final maturity date of any of the debt securities;
. reduce the principal amount of any of the debt securities;
. reduce the interest rate on the debt securities or extend the interest
payment date of any of the debt securities;
. reduce the amount payable to the holders of any debt securities on
redemption of such debt securities;
12
. reduce the amount of principal that would be payable to the holders of
the debt securities upon acceleration under the indenture;
. impair or affect any holder's right to institute suit for payment;
. impair or affect any holder's right to repayment; or
. reduce the percentage of principal amount held by holders required to
modify other terms of the indenture from 51%. (Section 7.2.)
Consolidation, Merger, Sale or Conveyance
We may not merge or consolidate with any other corporation, or sell or convey
all or substantially all of our assets to any person, unless:
. we are the surviving corporation, or
. the successor corporation or the corporation that acquires our assets
is incorporated in the United States, executes a supplemental
indenture expressly assuming our obligation to make punctual payments
of principal of and interest on all of the debt securities, according
to the applicable interest rate under each series of debt securities,
and expressly assumes all of our other obligations under the
indenture.
We also may not merge or consolidate with any other corporation or sell or
convey all or substantially all of our assets to any person if, immediately
after such merger, consolidation, sale or conveyance, we or the successor
corporation, as the case may be, would be in default of performance obligations
under any covenant or condition contained in the indenture. (Section 8.1.)
Satisfaction and Discharge
Under the indenture, we may terminate certain of our obligations with respect to
any series of debt securities by irrevocably depositing in trust with the
trustee, on or within one year prior to the maturity or redemption date of such
debt securities, cash sufficient to pay the principal of and interest, if any,
due and to become due on, such debt securities and any other sums payable to the
holders of such debt securities. (Section 9.1.)
Governing Law
The indenture and the debt securities are governed by the laws of the State of
New York. (Section 10.8.)
13
Regarding the Trustee
First Union National Bank is the trustee under the indenture and serves as our
registrar and disbursing agent for two prior series of medium term notes and
another series of long-term debt. We and First Union National Bank are also
parties to a Revolving Loan Agreement which permits us to borrow up to
$32,000,000. The total amount of indebtedness outstanding under the Revolving
Loan Agreement as of October 15, 2001 was $32,000,000. First Union National Bank
also acts as a depository for our funds and from time to time makes loans to our
affiliates. Certain affiliates of the trustee engage in transactions with and
perform services for us and our affiliates in the ordinary course of business.
Plan of Distribution
We may sell the debt securities:
. to or through underwriters or dealers; or
. directly to one or more purchasers; or
. through agents; or
. a combination of the above.
The prospectus supplement or the pricing supplement will describe the details of
the plan of distribution, including the offering price, our proceeds from the
sale and the names of the underwriters, dealers or agents and their commissions,
fees or discounts.
In connection with the sale of the debt securities, underwriters, dealers or
agents may receive compensation from us or from purchasers in the form of
discounts, concessions or commissions. Underwriters, dealers and agents that
participate in the distribution of the debt securities may be underwriters as
defined in the Securities Act of 1933. Any discounts or commissions they
receive from us and any profits they receive on the resale of the debt
securities may be treated as underwriting discounts and commissions under the
Securities Act. We will identify any underwriters, dealers or agents and
describe their compensation in the prospectus supplement.
We may have agreements with the underwriters and agents to indemnify them
against certain civil liabilities, including liabilities under the Securities
Act. Underwriters, dealers, and agents may engage in transactions with, or
perform services for, us in the ordinary course of business. This may include
commercial banking and investment banking transactions. The underwriters may
resell the debt securities in one or more transactions, including negotiated
transactions. These sales will be made at a fixed public offering price or at
varying prices determined at the time of the sale. We may offer the debt
securities to the public through an underwriting syndicate or through a single
underwriter.
14
Unless the prospectus supplement states otherwise, the obligations of the
underwriters to purchase the debt securities will be subject to certain
conditions. The underwriters will be obligated to purchase all of the debt
securities of the series offered if any of the debt securities are purchased,
unless the prospectus supplement states otherwise. We may change from time to
time any initial public offering price and any discounts or concessions allowed,
re-allowed or paid to dealers.
If we designate agents to sell the debt securities, they will agree to use their
best efforts to solicit purchases for the period of their appointment.
We may choose to sell the debt securities directly. In this case, no
underwriters, dealers or agents would be involved.
We may authorize underwriters, dealers or agents to solicit certain
institutional investors to purchase debt securities on a delayed delivery basis,
which provides for payment and delivery on a specified future date. The
prospectus supplement will provide the details of any such arrangement,
including the offering price and commissions payable on the solicitations.
We will only enter into these delayed delivery contracts with institutional
purchasers that we approve. Such institutions may include commercial and
savings banks, insurance companies, pension funds, investment companies and
educational and charitable institutions. The underwriters, dealers or agents
will have no responsibility to assure the validity or performance of these
contracts.
Experts
The financial statements incorporated by reference in this prospectus and
elsewhere in the registration statement have been audited by Arthur Andersen
LLP, independent public accountants, as indicated in their report with respect
thereto, and are included herein in reliance upon the authority of said firm as
experts in giving said report.
Legal Opinion
Morgan, Lewis & Bockius LLP will issue an opinion about the legality of the debt
securities on our behalf. Any underwriters will be advised about the legality
of the debt securities by their own legal counsel.
15
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
Item 14. Other Expenses of Issuance and Distribution.*
Filing fee for registration statement.................... $ 30,750
Pennsylvania Public Utility Commission filing fee........ 350
Rating agencies' fees.................................... 20,000
Legal fees and expenses.................................. 210,000
Accounting fees and expenses............................. 40,000
Trustee's fees and expenses.............................. 10,000
Printing................................................. 25,000
Blue sky fees and expenses............................... 5,000
Miscellaneous............................................ 8,900
--------
Total.................................................... 350,000
_________________
* The foregoing expenses, except filing fees for registration statement, are
estimates.
Item 15. Indemnification of Directors and Officers.
Section 1741 of the Pennsylvania Business Corporation Law of 1988 provides
that a business corporation may indemnify directors and officers against any
threatened, pending or completed action or proceeding, provided that the person
in question acted in good faith and in a manner he or she reasonably believed to
be in, or not opposed to, the best interests of the corporation and, with
respect to any criminal proceeding, had no reasonable cause to believe his or
her conduct was unlawful. Section 1742 provides, however, that a business
corporation may indemnify its directors and officers only against expenses
(including attorneys' fees) if the action or proceeding is by or in the right of
the corporation. In addition, Section 1742 states that indemnification shall not
be made if the person has been adjudged to be liable to the corporation unless
it is judicially determined that, despite the adjudication of liability but in
view of all of the circumstances of the case, the person is fairly and
reasonably entitled to indemnification for certain expenses. Section 1743
requires a corporation to indemnify its directors and officers against expenses
they may incur in defending actions against them in such capacities if they are
successful on the merits or otherwise in the defense of such actions.
Section 1713 of the Business Corporation Law permits the shareholders to
adopt a bylaw provision relieving a director (but not an officer) of personal
liability for monetary damages except where (i) the director has breached the
applicable standard of care, and (ii) such conduct constitutes self-dealing,
willful misconduct or recklessness. This section also provides that a director
may not be relieved of liability for the payment of taxes pursuant to any
federal, state or local law or of responsibility under a criminal statute.
Article VIII of the Company's Articles and Section 4.01 of the Company's Bylaws
limits the liability of any director to the fullest extent permitted by Section
1713 of the Business Corporation Law.
16
Section 1746 of the Business Corporation Law grants a corporation broad
authority to indemnify its directors, officers and other agents for liabilities
and expenses incurred in such capacity, except in circumstances where the act or
failure to act giving rise to the claim for indemnification is determined by a
court to have constituted willful misconduct or recklessness. Article VII of the
Company's Bylaws provides for indemnification of directors, officers and other
agents pursuant to the authority of Sections 1741 and 1742 of the Business
Corporation Law. Article IX of the Company's Bylaws provides for indemnification
of directors, officers and other agents pursuant to the authority of Section
1746 of the Business Corporation Law.
Subject only to the express prohibitions under the Business Corporation
Law, Article IX of the Company's Bylaws provides an unconditional right to
indemnification for expenses and any liability paid or incurred by any director
or officer of the Company, or any other person designated by the Board of
Directors as an indemnified representative, in connection with any actual or
threatened claim, action, suit or proceeding (including derivative suits) in
which he or she may be involved by reason of being or having been a director,
officer, employee or agent of the Company, or at the request of the Company, of
another corporation, partnership, joint venture, trust, employee benefit plan or
other entity. The Bylaws specifically authorize indemnification against both
judgments and amounts paid in settlement of derivative suits, unlike Section
1742 of the Business Corporation Law which authorizes indemnification only of
expenses incurred in defending a derivative or corporate action. Article IX of
the Bylaws also allows indemnification for punitive damages and liabilities
incurred under federal securities laws.
Unlike the provisions of Business Corporation Law Section 1744, Article IX
does not require the Company to determine the availability of indemnification by
first following certain prescribed procedures. A person who has incurred an
indemnifiable expense or liability has a right to be indemnified independent of
any procedures or determinations that otherwise would be required, and that
right is enforceable against the Company as long as indemnification is not
prohibited by law. To the extent indemnification is permitted only for a portion
of a liability, the Bylaw provisions require the Company to indemnify such
portion. If the indemnification provided for in Article IX is unavailable for
any reason in respect of any liability or portion thereof, the Bylaws require
the Company to make a contribution toward the liability. Indemnification rights
under the Bylaws do not depend upon the approval of any future Board of
Directors.
Section 9.04 of the Company's Bylaws authorizes the Company to further
effect or secure its indemnification obligations by entering into
indemnification agreements, maintaining insurance, creating a trust fund,
granting a security interest in its assets or property, establishing a letter of
credit or using any other means that may be available from time to time.
Article VIII of the Company's Articles limits the personal liability of
officers to the Company to the same extent that directors are relieved of such
liabilities pursuant to that Article and Section 4.01 of the Bylaws, with the
exception that the limitation of the liability of officers applies only to
liabilities arising out of derivative claims by shareholders asserting a right
of the Company and not to liabilities arising out of third party claims.
17
The Company maintains, on behalf of its directors and officers, insurance
protection against certain liabilities arising out of the discharge of their
duties, as well as insurance covering the Company for indemnification payments
made to its directors and officers for certain liabilities. The premiums for
such insurance are paid by the Company.
Item 16. Exhibits
--------------- ---------------------------------------------------------- -----------
Exhibit No. Description Sequential
Page Number
3 Articles of Amendment and Restatement
4(b) Indenture dated as of August 1, 1993 between the
Company and First Union National Bank,
formerly First Fidelity Bank, N.A. Pennsylvania
(incorporated by reference to Exhibit 4(c) of
Registration Statement on Form S-3 filed on April 8,
1994 (File No. 33-77514))
5 Opinion of Morgan, Lewis & Bockius, LLP
12 Statement re computation of ratio of earnings to fixed
charges
23(a) Consent of Morgan, Lewis & Bockius, LLP (included in
opinion filed as Exhibit 5)
23(b) Consent of Arthur Andersen, LLP
24 Power of Attorney (included on signature page)
25 Form T-1 Statement of Eligibility and Qualification
under the Trust Indenture Act of 1939, as amended,
with respect to the Trustee
Item 17. Undertakings.
(a) The undersigned registrant hereby undertakes:
(1) To file, during any period in which offers or sales are being made, a
post-effective amendment to this registration statement:
(i) To include any prospectus required by Section 10(a)(3) of the
Securities Act of 1933;
18
(ii) To reflect in the prospectus any facts or events arising after
the effective date of the registration statement (or the most recent post-
effective amendment thereof) which, individually or in the aggregate,
represent a fundamental change in the information set forth in the
registration statement. Notwithstanding the foregoing, any increase or
decrease in volume of securities offered (if the total dollar value of
securities offered would not exceed that which was registered) and any
deviation from the low or high end of the estimated maximum offering range
may be reflected in the form of prospectus filed with the Commission
pursuant to Rule 424(b) if, in the aggregate, the changes in volume and
price represent no more than a 20 percent change in the maximum aggregate
offering price set forth in the "Calculation of Registration Fee" table in
the effective registration statement;
(iii) To include any material information with respect to the plan of
distribution not previously disclosed in the registration statement or any
material change to such information in the registration statement;
provided, however, that paragraphs (a)(1)(i) and (a)(1)(ii) do not apply if the
registration statement is on Form S-3 or Form S-8, and the information required
to be included in a post-effective amendment by those paragraphs is contained in
periodic reports filed with or furnished to the Commission by the registrant
pursuant to Section 13 or Section 15(d) of the Securities Exchange Act of 1934
that are incorporated by reference in the registration statement.
(2) That, for the purpose of determining any liability under the Securities
Act of 1933, each such post-effective amendment shall be deemed to be a new
registration statement relating to the securities offered therein, and the
offering of such securities at the time shall be deemed to be the initial bona
fide offering thereof.
(3) To remove from registration by means of a post-effective amendment any
of the securities being registered which remain unsold at the termination of
the offering.
(b) The undersigned registrant hereby undertakes that, for purposes of
determining any liability under the Securities Act of 1933, each filing of the
registrant's annual report pursuant to Section 13(a) or Section 15(d) of the
Securities Exchange Act of 1934 that is incorporated by reference in the
registration statement shall be deemed to be a new registration statement
relating to the securities offered therein, and the offering of such securities
at that time shall be deemed to be the initial bona fide offering thereof.
(c) Insofar as indemnification by the Company for liabilities arising under
the Securities Act of 1933 may be permitted to directors, officers and
controlling persons of the registrant pursuant to the foregoing provisions, or
otherwise, the registrant has been advised that in the opinion of the Securities
and Exchange Commission such indemnification is against public policy as
expressed in the Act and is, therefore, unenforceable. In the event that a
claim for indemnification against such liabilities (other than the payment by
the registrant of expenses incurred or paid by a director, officer or
controlling person of the registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person
in connection with the securities being registered, the registrant will, unless
in the opinion
19
of its counsel the matter has been settled by controlling precedent, submit to a
court of appropriate jurisdiction the question whether such indemnification by
it is against public policy as expressed in the Act and will be governed by the
final adjudication of such issue.
20
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the registrant
certifies that it has reasonable grounds to believe that it meets all of the
requirements for filing on Form S-3 and has duly caused this registration
statement to be signed on its behalf by the undersigned, thereunto duly
authorized, in King of Prussia, Pennsylvania, on the 30th day of October, 2001.
UGI Utilities, Inc.
By: /s/ John C. Barney
------------------------------------
John C. Barney
Senior Vice President - Finance
and Chief Financial Officer
Pursuant to the requirements of the Securities Act of 1933, this registration
statement has been signed by the following persons in the capacities and on the
dates indicated. Each person whose signature appears below hereby authorizes
Brendan P. Bovaird and Robert W. Krick to execute and file, in the name of and
as attorney-in-fact for such person, any amendments or post-effective amendments
to this registration statement as the registrant deems appropriate.
Signature Title Date
/s/ Robert J. Chaney President and Chief Executive October 30, 2001
----------------------- Officer and Director (Principal
Robert J. Chaney Executive Officer)
/s/ Lon R. Greenberg Chairman of the Board and October 30, 2001
----------------------- Director
Lon R. Greenberg
/s/ John C. Barney Senior Vice President - Finance
----------------------- (Principal Financial Officer
John C. Barney and Principal Accounting Officer)
/s/ Stephen D. Ban
----------------------- Director October 30, 2001
Stephen D. Ban
/s/ Thomas F. Donovan
----------------------- Director October 30, 2001
Thomas F. Donovan
21
Pursuant to the requirements of the Securities Act of 1933, this registration
statement has been signed by the following persons in the capacities and on the
dates indicated. Each person whose signature appears below hereby authorizes
Brendan P. Bovaird and Robert W. Krick to execute and file, in the name of and
as attorney-in-fact for such person, any amendments or post-effective amendments
to this registration statement as the registrant deems appropriate.
Signature Title Date
/s/ Richard C. Gozon
----------------------- Director October 30, 2001
Richard C. Gozon
/s/ Anne Pol
----------------------- Director October 30, 2001
Anne Pol
/s/ Marvin O. Schlanger
----------------------- Director October 30, 2001
Marvin O. Schlanger
/s/ James W. Stratton
----------------------- Director October 30, 2001
James W. Stratton
22
EXHIBIT INDEX
----------------- ---------------------------------------------------------- -------------
Exhibit No. Description Sequential
Page Number
3 Articles of Amendment and Restatement
4(b) Indenture dated as of August 1, 1993 between the
Company and First Union National Bank,
formerly First Fidelity Bank, N.A. Pennsylvania
(incorporated by reference to Registration Statement
on Form S-3 filed on April 8, 1994 (File No.
33-77514))
5 Opinion of Morgan, Lewis & Bockius, LLP
12 Statement re computation of ratio of earnings to fixed
charges
23(a) Consent of Morgan, Lewis & Bockius, LLP (included in
opinion filed as Exhibit 5)
23(b) Consent of Arthur Andersen, LLP
24 Power of Attorney (included on signature page)
25 Form T-1 Statement of Eligibility and Qualification
under the Trust Indenture Act of 1939, as amended,
with respect to the Trustee
23
EX-3
3
dex3.txt
ARTICLES OF AMENDMENT AND RESTATEMENT
Exhibit 3
ARTICLES OF AMENDMENT
AND RESTATEMENT
TO THE DEPARTMENT OF STATE, COMMONWEALTH OF PENNSYLVANIA:
In compliance with the requirements of Article VIII of the Business
Corporation Law approved the 5th day of May, 1933, P.L. 364, as amended, the
applicant desiring to amend and restate its Articles hereby certifies, under its
corporate seal that:
1. The name of the corporation is:
UGI CORPORATION
2. The location of its registered office is:
1401 Arch Street
Philadelphia, Pa. 19105
3. The Act of Assembly by or under which it was incorporated is:
"An Act authorizing the merger and consolidation of certain
corporations" approved May 3, 1909, P.L. 408, and supplements and
amendments thereto."
4. Its date of incorporation is: August 21, 1925
5. The meeting of the shareholders of the corporation at which the amendment
and restatement was adopted was held at the time and place and pursuant to
the kind and period of notice herein stated:
Time: The 7th day of May, 1973
Place: The Board Room of The Fidelity Bank,
135 S. Broad Street, Philadelphia, Pennsylvania.
Kind and period of notice:
Written notice mailed, first class postage prepaid to each
shareholder on March 26, 1973.
6. At the time of the action of the shareholders:
(a) The total number of shares outstanding was:
4,165,976 shares of Common Stock
(b) The number of shares entitled to vote was
4,165,976 shares of Common Stock
-2-
7. In the action taken by the shareholders:
(a) The number of shares voted in favor of the amendment and restatement
was:
2,956,903 shares of Common Stock
(b) The number of shares voted against the amendment and restatement was:
138,984 shares of Common Stock
8. The amendment and restatement adopted by the shareholders, set forth in
full, is attached hereto as Exhibit A and made a part hereof.
9. The effective date of the aforesaid amendment and restatement shall be July
1, 1973.
IN WITNESS WHEREOF, these Articles of Amendment and Restatement have
been executed under the seal of this corporation and signed by two duly
authorized officers thereof this 11th day of June 1973.
UGI CORPORATION
By: /s/ Arthur E. Bone
------------------------------------
Arthur E. Bone,
President.
/s/ George W. Westerman
------------------------------------
George W. Westerman,
Vice President.
Attest:
/s/ A. W. Terry
--------------------------- [SEAL]
A. W. Terry,
Secretary.
Approved and filed in the Department of State on the 12th day of June, A.D.
1973.
/s/ Secretary of the Commonwealth
---------------------------------
Secretary of the Commonwealth
TES/as
EXHIBIT A
AMENDED AND RESTATED
ARTICLES OF INCORPORATION
ARTICLE I. The name of the Corporation is UGI Corporation.
ARTICLE II. The location and post office address of the registered office
of the Corporation in this Commonwealth is:
1401 Arch Street
Philadelphia, Pennsylvania 19105
ARTICLE III. The purpose or purposes for which the Corporation is
incorporated under the Business Corporation Law of the Commonwealth of
Pennsylvania are to engage in, and do any lawful act concerning, any or all
lawful business for which corporations may be incorporated under said Business
Corporation Law, including but not limited to:
1. The supply of light, heat, fuel or power to the public by means of
gas or electricity, or by any other means, or by any combination thereof.
2. The production, generation, manufacture, transmission,
transportation, storage, distribution or furnishing of natural or
artificial gas, electricity or steam or air conditioning or refrigerating
service, or any combination thereof to or for the public.
3. The diverting, pumping or impounding of water for the development
or furnishing of hydro-electric power to or for the public.
4. Manufacturing, processing, owning, using and dealing in personal
property of every class and description, engaging in research and
development, the furnishing of services, and acquiring, owning, using and
disposing of real property of every nature whatsoever.
ARTICLE IV. The term for which the Corporation is to exist is perpetual.
ARTICLE V. The aggregate number of shares which the Corporation shall have
authority to issue is 14,000,000 shares, divided into 10,000,000 shares of
Common Stock, par value $4.50 per share, 2,000,000 shares of Series Preference
Stock, without par value, and 2,000,000 shares of Series Preferred Stock,
without par value. The Board of Directors shall have the full authority
permitted by law to fix by resolution filed in the manner provided by law, prior
to the issuance thereof, full, limited, multiple or fractional, or no voting
rights, and such designations, preferences, qualifications, privileges,
limitations, restrictions, options, conversion rights, and other special or
relative rights of the Common Stock, the Series Preference Stock, the Series
Preferred Stock, or of any series of any of such classes of shares, that may be
desired. Unless otherwise provided in any such resolution, the number of shares
of any existing series or of any series established and designated in any such
resolution hereafter adopted by the Board of Directors pursuant to this Article
V may be increased (within the then total authorized shares of the class) or
decreased (but not below the number of shares of the series then outstanding) by
such a resolution. In like manner, unless otherwise provided in any such
resolution, the Board of Directors may from time to time, within the then total
authorized shares of any class, establish and designate any reacquired or
unissued shares of any series of any class (whether or not theretofore
established and designated as a part of any existing series) as shares of such
class of one or more existing or additional series and fix and determine the
relative rights and preferences thereof.
ARTICLE VI. Unless otherwise provided in any resolution adopted and filed
pursuant to Article V of the Articles, no holder of shares of the Corporation of
any class or series now or hereafter outstanding shall be entitled as such as a
matter of right to subscribe for or purchase any part of any new or additional
issue of stock, or securities convertible into stock, of any class, series or
kind whatsoever, whether now or hereafter authorized, and whether issued for
cash, property, services, by way of dividends, or otherwise.
ARTICLE VII. These Articles may be amended in the manner now or hereafter
prescribed by statute, and all rights conferred upon shareholders herein are
granted subject to this reservation.
COMMONWEALTH OF PENNSYLVANIA
[SEAL]
DEPARTMENT OF STATE
OFFICE OF THE
SECRETARY OF THE COMMONWEALTH
TO ALL TO WHOM THESE PRESENTS SHALL COME, GREETING:
WHEREAS, In and by Article VIII of the Business Corporation Law, approved
the fifth day of May, Anno Domini one thousand nine hundred and thirty-three,
the Department of State is authorized and required to issue a
CERTIFICATE OF AMENDMENT
evidencing the amendment and restatement of the Articles of Incorporation in
their entirety of a business corporation organized under or subject to the
provisions of that Law; and
WHEREAS, The stipulations and conditions of that Law pertaining to the
amendment of Articles of Incorporation have been fully complied with by
UGI CORPORATION
HENCEFORTH, The "Articles," as defined in Article I of the Business
Corporation Law, shall not include any prior documents;
THEREFORE, KNOW YE, That subject to the Constitution of this Commonwealth
and under the authority of the Business Corporation Law, I do by these presents,
which I have caused to be Sealed with the Great Seal of the Commonwealth, extend
the rights and powers of the corporation named above, in accordance with the
terms and provisions of the Articles of Amendment presented by it to the
Department of State, with full power and authority to use and enjoy such rights
and powers, subject to all the provisions and restrictions of the Business
Corporation Law and all other applicable laws of this Commonwealth.
GIVEN under my Hand and the Great Seal
of the Commonwealth, at the City
of Harrisburg, this 12th day of
June, in the year of our Lord,
one thousand nine hundred and
seventy-three, and of the
Commonwealth, the one hundred
and ninety-seventh.
/s/ Secretary of the Commonwealth
_________________________________
Secretary of the Commonwealth
COMMONWEALTH OF PENNSYLVANIA
DEPARTMENT OF STATE
CORPORATION BUREAU
APPLICANT'S ACC'T NO. 3-1-74.41 1152
-----------------------------------
(Line for numbering)
DSCB: BCL-307 (Rev. 8-72)
Filing Fee: $48
AB-2
Statement of
Change of Registered
Office-Domestic
Business Corporation
Filed this 3rd day of
October, 1974
Commonwealth of Pennsylvania
Department of State
/s/ Secretary of the Commonwealth
Secretary of the Commonwealth
(Box for Certification)
--------------------------------------------------------------------------------
In compliance with the requirements of section 307 of the Business
Corporation Law, act of May 5, 1933 (P.L. 364)(15 P.S. Section 1307) the
undersigned corporation, desiring to effect a change in registered office, does
hereby certify that:
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. The address of its present registered office in this Commonwealth is (the
Department of State is hereby authorized to correct the following statement to
conform to the records of the Department):
1401 Arch Street
--------------------------------------------------------------------------------
(Number) (Street)
Philadelphia Pennsylvania 19105
--------------------------------------------------------------------------------
(City) (Zip Code)
3. The address to which the registered office in this Commonwealth is to be
changed is:
Box 858, Irwin Building, Route 363
--------------------------------------------------------------------------------
(Number) (Street)
Valley Forge, Montgomery County Pennsylvania 19482
--------------------------------------------------------------------------------
(City) (Zip Code)
4. Such change was authorized by resolution duly adopted by at least a majority
of the members of the board of directors of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer, and its corporate seal, duly attested
by another such officer, to be hereunto affixed, this 25th day of September,
1974.
UGI CORPORATION
-------------------------------------
(Name of Corporation)
By: /s/ George W. Westerman
-------------------------------------
(Signature)
Vice President
-------------------------------------
(Title: President,
Vice President, Etc.)
Attest:
/s/
-----------------------------------
(Signature)
Secretary of the Commonwealth
-----------------------------------
(Title: Secretary,
Assistant Secretary, Etc.)
(Corporate Seal)
UGI CORPORATION
Statement With Respect to Series Preferred Stock
In compliance with the requirements of Section 602 of the
Business Corporation Law, Act of May 5, 1933, P.L. 364, as amended, UGI
Corporation hereby certifies under its corporate seal that:
1. The name of the Company is: UGI Corporation.
2. The Board of Directors of the Company, pursuant to authority
vested in it by Article V of the Company's Amended and Restated Articles of
Incorporation, duly adopted the following resolutions fixing certain voting
rights, designations, preferences, qualifications, privileges, limitations,
options, conversion rights and other special rights of all of the shares of the
Series Preferred Stock of the Company, establishing the first series of the
Series Preferred Stock of the Company to consist of 600,000 shares and fixing
the voting rights, designations, preferences, qualifications, privileges,
limitations, options, conversion rights and other special rights thereof, of the
shares of such series:
RESOLVED, that pursuant to authority granted to the Board of
Directors by Article V of the Corporation's
Amended and Restated Articles of Incorporation, the Board of Directors hereby
fixes certain voting rights, designations, preferences, qualifications,
privileges, limitations, options, conversion rights and other special rights
applicable to all of the shares of Series Preferred Stock, without par value
(hereinafter called "Series Preferred Stock"), and determines the extent to
which said shares may be divided and issued in series and the extent to which
shares of one series of Series Preferred Stock may vary from shares of other
series thereof:
1. Series and Limitations of Variations between Series.
The shares of Series Preferred Stock may be divided into and issued in
series from time to time, as herein provided. All shares of Series Preferred
Stock of all series shall rank ratably as to dividends and assets according to
the respective rates and amounts provided in these resolutions and any
resolution creating any additional series of Series Preferred Stock. All shares
of any particular series of Series Preferred Stock shall be identical to all
other shares of that series except as to the date or dates from which dividends
on such shares shall be cumulative, as permitted by Section 2 of this
resolution. Subject to the limitations set forth in this resolution and any
applicable provisions of law, the shares of Series Preferred Stock of different
series may vary as to the following terms and provisions, which shall be fixed
in the case of each such series at any time prior to the issuance of any shares
thereof by resolution or resolutions of the Board of Directors creating each
such series (hereinafter sometimes called the "Creating Resolution"):
(a) Distinctive designation of such series and the number of shares which
shall constitute such series, which number may be increased or decreased (but
not below the number of shares thereof then outstanding) from time to time by
action of the Board of Directors;
(b) Dividend rate per annum of shares of such series, and the date or
dates from which dividends on shares of such series shall be cumulative
(hereinafter sometimes called the "Date of Cumulation");
-2-
(c) Provisions for redemption, and, if the shares of such series are
subject to redemption, the Redemption Price or Prices (as hereinafter defined)
at which, and the terms and conditions on which, the shares of such series may
be redeemed;
(d) Amount or amounts payable upon the shares of such series in the event
of the liquidation, dissolution or winding up of the Corporation, which amount
or amounts may vary depending on whether the liquidation, dissolution or winding
up is voluntary or involuntary and, if voluntary, be subject to other terms and
conditions; provided that upon the issue of any shares of Series Preferred Stock
an amount per share equal to no less than the involuntary liquidation price per
share shall be allocated to the stated capital of the Corporation;
(e) Provisions, if any, entitling the shares of such series to the benefit
of a sinking fund or a purchase fund to be applied to the purchase or redemption
of shares of such series, and, if so provided, the amount, terms and conditions
of such fund;
(f) Provisions, if any, as to convertibility into, or exchangeability for,
shares of any other class or of any other series of the same or any other class
of stock of the Corporation, and, if so provided, the conversion price or
prices, and terms and conditions of such conversion or exchange;
(g) Provisions, if any, granting to the shares of such series voting
rights in addition to the voting rights provided for in this resolution;
(h) Provisions, if any, entitling the shares of such series to the benefit
of limitations restricting the creation of indebtedness or upon the issue of any
additional shares ranking on a parity with or prior to the shares of such series
as to dividends or assets in addition to the restrictions provided for in this
resolution;
(i) Provisions, if any, entitling the share of such series to the benefit
of limitations restricting the purchase of, the payment of dividends on, or the
making
-3-
of other distributions in respect of, any shares of Junior Stock (as hereinafter
defined), and, if so provided, the terms and conditions of any such
restrictions; and
(j) Provisions, if any, entitling the shares of such series to any other
rights, preferences and limitations not inconsistent with the provisions of this
resolution.
2. Dividends.
(a) Out of any funds of the Corporation legally available therefor the
holders of shares of Series Preferred Stock of each series shall be entitled to
receive, when and as declared by the Board of Directors, dividends in cash at
the rate per annum for such series fixed by the Creating Resolution and no more,
and such dividends shall be cumulative (whether or not in any dividend period
there shall be funds of the Corporation legally available for the payment of
such dividends) but accruals of dividends will not bear interest. Such dividends
shall be payable on the first days of January, April, July and October in each
year, in each case from the Date of Cumulation for the shares of such series;
provided that the initial dividend with respect to any particular series shall
be payable on such of said dates as next succeeds the date of issue of the first
shares of such series to be issued, unless otherwise determined by the Creating
Resolution. Until Full Cumulative Dividends (as hereinafter defined) on the
outstanding shares of Series Preferred Stock of all series to the end of the
last preceding quarterly dividend period shall have been paid or declared and
set apart for payment, the Corporation shall not (i) set aside for or apply any
sum to the purchase, redemption or other acquisition of shares of Series
Preferred Stock of any series, (ii) pay or declare and set apart for payment any
dividend on, or make any other distribution in respect of, any shares of Junior
Stock, (iii) purchase, redeem, or otherwise acquire any shares of such Junior
Stock, or (iv) set aside for or apply any sum to any optional redemption of
indebtedness of the Corporation maturing more than one year from the date
incurred or assumed.
(b) No dividends shall be paid or declared and set apart for payment on
shares of any particular series of Series Preferred Stock to the exclusion of
the shares of
-4-
any other series thereof. All dividends paid or declared and so set apart on
shares of Series Preferred Stock of the respective series outstanding in an
amount less than Full Cumulative Dividends shall be divided between the
outstanding series in proportion to the aggregate amounts which would be
distributable to each series if Full Cumulative Dividends to the end of the then
current dividend period were declared and paid on all shares of all series then
outstanding. If Full Cumulative Dividends upon the outstanding shares of Series
Preferred Stock of all series to the end of the next preceding dividend period
shall have been paid, all dividends declared and paid on the shares of the
Series Preferred Stock of the respective series outstanding shall be declared
and paid ratably, so that the amount of the dividend declared and paid on the
shares of any particular series of the Series Preferred Stock shall be in the
proportion that the quarterly dividend requirements of the shares of such series
bear to the total quarterly dividend requirements of the Series Preferred Stock
of all series at the time outstanding.
3. Preference on Liquidation, etc.
In the event of any liquidation, dissolution or winding up of the
Corporation, the holders of shares of Series Preferred Stock of each series
shall be entitled to receive, out of the assets of the Corporation available for
distribution to its shareholders, before any distribution of assets shall be
made to the holders of shares of Junior Stock, the amounts to which such holders
are entitled as fixed by the Creating Resolution for such series. If upon any
liquidation, dissolution or winding up of the Corporation the net assets of the
Corporation shall be insufficient to pay the holders of all outstanding shares
of Series Preferred Stock the full amounts to which they shall be entitled, the
holders of shares of Series Preferred Stock of all series shall share ratably in
any distribution of assets according to the respective amounts which would be
payable in respect of the shares held by them upon such distribution if all
amounts payable on or with respect to shares of Series Preferred Stock of all
series were paid in full. The holders of shares of Series Preferred Stock shall
not be entitled to receive any amounts with respect thereto upon any
liquidation, dissolution or winding up of the Corporation other than the amounts
provided for in this
-5-
Section 3. Neither the merger or consolidation of the Corporation into or with
any other corporation, nor the merger or consolidation of any other corporation
into or with the Corporation, nor a sale, transfer or lease of all or any part
of the assets of the Corporation, shall be deemed to be a liquidation,
dissolution or winding up of the Corporation for the purposes of this Section 3.
4. Sinking and Purchase Funds.
Out of any funds of the Corporation legally available therefor remaining
after Full Cumulative Dividends to the end of the then current dividend period
upon the shares of Series Preferred Stock of all series then outstanding shall
have been paid or declared and set apart for payment, and before any dividends
shall be paid or declared and set apart for payment, or any other distribution
shall be made in respect of, any shares of Junior Stock, and before any shares
of Junior Stock shall be purchased, redeemed, or otherwise acquired by the
Corporation, the Corporation shall set aside, in respect of the shares of each
series of Series Preferred Stock any shares of which shall at the time be
outstanding and in respect of which a sinking fund or purchase fund for the
purchase or redemption thereof has been provided by the Creating Resolution for
such series, the sums then or theretofore required to be set aside as a sinking
fund or purchase fund, to be applied in the manner specified in the resolution
creating such series.
5. Redemption
(a) Unless otherwise prohibited by any Creating Resolution for any
outstanding series of Series Preferred Stock, the Corporation, may, at its
option expressed by resolution of its Board of Directors, redeem at any time or
from time to time the whole or any part of the shares of Series Preferred Stock
or of any series thereof at the time outstanding by paying in cash the
Redemption Price or Prices fixed by the Creating Resolution for such series,
plus an amount equal to Full Cumulative Dividends thereon to the date fixed for
redemption (the aggregate of such Redemption Price and Full Cumulative Dividends
is hereinafter in this Section 5 called the "Full Redemption Price"), provided
that the Corporation may not purchase or redeem less than all the shares of
Series Preferred Stock of all series then outstanding unless
-6-
Full Cumulative Dividends to the end of the last preceding quarterly dividend
period upon the Series Preferred Stock of all series then outstanding shall been
paid or declared and set apart for payment and all sums required to be set aside
as a sinking fund or purchase fund in respect of the shares of any series of
Series Preferred Stock then outstanding shall have been set aside in accordance
with the terms of the applicable sinking or purchase fund. If less than all the
outstanding share of Series Preferred Stock of any series are to redeemed, the
selection of shares for redemption may be made either by lot or pro rata in such
manner as may be prescribed by resolution of the Board of Directors. Notice of
every such redemption shall be given by mail to the holders of record of the
shares to be redeemed and may be given in such other manner as may be prescribed
by resolution of the Board of Directors, at least thirty days and not more than
sixty days prior to the date fixed for redemption (which when fixed in each case
and specified in the notice of redemption, is hereinafter called the "Redemption
Date"). Any notice to be given by mail shall be deemed given when mailed to the
holders of the shares of Series Preferred Stock to be redeemed of record at the
time of mailing, at their respective addresses as the same shall appear on the
books of the Corporation, but in the case of notice by mail, no accidental
failure to mail such notice to any one or more holders shall affect the validity
of the redemption of any shares of Series Preferred Stock so to be redeemed. The
Board of Directors shall have full power and authority, subject to the
limitations and provisions contained in this resolution to prescribe the manner
in which, and the terms and conditions upon which, the shares of Series
Preferred Stock shall be redeemed from time to time If notice of redemption
shall have been given, and if on or before the Redemption Date specified in such
notice all funds necessary for such redemption shall have been set aside by the
Corporation, in trust for the account of the holders of the shares to be
redeemed, so as to be and continue to be available therefor, then
notwithstanding that any certificate for such shares so called for redemption
shall not have been surrendered for cancellation, from and after the Redemption
Date, the shares represented thereby shall no longer be deemed outstanding, the
right to receive dividends thereon shall cease to accrue and all rights with
respect to such shares so called for redemption
-7-
shall forthwith on such Redemption Date cease and terminate, except only the
right of the holders thereof to receive, out of the funds so set aside in trust,
the Full Redemption Price per share; provided that the Corporation may, if it
shall so elect, deposit the amount of the Redemption Price for the account of
the holders of shares of Series Preferred Stock entitled thereto with a bank or
trust company doing business in the Commonwealth of Pennsylvania, or in the
State of New York, and having capital and surplus of at least $10,000,000, at
any time prior to the Redemption Date (the date of such deposit being
hereinafter in this Section 5 referred to as the "Date of Deposit"). Notice of
the Corporation's election to make such deposit, including the date on which the
Full Redemption Price per share will be available, and the name and address of
the bank or trust company with which the deposit has been or will be made, shall
be included in the notice of redemption. If the Corporation shall make such
deposit on or before the date specified therefor in the notice of redemption,
then on and after the Date of Deposit, and, notwithstanding that any certificate
for shares of Series Preferred Stock so called for redemption shall not have
been surrendered for cancellation, the shares with respect to which such deposit
shall have been made shall no longer be deemed outstanding and all rights of the
holders thereof as shareholders of the Corporation shall cease and terminate,
except the right to receive out of the funds so deposited in trust from and
after the Date of Deposit, the Full Redemption Price per share as herein
provided and except any conversion, exchange or subscription rights not
theretofore expired. Such conversion or exchange rights, however, in any event
shall cease and terminate upon the Redemption Date or upon any earlier date duly
fixed for the termination of such rights. At any time on or after the Redemption
Date, or, if the Corporation shall elect to deposit the moneys for such
redemption as herein provided, then at any time on or after the Date of Deposit,
which time shall not be later than the Redemption Date, the respective holders
of record of the shares of Series Preferred Stock to be redeemed shall be
entitled to receive the Full Redemption Price per share upon actual delivery to
the Corporation or, in the event of such deposit, to the bank or trust company
with which such deposit shall be made, of certificates for the shares to be
redeemed, such certificates, if required, to be duly
-8-
endorsed in blank or accompanied by proper instruments of assignment and
transfer thereof duly endorsed in blank and including any necessary transfer
stamps. Any moneys so deposited which shall remain unclaimed by the holders of
such shares of Series Preferred Stock so redeemed at the end of two years after
the Redemption Date shall be paid by such bank or trust company to the
Corporation; provided that all moneys so deposited which shall not be required
for such redemption because of the exercise of any right of conversion or
exchange shall be returned to the Corporation forthwith. Any interest accrued on
moneys so deposited shall belong to and be paid to the Corporation from time to
time.
(b) Except as otherwise provided by law or as otherwise provided in this
resolution or in any Creating Resolution, the Corporation may purchase or
acquire any shares of Series Preferred Stock at not exceeding the applicable
Full Redemption Price for such shares at the time of such purchase. Any shares
of Series Preferred Stock redeemed, purchased or acquired by the Corporation
shall be cancelled and restored to the status of authorized but unissued shares
of Series Preferred Stock without series designation and may thereafter, in the
discretion of the Board of Directors, be reissued or otherwise disposed of at
any time or from time to time as part of another series, subject to the terms
and conditions herein set forth.
6. No Preemptive Rights.
No holder of shares of Series Preferred Stock shall be entitled to
subscribe for or purchase any part of any new or additional issue of stock, or
securities convertible into stock, of any class, series or kind whatsoever,
whether now or hereafter authorized, and whether issued for cash, property,
services, by way of dividends, or otherwise.
7. Voting Rights.
(a) Except as otherwise required by law or as otherwise provided in this
resolution or in any Creating Resolution, the holders of shares of Series
Preferred Stock shall have no voting rights and shall not be entitled to notice
of any meeting of the shareholders of the Corporation. Except as otherwise
provided by law,
-9-
upon any matter on which the shares of Series Preferred Stock of any series have
voting rights provided for in this resolution, each holder of shares of Series
Preferred Stock of such series shall be entitled to one vote for each $25 which
would be payable to him with respect to his shares of Series Preferred Stock of
such series upon any involuntary liquidation, dissolution or winding up of the
Corporation.
(b) If and when there is a Default in Preferred Dividends (as hereinafter
defined) in an amount equivalent to four full quarterly dividends on the shares
of Series Preferred Stock of any series (hereinafter called "Four Quarters
Default in Preferred Dividends"), and until a Default in Preferred Dividends
shall no longer exist, the holders of shares of Series Preferred Stock, voting
separately as a class and without regard to series, shall have the right
(hereinafter called "Special Right") to elect the smallest number of Directors
necessary to constitute a majority of the Board of Directors, but the holders of
shares of Series Preferred Stock, shall not be entitled to vote in the election
of the remaining Directors of the Corporation. In all elections for Directors
pursuant to this subsection 7(b) the holders of shares of Series Preferred Stock
shall not be entitled to cumulate their votes for the election of Directors. The
terms of office, as Directors, of all persons who may be Directors of the
Corporation at the time shall terminate upon the election of a majority of the
Board of Directors by the holders of shares of Series Preferred Stock, whether
or not the holders of the shares of Voting Stock (which term is used in this
subsection 7(b) as it is hereinafter defined in subsection 8(a), subparagraph
3(iv)) of the Corporation shall at the time of such termination have elected the
remaining Directors of the Corporation; thereafter during the continuance of the
Special Right the holders of shares of Series Preferred Stock, voting separately
as a class and without regard to series, shall be entitled to elect a majority
of the Board of Directors; and all Directors so elected whether at any special
or annual meeting for the election of Directors, held during the continuance of
the Special Right shall hold office until the next succeeding annual election
and until their respective successors, elected by the holders of shares of
Series Preferred Stock, voting separately as a class and without regard to
series, are elected and qualified,
-10-
unless their terms of office shall be sooner terminated as provided in this
subsection 7(b).
Upon the accrual of the Special Right, it shall be the duty of the
President, a Vice-President or the Secretary of the Corporation forthwith to
call a special meeting of the shareholders of the Corporation for the purpose of
electing a new Board of Directors, to be held not less than 45 nor more than 60
days after the accrual of the Special Right; provided that no such special
meeting shall be called if the date of such accrual of the Special Right shall
be less than 120 days prior to the date fixed by the by-laws of the Corporation
for the next annual meeting of shareholders, in which case the election shall be
held at such next annual meeting.
The notice of any such special meeting and of any annual meeting of the
Corporation at which the holders of shares of Series Preferred Stock shall have
the Special Right shall be mailed to each holder of such shares of record
entitled to vote at the meeting and shall set forth, among other things, (1)
that by reason of the fact that there is a Four Quarters Default in Preferred
Dividends the holders of shares of Series Preferred Stock, voting separately as
a class and without regard to series, are entitled to elect the smallest number
of Directors necessary to constitute a majority of the Board of Directors; (2)
that any holder of shares of Series Preferred Stock has the right for a proper
corporate purpose, at any reasonable time, to inspect and at his own expense
make copies of the list of holders of shares of Series Preferred Stock
maintained by the Corporation; and (3) the substance of the next succeeding
paragraph with respect to the number of shares of Series Preferred Stock
required to be represented at any meeting or adjournment thereof for the
election of Directors of the Corporation.
At any annual or special meeting for the election of Directors held during
the continuance of the Special Right, the presence in person or by proxy of the
holders of shares of Series Preferred Stock entitled to cast a majority of the
total number of votes which all holders of the outstanding shares of Series
Preferred Stock are entitled to cast at such meeting (hereinafter called "Total
Preferred Vote"), shall be required to constitute a quorum of such class for the
election of Directors;
-11-
provided that, if because of the absence of such a quorum at the first meeting
for the election of Directors after any accrual of the Special Right no election
of Directors shall be held, the holders of shares of Series Preferred Stock
entitled to cast a majority of the votes which all holders of the shares of
Series Preferred Stock who are present in person or by proxy at such meeting are
entitled to cast at such meeting shall have power to adjourn the meeting for
election of Directors to a date not less than 15 nor more than 50 days from the
date of such first meeting. At any such adjourned meeting the presence in person
or by proxy of the holders of shares of Series Preferred Stock entitled to cast
thirty-five per cent of the Total Preferred Vote shall constitute a quorum of
such class for the election of Directors.
In the event the first such meeting of shareholders shall be so adjourned as
aforesaid, it shall be the duty of the President, a Vice-President or the
Secretary of the Corporation, within 10 days after the date of such first
meeting, to cause notice of such adjourned meeting to be given to all
shareholders of the Corporation entitled to vote thereat. Such notice shall
contain substantially the statements hereinabove required with respect to the
first meeting, and shall further state that the required quorum of the holders
of shares of Series Preferred Stock was not present at such first meeting and
that the holders of shares of Series Preferred Stock entitled to cast thirty-
five per cent of the Total Preferred Vote shall be required to constitute a
quorum of such class for the election of Directors at such adjourned meeting.
If the holders of the shares of Series Preferred Stock fail to elect
Directors at such adjourned meeting and if the first meeting was a special
meeting called as aforesaid, the Directors of the Corporation then in office
shall remain in office until the next annual meeting of the shareholders of the
Corporation and until their successors have been duly elected and qualified; or,
if such first meeting was an annual meeting of shareholders, all members of the
Board of Directors to be elected at such meeting shall be elected by the holders
of the shares of Voting Stock of the Corporation at such adjourned meeting.
Except as provided in this subsection 7(b), the absence of a quorum of the
Series Preferred Stock at any
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annual or special meeting at which the shares of Series Preferred Stock are
entitled to elect a majority of the Board of Directors shall not prevent or
invalidate the election by the holders of the shares of Voting Stock of the
Corporation of the Directors whom they are entitled to elect; provided that the
Directors most recently elected by the holders of shares of Series Preferred
Stock shall continue to hold office until the next annual meeting of the
shareholders of the Corporation and until their successors shall have been duly
elected and qualified, unless the term of office of each shall be sooner
terminated as provided in this subsection 7(b).
If and when a Default in Preferred Dividends shall no longer exist (and
dividends on the shares of Series Preferred Stock shall be declared and paid out
of any funds legally available therefor as soon as reasonably practicable), the
holders of the shares of Series Preferred Stock shall thereupon be divested of
the Special Right, but subject to the same provisions for vesting such Special
Right in the holders of the shares of Series Preferred Stock in the case of any
subsequent Four Quarters Default in Preferred Dividends. Upon the termination of
such Special Right upon payment of Full Cumulative Dividends on the shares of
Series Preferred Stock to the end of the last preceding quarterly dividend
period, the terms of office of all persons who may have been elected Directors
of the Corporation by the holders of the Series Preferred Stock, voting
separately as a class and without regard to series, shall forthwith terminate.
In case of any vacancy in the office of a Director occurring among the
Directors elected by the holders of shares of Series Preferred Stock, voting
separately as a class and without regard to series, pursuant to this subsection
7(b), the remaining Directors elected by the holders of shares of Series
Preferred Stock may elect, by affirmative vote of a majority thereof, or by a
vote of the remaining Director so elected if there be but one, a successor or
successors to hold office for the unexpired term of the Director or Directors
whose place or places shall be vacant. In case of any vacancy in the office of a
Director occurring among the Directors not elected by the holders of shares of
Series Preferred Stock, neither the holders of the shares of Series Preferred
Stock nor any Director elected by them shall
-13-
be entitled to vote in filling such vacancy. In any such case, any Director so
elected shall hold office until the next annual meeting of shareholders and
until his successor shall have been duly elected and qualified, unless the term
of office shall be sooner terminated as provided in this subsection 7(b).
Nothing in this subsection 7(b) shall be deemed to prevent an increase in
the number of Directors of the Corporation so as to provide additional positions
on the Board of Directors for the Directors to be elected by the Series
Preferred Stock, or to prevent any other change in the number of Directors of
the Corporation.
8. Restrictions on Certain Corporate Action.
(a) So long as any shares of the Series Preferred Stock of any series shall
be outstanding, the Corporation shall not, without the written consent, or the
affirmative vote of the holders of record of at lest two-thirds of the Total
Preferred Vote, voting separately as a class and without regard to series,
(1) alter or change the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and
other special rights, if any, of all shares of Series Preferred Stock or of
any series thereof in any material respect prejudicial to the holders
thereof; provided that any such alteration or change of the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights, if any, of all shares of any
particular series of Series Preferred Stock which is not in any material
respect prejudicial to the holders of shares of Series Preferred Stock of
any other series may be effected with the consent, given as aforesaid, of
the holders of record of at least two-thirds of the number of votes of the
particular series of Series Preferred Stock affected by such alteration or
change;
(2) create any class of stock ranking prior to the shares of Series
Preferred Stock as to dividends or assets, or create any obligation or
security of the Corporation convertible into or exchangeable for
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shares of stock of any class having such priority over the shares of Series
Preferred Stock; or
(3) issue any shares of any series of Series Preferred Stock, except the
600,000 shares of first series thereof initially issued by the Corporation, or
issue any shares of any class of stock ranking prior to or on a parity with the
shares of the Series Preferred Stock as to dividends or assets, unless the
consolidated net income of the Corporation and its subsidiaries (as hereinafter
defined) for any twelve consecutive calendar months within the fifteen calendar
months immediately preceding the issue of such additional shares of Series
Preferred Stock or of such other stock shall have been at least one and one-half
times the sum of (i) the annual interest charges on all indebtedness for
borrowed money of the corporation and its subsidiaries to be outstanding
immediately after the proposed issue of such additional shares, (ii) the annual
dividend requirements on all shares of stock of any class ranking prior to or on
a parity with the Series Preferred Stock as to dividends or assets to be
outstanding immediately after the proposed issue of such additional shares,
(iii) the annual dividend requirements on all shares of preferred stock of
subsidiaries to be outstanding immediately after the proposed issuance of such
additional shares, and (iv) the annual dividend requirements on all shares of
Series Preferred Stock of all series to be outstanding immediately after the
proposed issue of such additional shares. If all or any part of the proceeds of
the additional shares of Series Preferred Stock or such other stock so proposed
to be issued are to be coincidentally applied by the Corporation, directly or
indirectly through subsidiaries or otherwise, to the acquisition of plants or
other tangible assets with a previous record of earnings, or to the acquisition
of subsidiaries with a previous record of earnings, there may be added to such
consolidated net income of the Corporation and its subsidiaries for such period
of twelve months, at the option of the Corporation, an amount equal to the net
income of such assets or subsidiaries, for the same twelve months' period,
determined by the Board of Directors in a manner consistent with the
determination of consolidated net income of the Corporation and its
subsidiaries.
15
For the purposes of paragraph (3) of this subsection 8(a) and as otherwise
indicated in this resolution the following shall be applicable:
(i) The term "consolidated net income of the Corporation and its
subsidiaries", determined in accordance with generally accepted accounting
principles except as hereinafter provided, shall be deemed to mean the
total income (including allowance for funds used during construction and
all other income except amortization of premium on debt), of the
Corporation and its subsidiaries and predecessor companies from all
sources for the period in question, after deducting therefrom all
operating and non-operating expenses and charges, including maintenance
expenses, such provisions for reserves for retirements, renewals and
replacements and for depreciation, obsolescence and depletion as
determined by the Board of Directors in accordance with established
practice of the Corporation and its subsidiaries, taxes and rentals paid
or accrued in respect of the properties, license fees and franchise taxes
paid or accrued, and Federal and State taxes based on income paid or
accrued, but excluding interest charges on indebtedness (for money
borrowed) of the Corporation and its subsidiaries, dividends on preferred
stocks of subsidiaries, amortization of debt discount and expense, and
profits or losses on sales of capital assets, amortization of intangible
or property adjustments, write-downs of property, or other adjustments,
and similar items.
(ii) The term "predecessor companies" shall be deemed to mean any
corporation or corporations substantially all the assets of which shall
have been acquired by the Corporation or any subsidiary by purchase,
merger or otherwise during the period for which the consolidated net
income of the Corporation and its subsidiaries is to be determined and
for the purposes hereof shall be deemed to have been owned for the full
period considered.
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(iii) The term "subsidiary" shall mean any corporation of which
at least a majority of the Voting Stock is at the time directly or
indirectly owned or controlled by the Corporation or by one or more
such subsidiaries; provided that in no event shall there be included
within the term "subsidiary" any corporation substantially all of the
physical properties of which are located outside of the United States
of America.
(iv) The term "Voting Stock" shall mean stock entitled under
ordinary circumstances to vote for the election of Directors and does
not mean or include stock so entitled to vote only upon failure to pay
dividends thereon or upon some other contingency or for some special
purpose or purposes.
(b) So long as any shares of Series Preferred Stock of any series shall be
outstanding, the Corporation shall not, without the written consent or the
affirmative vote of the holders of record of at least a majority of the Total
Preferred Vote, voting separately as a class and without regard to series,
(1) increase the authorized number of shares of the Series Preferred
Stock, or create any class of stock ranking on a parity with the Series
Preferred Stock as to dividends or assets; or
(2) merge into or consolidate with any other corporation or corporations
or sell, lease or otherwise dispose of all or substantially all of its assets,
unless such merger, consolidation, sale, lease or other disposition shall have
been ordered, permitted or approved by the Securities and Exchange Commission
under the provisions of the Public Utility Holding Company Act of 1935 as now
in effect or as hereafter amended or by any successor commission.
(c) Notwithstanding the foregoing provisions of this Section 8, it shall
not be necessary to obtain any affirmative vote or consent of holders of the
shares of Series Preferred Stock of any series in respect of any matter therein
specified, if, in connection with the
-17-
consummation of such transactions, irrevocable provision is to be made for the
redemption or retirement of all of the shares of Series Preferred Stock of such
series, at the time outstanding, within 45 days following consummation of such
transaction.
9. Definitions.
(a) The term "Junior Stock" as used in this resolution shall be deemed to
mean the Common Stock and all other stock of the Corporation ranking junior to
the Series Preferred Stock as to dividends or assets.
(b) The term "Full Cumulative Dividends" whenever used in this resolution
with reference to any share of any series of the Series Preferred Stock shall
mean (whether or not in any dividend period or any part thereof in respect of
which such term is used there shall have been any funds of the Corporation
legally available for the payment of such dividends) that amount which shall be
equal to dividends at the rate per share fixed by the Creating Resolution for
such series, for the period of time elapsed from the Date of Cumulation of such
series to the date as of which Full Cumulative Dividends are to be computed, but
without interest, less the amount of all dividends paid or declared and set
apart for payment upon such share.
(c) The term "Default in Preferred Dividends" shall mean the failure to pay
Full Cumulative Dividends on all shares of all Series Preferred Stock then
outstanding to the end of the last preceding quarterly dividend period.
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 600,000 shares of the Series Preferred Stock, without par value, as
a series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $2.75 Series (hereinafter called "First Series"); and further
RESOLVED, that the voting rights, designations, preferences, qualifications,
privileges, limitations, options, conversion rights and other special rights of
the First Series (in addition to the voting rights,
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designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred
Stock, which are applicable to the Series Preferred Stock of all series,
hereinafter called "General Terms of the Series Preferred Stock") shall be as
follows:
1. Dividends. The dividend rate of the shares of the First Series shall be
$2.75 per share per annum. Dividends on all shares of the First Series shall be
cumulative from the date of the initial issue of such shares.
2. Redemptions. The shares of the First Series shall be subject to
redemption in the manner specified in the General Terms of the Series Preferred
Stock at the following Redemption Prices per share applicable to the periods
indicated:
Period Redemption Price
------
June 1, 1975 to and including May 31, 1980.............. $27.75
June 1, 1980 to and including May 31, 1985.............. $26.75
June 1, 1985 to and including May 31, 1990.............. $25.75
------
Thereafter.............................................. $25.75
------
plus in each case, an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
redemption; provided that the Corporation may not, prior to June 1, 1980, redeem
any shares of the First Series if such redemption is a part of or in
anticipation of any refunding operation involving the application, directly or
indirectly, of borrowed funds or the proceeds of an issue of any stock ranking
prior to or on a parity with the First Series as to dividends or assets, if such
borrowed funds have an effective annual interest cost to the Company (calculated
in accordance with generally accepted financial practice and without any
consideration of income tax effect), or such stock has a dividend cost to the
Company (so calculated), less than the dividend rate per annum of the First
Series.
3. Liquidation Rights. The amounts payable upon the shares of the First Series
in the event of any
-19-
liquidation, dissolution or winding up of the Corporation shall be:
(a) if the event be voluntary, the applicable Redemption Price per share
as specified in paragraph 2 of this resolution, and
(b) if the event be involuntary, $25 per share;
plus in each case an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
final payment.
4. Other Provisions or Rights. The shares of the First Series shall not be
entitled to the benefit of any other special provisions or rights that might
hereby be created for the First Series in accordance with and in response to the
terms of Section 1 of the General Terms of the Series Preferred Stock.
3. The aggregate number of shares of such series established and
designated by:
(i) such resolutions -- 600,000 shares;
(ii) all prior statements, if any, filed under the Act of May 5,
1933, P. L. 364, as amended, with respect thereto -- none; and
(iii) any other provision of this Company's Amended and Restated
Articles of Incorporation -- none.
4. Such resolutions were duly adopted by the Board of Directors of UGI
Corporation at a meeting duly held on June 3, 1975.
-20-
IN WITNESS WHEREOF, UGI Corporation has caused this Statement to be signed
under its corporate seal by its President and its Secretary this 3rd day of
June, 1975.
UGI CORPORATION
[CORPORATE SEAL LOGO]
[CORPORATE SEAL] By: /s/ Arthur E. Bone
---------------------------
President
By: /s/
---------------------------
Secretary
Filed in the Department of State on the 5th day of June A.D., 1975.
Secretary of the Commonwealth
---------------------------------
Secretary of the Commonwealth
-21-
Line for numbering
366234
COMMONWEALTH OF PENNSYLVANIA
DEPARTMENT OF STATE
CORPORATION BUREAU
DSCB-BCL-602(Rev 8-72) Filed this 4th day of
October 1977
Commonwealth of Pennsylvania
Department of State
Filing Fee: $40
A8-2
Statement Affecting Class
or Series of Shares--
Domestic Business Corporation Secretary of the Commonwealth
Box for Certification
In compliance with the requirements of section 602 of the Business
Corporation Law act of May 5, 1933 P.L. 364 15 (P S ss 1602) the undersigned
corporation desiring to state the voting rights designations preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights if any of a class or series of hereby certifies that
1. The name of the corporation:
UGI CORPORATION
2. (Check and complete one of the following):
The resolution establishing and designating the class of series of shares
and fixing and determining the relative rights and preferences thereof, set
forth in full, is as follows
/X/ The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof as
set forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by such resolution, (b) all prior statements, if any filed under the
Business Corporation Law with respect thereto, and (c) any other provision of
the Articles, is 600,000 shares.
4. (Check and complete one of the following):
/X/ The resolution was adopted by the Board of Directors of the Corporation
at a duly called meeting held on the 21st day of June, 1977.
The resolution was adopted by a consent or consents in writing dated the
____ day of ________________, 19___ signed by all of the Directors of the
corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal, duly attested
by another such officer to be hereunto affixed this 30th day of September, 1977.
UGI CORPORATION
_______________________________________
NAME OF CORPORATION
Arthur E. Bone
By: -----------------------------------
SIGNATURE
Arthur E. Bone
President
_______________________________________
(TITLE: PRESIDENT, VICE PRESIDENT, ETC.)
Attest
/s/ George S. Webster
----------------------------
Signature
George S. Webster
Assistant Secretary
----------------------------
(TITLE: SECRETARY,
ASSISTANT SECRETARY, ETC.)
CORPORATE SEAL
Exhibit A
RESOLUTIONS OF THE BOARD OF DIRECTORS OF
UGI CORPORATION
FOR THE
ESTABLISHMENT OF SERIES PREFERRED STOCK,
$1.80 SERIES (WITHOUT PAR VALUE)
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 600,000 shares of the Series Preferred Stock, without par value, as
a series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $1.80 Series (hereinafter called "Second Series"); and further
RESOLVED, that the voting rights, designations, preferences, qualifications,
privileges, limitations, options, conversion rights and other special rights of
the Second Series (in addition to the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights set forth in the resolution of the Board of Directors
establishing the terms of the class of Series Preferred Stock, which are
applicable to the Series Preferred Stock of all series, hereinafter called
"General Terms of the Series Preferred Stock") shall be as follows:
1. Dividends. The dividend rate of the shares of the Second Series shall
be $1.80 per share per annum. Dividends on all shares of the Second Series
shall be cumulative from the date of initial issue of such shares.
2. Redemptions. The shares of the Second Series shall not be redeemable
prior to January 1, 1998. Thereafter, the shares of the Second Series shall
be subject to redemption in the manner specified in the General Terms of the
Series Preferred Stock at a Redemption Price of $23.50 per share plus an
amount equal to Full Cumulative Dividends thereon (as provided in the
General Terms of the Series Preferred Stock) to the date of redemption.
3. Purchase Fund.
(a) Subject to any restrictions provided in the General Terms of
the Series Preferred Stock, the Corporation, commencing on January 1,
1983, shall purchase, out of funds legally available therefor, the
number of shares of the Second Series tendered for purchase in the
manner provided by subsection (c) of this Section 3, but not to exceed
the Maximum Number of Shares, as that term is hereinafter defined in
this Section 3, of shares of the Second Series, at a purchase price of
$23.50 per share plus an amount equal to the Full Cumulative Dividends
thereon (as provided in the General Terms of the Series Preferred Stock)
to the date of payment. The Corporation shall set aside on or before the
date on which it is obligated to make any purchase of shares of the
Second Series pursuant to this Section 3 as and for a purchase fund all
funds necessary to effect any such purchase of shares of the Second
Series.
(b) The Maximum Number of Shares for the purposes of this Section 3
shall be the number at the time applicable as set forth in the following
schedule:
PERIOD NUMBER OF SHARES
----------------------------- ----------------------------------------
January 1, 1983 to and
including December 31, 1983......... 20% of the total number of shares of the
Second Series issued by the Corporation.
January 1, 1984 to and
including December 31, 1984......... 40% of the total number of shares of the
Second Series issued by the Corporation
less the number of shares previously
purchased by the Corporation pursuant to
this Section 3.
1
Period Number of Shares
------ ----------------
January 1, 1985 to and
including December 31, 1985........... 60% of the total number of shares of the
Second Series issued by the Corporation
less the number of shares previously
purchased by the Corporation pursuant to
this Section 3.
January 1, 1986 to and
including December 31, 1986........... 80% of the total number of shares of the
Second Series issued by the Corporation
less the number of shares previously
purchased by the Corporation pursuant to
this Section 3.
On and after January 1, 1987.......... Any shares of the Second Series then
outstanding.
(c) The holder of any shares of the Second Series may tender such share or
shares at any time on or after December 1, 1982, by delivering to the transfer
agent for shares of the Second Series or to the Corporation if no separate
transfer agent for shares of the Second Series has been appointed by the
Corporation (which transfer agent or the Corporation, as the case may be, is
hereinafter called the "Transfer Agent"), the certificate or certificates
therefor, duly endorsed to the Corporation or in blank, together with written
notice to the Corporation of his election to so tender. Such tender shall be
irrevocable. Shares delivered less than 20 days prior to a quarterly dividend
payment date shall be deemed for the purposes of this subsection. (e) of this
Section 3, to have been delivered on the day next following such quarterly
dividend payment date. On the quarterly dividend payment date next following
such date of delivery the Corporation shall, except as provided in subsection
(e) of this Section 3, deposit with the Transfer Agent the amount of money
necessary to effect the purchase of the Maximum Number of Shares or the number
of shares of the Second Series then properly tendered as provided in this
subsection (e) of this Section 3, whichever is less, and shall cause the
Transfer Agent to pay over to each tendering shareholder his share of such
deposit.
(d) In the event the number of shares of the Second Series properly tendered
prior to any quarterly dividend payment date shall exceed the Maximum Number of
Shares, the Corporation shall purchase from each holder who has properly
tendered such shares the nearest whole number of shares determined by
multiplying the number of shares tendered by each such holder by a fraction of
which the numerator shall be the Maximum Number of Shares and of which the
denominator shall be the aggregate number of shares of the Second Series so
tendered by all such holders. As soon as practicable after such quarterly
dividend payment date, the Corporation will issue and deliver or cause to be
issued or delivered to each holder, less than all of whose shares of the Second
Series were purchased by the Corporation pursuant to the provisions of this
Section 3, a certificate or certificates representing the tendered shares not so
purchased.
(e) In the event the number of shares of the Second Series to be purchased
on any quarterly dividend payment date as provided in subsection (c) of this
Section 3 shall exceed 25,000 shares, the Corporation may by written notice to
each tendering shareholder defer the purchase and payment for a pro rata
proportion of such excess and the related deposit with the Transfer Agent under
subsection (c) to a specified date not more than six months after such quarterly
dividend payment date.
(f) Except to the extent a certificate or certificates for the shares
covered thereby are issued and delivered to a holder as provided in subsection
(d) of this Section 3, shares of the Second Series properly tendered under this
Section 3 shall thereafter cease to be entitled to any right of conversion or
exchange under Section 6 hereof or otherwise.
(g) Shares of the Second Series purchased under this Section 3 shall be
retired and cancelled, and may be reclassified and reissued as provided in the
General Terms of the Series Preferred Stock, except that such shares may not
reissued as shares of the Second Series.
2
4. LIQUIDATION RIGHTS. The amounts payable upon the shares of the Second
Series in the event of any liquidation, dissolution or winding up of the
Corporation, whether voluntary or involuntary, shall be $23.50 per share plus an
amount equal to Full Cumulative Dividends thereon (as provided in the General
Terms of the Series Preferred Stock) to the date of final payment.
5. VOTING RIGHTS. Each holder of shares of the Second Series shall be
entitled to 0.25 of a vote per share with the holders of Common Stock of the
Corporation, except upon matters with respect to which the holders of shares of
Series Preferred Stock of any Series have separate voting rights as provided in
the General Terms of the Series Preferred Stock or as otherwise required by law.
6. CONVERSION RIGHTS.
(a) The holder of any share or shares of the Second Series
(hereinafter sometimes called the "Second Series Stock") shall have the right to
convert, subject to the provisions of this Section 6, any such share or shares
into fully paid and non-assessable shares of Common Stock (calculated as to each
conversion to the nearest one one-hundredth of a share) of the Corporation at
the basic conversion rate of 1.06 of a share of Common Stock for each share of
Second Series Stock; provided, however (i) that such conversion rate shall be
subject to adjustment upon the happening of certain contingencies as provided in
paragraph (b) of this Section 6, (ii) that whenever the Corporation is required
to purchase any shares of Second Series Stock pursuant to the provisions of
Section 3 hereof, the conversion rights of the holder of such shares shall
terminate as to the shares to be purchased thereunder as provided in said
Section 3, (iii) that in the event of the dissolution, liquidation or winding up
of the Corporation, whether voluntary or involuntary, or the sale, transfer or
other disposition, with or without a dissolution of the Corporation, of all or
substantially all of its property, assets or business as a result of which sale,
transfer or other disposition, cash only shall be payable or distributable to
the holders of the Common Stock, the conversion rights of the holders of Shares
of the Second Series shall terminate on such date as shall be fixed by the Board
of Directors, not less than 30 days after the mailing to such holders of the
notice required by paragraph (g) of this Section 6, and (iv) that if not
previously terminated as herein provided, the conversion rights of the holders
of shares of the Second Series shall terminate on January 1, 1988.
The transfer books of the Corporation shall not be closed at any time prior
to the termination of the conversion right of the holders of Second Series
Stock, but this provision shall not prevent the fixing of a record date for the
determination of shareholders for any proper purpose.
"Common Stock", as such term is used herein, shall mean stock of the
Corporation of any class, whether now or hereafter authorized, which has the
right to participate in the distribution of either earnings or assets of the
Corporation without limit as to the amount or percentage; provided, however,
that Common Stock issuable upon conversion of Second Series Stock as herein
provided shall mean only Common Stock authorized at the time of original issue
of the Second Series Stock and stock of any other class into which the then
authorized Common Stock may thereafter have been changed. In determining the
number of shares of Common Stock outstanding at any particular time, for the
purpose of computations pursuant to the formula in the following paragraph (b),
there shall be included all Common Stock then owned of record or beneficially by
the Corporation and Common Stock issuable in respect of any then outstanding
scrip certificates representing fractional interests with respect to Common
Stock.
(b) The conversion rate shall be subject to adjustment as follows:
(1) In case the Corporation shall (i) pay a dividend in shares of its
capital stock, (ii) subdivide its outstanding shares of Common Stock,
(iii) combine its outstanding shares of Common Stock into a smaller
number of shares, or (iv) issue by reclassification of its shares of
Common Stock any shares of the Corporation, the conversion rate in
effect immediately prior thereto shall be adjusted as provided below so
that the holder of any share of Second Series Stock thereafter
surrendered for conversion shall be entitled to receive the number of
shares of the Corporation which he would have owned or have been
entitled to receive after
3
the happening of any of the events described above, had such share of
Second Series Stock been converted immediately prior to the happening
of such event. An adjustment made pursuant to this subparagraph (1)
shall become effective retroactively immediately after the record date
in the case of a dividend and shall become effective immediately after
the effective date in the case of a subdivision, combination or
reclassification.
(2) In case the Corporation shall issue rights or warrants to all
holders of its Common Stock entitling them (for a period expiring
within 45 days after the record date mentioned below) to subscribe for
or purchase shares of Common Stock at a price per share less than the
current market price (as hereinafter defined) per share of Common
Stock at the record date mentioned below, the number of shares of
Common Stock into which each share of Second Series Stock shall
thereafter be convertible shall be determined by multiplying the
number of shares of Common Stock into which such share of Second
Series Stock was theretofore convertible by a fraction, of which the
numerator shall be the number of shares of Common Stock outstanding on
the date of issuance of such rights or warrants plus the number of
additional shares of Common Stock offered for subscription or
purchase, and of which the denominator shall be the number of shares
of Common Stock outstanding on the date of issuance of such rights or
warrants plus the number of shares which the aggregate offering price
of the total number of shares so offered would purchase at such
current market price. Such adjustment shall be made whenever such
rights or warrants are issued, and shall become effective
retroactively immediately after the record date for the determination
of shareholders entitled to receive such rights or warrants.
(3) In case the Corporation shall distribute to all holders of its
Common Stock evidences of its indebtedness or assets (excluding cash
dividends or distributions to the extent permitted by Section 2 of the
General Terms of the Series Preferred Stock) or rights or warrants to
subscribe for or purchase securities issued by the Corporation or
property of the Corporation (excluding those referred to in
subparagraph (2) above), then in each such case the number of shares
of Common Stock into which each share of Second Series Stock shall
thereafter be convertible shall be determined by multiplying the
number of shares of Common Stock into which such share of Second
Series Stock was theretofore convertible by a fraction, of which the
numerator shall be the current market price per share of Common Stock
on the date of such distribution, and of which the denominator shall
be such current market price per share of the Common Stock, less the
then fair market value (as determined by the Board of Directors of the
Corporation, whose determination shall be conclusive) of the portion
of the assets or evidences of indebtedness so distributed or of such
rights or warrants applicable to one share of the Common Stock. Such
adjustment shall be made whenever any such distribution is made, and
shall become effective retroactively immediately after the record date
for the determination of shareholders entitled to receive such
distribution.
If any such rights or warrants shall by their terms provide for an
increase or increases, with the passage of time, in the amount of
additional consideration payable to the Corporation upon the exercise
thereof, the conversion rate then applicable shall, forthwith upon any such
increase becoming effective, be readjusted to reflect such increase,
provided that the conversion rate shall not be increased as a result of any
such readjustment to a rate higher than it would have been if such rights
or warrants had never been issued.
If any such rights or warrants shall expire without having been
exercised, the conversion rate as theretofore adjusted because of the issue
of such rights or warrants shall forthwith be readjusted to the conversion
rate which would have been in effect had an adjustment been made on the
basis that the only rights or warrants, so issued or sold, were those
rights or warrants actually exercised and that with respect to any such
rights or warrants to subscribe for or purchase securities issued by the
Corporation, other than Common Stock, or property of the Corporation the
fair market value thereof shall be the fair market value of the rights or
warrants actually exercised.
4
For the purpose of any computation under this paragraph (b) the current
market price per share of Common Stock at any date shall be deemed to be the
arithmetic average of the daily closing prices for the thirty consecutive
business days commencing forty-five business days before the day in question.
The closing price for each day shall be, in the event that the Common Stock is
listed or admitted for trading on a national securities exchange, the last
reported sale price regular way or, in case no such reported sale takes place on
such day, the arithmetic average of the reported closing bid and asked prices
regular way, in either case, as reported on the applicable consolidated or
composite tape, or if not listed or admitted to trading on any national
securities exchange, the arithmetic average of the closing bid and asked prices
as furnished by any New York Stock Exchange, Inc. firm selected from time to
time by the Corporation for this purpose.
No adjustments in the conversion rate shall be required unless such
adjustment would require an increase or decrease of at least one one-hundredth
of a share; provided, however, that any adjustments which by reason of this
sentence are not required to be made shall be carried forward and taken into
account in any subsequent adjustment. All calculations under this paragraph (b)
shall be made to the nearest cent or to the nearest one one-hundredth of a share
as the case may be.
(c) No adjustment of the conversion rate shall be made as a result of or in
connection with the issuance of Common Stock of the Corporation pursuant to
options or stock purchase agreements now or hereafter granted or entered into
with officers or employees of the Corporation or its subsidiaries in connection
with their employment, whether entered into at the beginning of the employment
or at any time thereafter.
(d) In case of any capital reorganization of the Corporation, or in case of
the consolidation or merger of the Corporation with or into another corporation,
or in case of the sale, transfer or other disposition of all or substantially
all of the property, assets or business of the Corporation as a result of which
sale, transfer or other disposition property other than cash shall be payable or
distributable to the holders of the Common Stock, each share of Second Series
Stock shall thereafter be convertible into the number and class of shares or
other securities or property of the Corporation, or of the corporation resulting
from such consolidation or merger or to which such sale, transfer or other
disposition shall have been made, to which the Common Stock otherwise issuable
upon conversion of such share of Second Series Stock would have been entitled
upon such reorganization, consolidation, merger, or sale, transfer or other
disposition if outstanding at the time thereof; and in any such case appropriate
adjustment, as determined by the Board or Directors, shall be made in the
application of the provisions set forth in this Section 6 with respect to the
conversion rights thereafter of the holders of the Second Series Stock to the
end that such provisions shall thereafter be applicable, as nearly as reasonably
may be, in relation to any shares or securities or other property thereafter
issuable or deliverable upon the conversion of Second Series Stock. Proper
provision shall be made as a part of the terms of any such consolidation, merger
or sale, transfer or other disposition whereby the conversion rights of the
holders of Second Series Stock shall be protected and preserved in accordance
with the provisions of this paragraph (d). The provisions of this paragraph (d)
shall similarly apply to successive capital reorganizations, consolidations,
mergers, sales, transfers or other dispositions of property as aforesaid.
(e) Upon conversion of any shares of Second Series Stock, no payment or
adjustment shall be made on account of dividends accrued, whether or not in
arrears, on such shares or on account of dividends declared and payable to
holders of Common Stock of record on a date prior to the date of conversion.
(f) Whenever the conversion rates shall be adjusted as provided in paragraph
(b) of this Section 6 the Corporation, as soon as practicable and in no event
later than ten full business days thereafter, shall file with the Transfer Agent
a statement, signed by the President, and Vice President or the Treasurer of the
Corporation, stating the adjusted conversion rates determined as provided in
said paragraph (b) and setting forth in reasonable detail the facts requiring
such adjustment, and shall promptly mail a copy of such statement to each holder
of Second Series Stock at his address then appearing on the record books of the
Corporation. The Transfer Agent shall be
5
fully protected in relying on such statement and shall be under no duty to
examine into the truth or accuracy thereof. If any question shall at any time
arise with respect to the adjusted conversion rates, such question shall be
determined by a firm of independent public accountants selected by the
Corporation, who may be the Corporation's auditors, and acceptable to the
Transfer Agent, and such determination shall be binding upon the Corporation and
the holders of such shares.
(g) In case the Corporation shall propose to pay any dividend in stock upon
its Common Stock or to make any other distribution, other than cash dividends,
to the holders of its Common Stock; or
(2) the Corporation shall propose to offer to the holders of its Common
Stock rights to subscribe to any additional shares of any class or any other
rights or options; or
(3) the Corporation shall propose to effect any reclassification of its
Common Stock (other than a reclassification involving merely the subdivision or
combination of outstanding Common Stock), or to effect any capital
reorganization, or shall propose to consolidate with or merge into another
corporation, or to sell, transfer or otherwise dispose of all or substantially
all of its property, assets or business; or
(4) the Corporation shall propose to liquidate, dissolve or wind up;
then, in each such case, the Corporation shall file with the Transfer Agent for
Second Series Stock and shall mail to the holders of record of Second Series
Stock at their respective addresses then appearing on the record books of the
Corporation notice of such proposed action, such notice to be filed and mailed
at least 10 days, if the proposed action is that referred to in subparagraph (1)
or (2) above, and at least 30 days, if the proposed action is that referred to
in subparagraph (3) or (4) above, prior to the record date for the purpose of
determining holders of the Common Stock entitled to the benefits of the action
referred to in subparagraph (1) or (2) or to vote with respect to the action
referred to in subparagraph (3) or (4) or, if no record date is taken for any
such purpose, the date of the taking of such proposed action. Such notice shall
specify the date on which the books of the Corporation shall close, or a record
be taken, for such stock dividend, distribution of such rights or options, or
the date on which such reclassification, reorganization, consolidation, merger,
liquidation, dissolution or winding up shall take place, as the case may be, and
the date of participation therein by the holders of Common Stock if any such
date is to be fixed. If such notice relates to any proposed action referred to
in subparagraph (3) or (4) above, it shall set forth facts with respect thereto
as shall be reasonably necessary to inform the Transfer Agent and the holders of
such shares as to the effect of such action upon their conversion rights.
Failure to file any certificate or notice or to mail any notice, or any defect
in any certificate or notice, pursuant to this paragraph (g), shall not affect
the legality or validity of any adjustment, dividend, distribution or right
referred to herein.
(h) In order to convert shares of Second Series Stock into Common Stock,
the holder thereof shall surrender at the office of the Transfer Agent the
certificate or certificates therefor, duly endorsed to the Corporation or in
blank, and give written notice to the Corporation at said office that he elects
to convert such shares and shall state in writing therein the name or names
(with addresses) in which he wishes the certificate or certificates for Common
Stock to be issued. Shares of Second Series Stock shall be deemed to have been
converted on the date of the surrender of such certificate or certificates for
shares for conversion as provided above, and the person or persons entitled to
receive the Common Stock issuable upon such conversion shall be treated for all
purposes as the record holder or holders of such Common Stock on such date. As
soon as practicable on or after the date of conversion as aforesaid, the
Corporation will issue and deliver at said office a certificate or certificates
for the number of full shares of Common Stock issuable upon such conversion,
together with cash in lieu of any fraction of a share, as hereinafter in
paragraph (j) provided, to the person or persons entitled to receive the same.
6
The Corporation will pay any and all federal or state original issue
taxes that may be payable in respect of the issue or delivery of shares of
Common Stock on conversion of shares of Second Series Stock pursuant
hereto. The Corporation shall not, however, be required to pay any tax
which may be payable in respect of any transfer involved in the issue and
delivery of shares of Common Stock in a name other than that in which the
shares of Second Series Stock so converted were registered, and no issue or
delivery shall be made unless and until the person requesting such issue
has paid to the Corporation the amount of any such tax, or has established
to the satisfaction of the Corporation either that such tax has been paid
or that no such tax is payable.
(i) Shares of Second Series Stock converted into Common Stock shall be
deemed to have been acquired by the Corporation for the purposes of Section
5(b); of the General Terms of the Series Preferred Stock, except that such
shares may not be reissued as shares of the Second Series.
(j) The Corporation shall not issue fractional shares of Common Stock
upon any conversion of shares of Second Series Stock. As to any final
fraction of a share which the holder of one or more shares of Second Series
Stock would be entitled to receive upon exercise of his conversion right,
the Corporation shall pay a cash adjustment in respect of such final
fraction in an amount equal to the same fraction of the last sale price (or
bid price if there were no sales) per share of Common Stock on the
applicable consolidated or composite tape on the business day which next
precedes the day of exercise or, if such Common Stock is not then listed on
any national securities exchange, of the market price per share (as
determined in a manner prescribed by the Board of Directors of the
Corporation) at the close of business on the business day which next
precedes the day of exercise.
(k) The Corporation shall at all times have authorized and unissued,
or in its treasury, a number of shares of Common Stock sufficient for the
conversion of all shares of Second Series Stock at the time outstanding.
If any shares of Common Stock require registration with or approval of any
governmental authority under any Federal or State law, before such shares may be
validly issued upon conversion, then the Corporation will in good faith and as
expeditiously as possible endeavor to secure such registration or approval as
the case may be.
The Corporation warrants that all Common Stock issued upon conversion of
shares of Second Series Stock will upon issue be fully paid and non-assessable
by the Corporation and free from original issue taxes.
7. Other Provisions or Rights. The shares of the Second Series shall not be
entitled to the benefit of any other special provisions or rights that might
hereby be created for the Second Series in accordance with and in response to
the terms of Section 1 of the General Terms of the Series Preferred Stock.
8. Definitions. The terms defined in the General Terms of the Series
Preferred Stock shall have the same meaning in these Resolutions unless
otherwise defined herein.
7
APPLICANT'S ACC'T NO
DSCB:BCL-602 (Rev. 8-72)
------------------------------
(Line for numbering)
Filing Fee: $40 366234
AB-2
Statement Affecting Class COMMONWEALTH OF PENNSYLVANIA
or Series of Shares- DEPARTMENT OF STATE
Domestic Business Corporation CORPORATION BUREAU
--------------------------------------------------------------------------------
------------------------------------
Filed this 2nd day of
-------- --------
May , 1978
---------------------- ------
Commonwealth of Pennsylvania
Department of State
/s/ Barton A. Fields
fmk/he
Secretary of the Commonwealth
-------------------------------------
(Box for Certification)
In compliance with the requirements of section 602 of the Business
Corporation Law, act of May 5, 1933 (P. L. 364)(15 P. S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
/ / The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
/x/ The resolution establishing and designating the class or series of shares
and fixing and determining the relative rights and preferences thereof is set
forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 74,000 shares.
---------
4. (Check and complete one of the following):
/x/ The resolution was adopted by the Board of Directors of the corporation at
a duly called meeting held on the 18th day of October, 1977
---- ------- ---
The resolution was adopted by a consent or consents in writing dated the
___________ day of _________, 19__, signed by all of the Directors of the
corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal, duly attested
by another such officer, to be hereunto affixed this 2nd day of May, 1978.
--- --- ----
UGI CORPORATION
----------------------------
(NAME OF CORPORATION)
By: ARTHUR E. BONE
----------------------------
(SIGNATURE)
Arthur E. Bone, President
----------------------------
(TITLE: PRESIDENT,
VICE PRESIDENT, ETC.)
Attest:
GEORGE S. WEBSTER
---------------------------
(SIGNATURE)
George S. Webster
Assistant Secretary
---------------------------
(TITLE: SECRETARY,
ASSISTANT SECRETARY, ETC.)
(CORPORATE SEAL)
EXHIBIT A
RESOLUTIONS OF THE BOARD OF DIRECTORS OF
UGI CORPORATION
FOR THE
ESTABLISHMENT OF SERIES PREFERRED STOCK,
$6.75 SERIES (WITHOUT PAR VALUE)
RESOLVED, that pursuant to the authority granted to and vested in the
Board of Directors of the Corporation by the provisions of the Amended and
Restated Articles of Incorporation of the Corporation, the Board of Directors
hereby establishes 74,000 shares of the Series Preferred Stock, without par
value, as a series of such Series Preferred Stock which shall be designated as
Series Preferred Stock, $6.75 Series (hereinafter called "Third Series"); and
further
RESOLVED, that the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights of the Third Series (in addition to the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred
Stock, which are applicable to the Series Preferred Stock of all series,
hereinafter called "General Terms of the Series Preferred Stock") shall be as
follows:
1. Dividends. The dividend rate of the shares of the Third Series shall
be $6.75 per share per annum. Dividends on all shares of the Third Series shall
be cumulative from the date of initial issue of such shares.
2. Redemptions. The shares of the Third Series shall not be redeemable.
3. Liquidation Rights. The amounts payable upon the shares of the Third
Series in the event of any liquidation, dissolution or winding up of the
Corporation, whether voluntary or involuntary, shall be $100.00 per share plus
an amount equal to Full Cumulative Dividends thereon (as provided in the General
Terms of the Series Preferred Stock) to the date of final payment.
4. CONVERSION RIGHTS.
(a) The holder of any share or shares of the Third Series (hereinafter
sometimes called the "Third Series Stock") shall have the right to convert,
subject to the provisions of this Section 4, any such share or shares into fully
paid and non-assessable shares of Common Stock (calculated as to each conversion
to the nearest one one-hundredth of a share) of the Corporation at the basic
conversion rate of four shares of Common Stock for each share of Third Series
Stock; provided, however (i) that such conversion rate shall be subject to
adjustment upon the happening of certain contingencies as provided in paragraph
(b) of this Section 4, and (ii) that in the event of the dissolution,
liquidation or winding up of the Corporation, whether voluntary or involuntary,
or the sale, transfer or other disposition, with or without a dissolution of the
Corporation, of all or substantially all of its property, assets or business as
a result of which sale, transfer or other disposition, cash only shall be
payable or distributable to the holders of the Common Stock, the conversion
rights of the holders of Shares of the Third Series shall terminate on such date
as shall be fixed by the Board of Directors, not less than 30 days after the
mailing to such holders of the notice required by paragraph (g) of this Section
4.
The transfer books of the Corporation shall not be closed at any time prior
to the termination of the conversion right of the holders of Third Series Stock,
but this provision shall not prevent the fixing of a record date for the
determination of shareholders for any proper purpose.
"Common Stock", as such term is used herein, shall mean stock of the
Corporation of any class, whether now or hereafter authorized, which has the
right to participate in the distribution of either earnings or assets of the
Corporation without limit as to the amount or percentage; provided, however,
that Common Stock issuable upon conversion of Third Series Stock as herein
provided shall mean only Common Stock authorized at the time of original issue
of the Third Series Stock and stock of any other class into which the then
authorized Common Stock may thereafter have been changed. In determining the
number of shares of Common Stock outstanding at any particular time, for the
purpose of computations pursuant to the formula in the following paragraph (b),
there shall be included all Common Stock then owned of record or beneficially by
the Corporation and Common Stock issuable in respect of any then outstanding
scrip certificates representing fractional interests with respect
-2-
to Common Stock.
(b) The conversion rate shall be subject to adjustment as follows:
(1) In case the Corporation shall (i) pay a dividend in shares
of its capital stock, (ii) subdivide its outstanding shares of Common
Stock, (iii) combine its outstanding shares of Common Stock into a smaller
number of shares, or (iv) issue by reclassification of its shares of Common
Stock any shares of the Corporation, the conversion rate in effect
immediately prior thereto shall be adjusted as provided below so that the
holder of any share of Third Series Stock thereafter surrendered for
conversion shall be entitled to receive the number of shares of the
Corporation which he would have owned or have been entitled to receive
after the happening of any of the events described above, had such share of
Third Series Stock been converted immediately prior to the happening of
such event. An adjustment made pursuant to this subparagraph (1) shall
become effective retroactively immediately after the record date in the
case of a dividend and shall become effective immediately after the
effective date in the case of a subdivision, combination or
reclassification.
(2) In case the Corporation shall issue rights or warrants to
all holders of its Common Stock entitling them (for a period expiring
within 45 days after the record date mentioned below) to subscribe for or
purchase shares of Common Stock at a price per share less than the current
market price (as hereinafter defined) per share of Common Stock record date
mentioned below, the number of shares of Common Stock at the into which
each share of Third Series Stock shall thereafter be convertible shall be
determined by multiplying the number of shares of Common Stock into which
such share of Third Series Stock was theretofore convertible by a fraction,
of which the numerator shall be the number of shares of Common Stock
outstanding on the date of issuance of such rights or warrants plus the
number of additional shares of Common Stock offered for subscription or
purchase, and of which the denominator shall be the number of shares of
Common Stock outstanding on the date of issuance of such rights or warrants
plus the number of shares which the aggregate offering price of the total
number of shares so offered would purchase at such current market price.
Such adjustment shall be made whenever such rights or
-3-
warrants are issued, and shall become effective retroactively immediately after
the record date for the determination of shareholders entitled to receive such
rights or warrants.
(3) In case the Corporation shall distribute to all holders of its
Common Stock evidences of its indebtedness or assets (excluding cash dividends
or distributions to the extent permitted by Section 2 of the General Terms of
the Series Preferred Stock) or rights or warrants to subscribe for or purchase
securities issued by the Corporation or property of the Corporation (excluding
those referred to in subparagraph (2) above), then in each such case the number
of shares of Common Stock into which each share of Third Series Stock shall
thereafter be convertible shall be determined by multiplying the number of
shares of Common Stock into which such share of Third Series Stock was
theretofore convertible by a fraction, of which the numerator shall be the
current market price per share of Common Stock on the date of such distribution,
and of which the denominator shall be such current market price per share of the
Common Stock, less the then fair market value (as determined by the Board of
Directors of the Corporation, whose determination shall be conclusive) of the
portion of the assets or evidences of indebtedness so distributed or of such
rights or warrants applicable to one share of the Common Stock. Such adjustment
shall be made whenever any such distribution is made, and shall become effective
retroactively immediately after the record date for the determination of
shareholders entitled to receive such distribution.
If any such rights or warrants shall by their terms provide for an increase
or increases, with the passage of time, in the amount of additional
consideration payable to the Corporation upon the exercise thereof, the
conversion rate then applicable shall, forthwith upon any such increase becoming
effective, be readjusted to reflect such increase, provided that the conversion
rate shall not be increased as a result of any such readjustment to a rate
higher than it would have been if such rights or warrants had never been issued.
If any such rights or warrants shall expire without having been exercised,
the conversion rate as theretofore adjusted because of the issue of such rights
or warrants shall forthwith be readjusted to the conversion rate which
-4-
would have been in effect had an adjustment been made on the basis that the
only rights or warrants, so issued or sold, were those rights or warrants
actually exercised and that with respect to any such rights or warrants to
subscribe for or purchase securities issued by the Corporation, other than
Common Stock, or property of the Corporation the fair market value thereof
shall be the fair market value of the rights or warrants actually
exercised.
For the purpose of any computation under this paragraph (b) the
current market price per share of Common Stock at any date shall be deemed
to be the arithmetic average of the daily closing prices for the thirty
consecutive business days commencing forty-five business days before the
day in question. The closing price for each day shall be, in the event that
the Common Stock is listed or admitted for trading on a national securities
exchange, the last reported sale price regular way or, in case no such
reported sale takes place on such day, the arithmetic average of the
reported closing bid and asked prices regular way, in either case, as
reported on the applicable consolidated or composite tape, or if not listed
or admitted to trading on any national securities exchange, the arithmetic
average of the closing bid and asked prices as furnished by any New York
Stock Exchange, Inc. firm selected from time to time by the Corporation for
this purpose.
No adjustment in the conversion rate shall be required unless such
adjustment would require an increase or decrease of at least one one-
hundredth of a share; provided, however, that any adjustments which by
reason of this sentence are not required to be made shall be carried
forward and taken into account in any subsequent adjustment. All
calculations under this paragraph (b) shall be made to the nearest cent or
to the nearest one one-hundredth of a share as the case may be.
(4) In case the Corporation shall exercise its option under paragraph
(1) of this Section 4 to convert all shares of the Third Series Stock into
Common Stock without any action on the part of the holders thereof, the
number of shares of Common Stock into which each share of Third Series
Stock shall thereupon be converted shall be the greater of (i) the basic
conversion rate as adjusted as otherwise provided in this paragraph (b) of
this Section 4, or (ii) the quotient of a fraction, of which the
-5-
numerator shall be $100.00 and of which the denominator shall be the
current market price per share of Common Stock on the date of exercise of
such option, determined as provided in subparagraph (3) of this paragraph
(b). For the purposes of this subparagraph (4) the $100.00 amount set forth
in the numerator of the fraction shall be adjusted appropriately to reflect
any subdivision, combination or similar reclassification of the Common
Stock.
(c) No adjustment of the conversion rate shall be made as a result of
or in connection with the issuance of Common Stock of the Corporation pursuant
to options or stock purchase agreements now or hereafter granted or entered into
with officers or employees of the Corporation or its subsidiaries in connection
with their employment, whether entered into at the beginning of the employment
or at any time thereafter.
(d) In case of any capital reorganization of the Corporation, or in
case of the consolidation or merger of the Corporation with or into another
corporation, or in case of the sale, transfer or other disposition of all or
substantially all of the property, assets or business of the Corporation as a
result of which sale, transfer or other disposition property other than cash
shall be payable or distributable to the holders of the Common Stock, each share
of Third Series Stock shall thereafter be convertible into the number and class
of shares or other securities or property of the Corporation, or of the
corporation resulting from such consolidation or merger or to which such sale,
transfer or other disposition shall have been made, to which the Common Stock
otherwise issuable upon conversion of such share of Third Series Stock would
have been entitled upon such reorganization, consolidation, merger, or sale,
transfer or other disposition if outstanding at the time thereof; and in any
such case appropriate adjustment, as determined by the Board of Directors, shall
be made in the application of the provisions set forth in this Section 4 with
respect to the conversion rights thereafter of the holders of the Third Series
Stock to the end that such provisions shall thereafter be applicable, as nearly
as reasonably may be, in relation to any shares or securities or other property
thereafter issuable or deliverable upon the conversion of Third Series Stock.
Proper provision shall be made as a part of the terms of any such consolidation,
merger or sale, transfer or other disposition whereby the conversion rights of
the holders of Third Series Stock shall be protected and preserved in accordance
with the provisions of this paragraph (d). The provisions of this paragraph (d)
shall similarly apply
-6-
to successive capital reorganizations, consolidations, mergers, sales, transfers
or other dispositions of property as aforesaid.
(e) Upon conversion of any shares of Third Series Stock, no payment or
adjustment shall be made on account of dividends accrued, whether or not in
arrears, on such shares or on account of dividends declared and payable to
holders of Common Stock of record on a date prior to the date of conversion.
(f) Whenever the conversion rates shall be adjusted as provided in
paragraph (b) of this Section 4 the Corporation, as soon as practicable and in
no event later than ten full business days thereafter, shall file with the
Transfer Agent a statement, signed by the President, any Vice President or the
Treasurer of the Corporation, stating the adjusted conversion rates determined
as provided in said paragraph (b) and setting forth in reasonable detail the
facts requiring such adjustment, and shall promptly mail a copy of such
statement to each holder of Third Series Stock at his address then appearing on
the record books of the Corporation. The Transfer Agent shall be fully protected
in relying on such statement and shall be under no duty to examine into the
truth or accuracy thereof. If any question shall at any time arise with respect
to the adjusted conversion rates, such question shall be determined by a firm of
independent public accountants selected by the Corporation, who may be the
Corporation's auditors, and acceptable to the Transfer Agent, and such
determination shall be binding upon the Corporation and the holders of such
shares.
(g) In case:
(1) the Corporation shall propose to pay any dividend in stock
upon its Common Stock or to make any other distribution, other than cash
dividends, to the holders of its Common Stock; or
(2) the Corporation shall propose to offer to the holders of its
Common Stock rights to subscribe to any additional shares of any class or
any other rights or options; or
(3) the Corporation shall propose to effect any reclassification
of its Common Stock (other than a reclassification involving merely the
subdivision or combination of outstanding Common Stock), or to effect any
capital reorganization, or shall propose to consolidate with or merge into
another corporation, or to sell, transfer
-7-
or otherwise dispose of all or substantially all of its property, assets or
business; or
(4) the Corporation shall propose to liquidate, dissolve or wind up;
then, in each such case, the Corporation shall file with the Transfer Agent for
Third Series Stock and shall mail to the holders of record of Third Series Stock
at their respective addresses then appearing on the record books of the
Corporation notice of such proposed action, such notice to be filed and mailed
at least 10 days, if the proposed action is that referred to in subparagraph (1)
or (2) above, and at least 30 days, if the proposed action is that referred to
in subparagraph (3) or (4) above, prior to the record date for the purpose of
determining holders of the Common Stock entitled to the benefits of the action
referred to in subparagraph (1) or (2) or to vote with respect to the action
referred to in subparagraph (3) or (4) or, if no record date is taken for any
such purpose, the date of the taking of such proposed action. Such notice shall
specify the date on which the books of the Corporation shall close, or a record
be taken, for such stock dividend, distribution of such rights or options, or
the date on which such reclassification, reorganization, consolidation, merger,
liquidation, dissolution or winding up shall take place, as the case may be, and
the date of participation therein by the holders of Common Stock if any such
date is to be fixed. If such notice relates to any proposed action referred to
in subparagraph (3) or (4) above, it shall set forth facts with respect thereto
as shall be reasonably necessary to inform the Transfer Agent and the holders of
such shares as to the effect of such action upon their conversion rights.
Failure to file any certificate or notice or to mail any notice, or any defect
in any certificate or notice, pursuant to this paragraph (g), shall not affect
the legality or validity of any adjustment, dividend, distribution or right
referred to herein.
(h) In order to convert shares of Third Series Stock into Common Stock,
the holder thereof shall surrender at the office of the Transfer Agent the
certificate or certificates therefor, duly endorsed to the Corporation or in
blank, and give written notice to the Corporation at said office that he elects
to convert such shares and shall state in writing therein the name or names
(with addresses) in which he wishes the certificate or certificates for Common
Stock to be issued. Shares of Third Series Stock shall be deemed to have been
converted on the date of the surrender of such certificate or
-8-
certificates for shares for conversion as provided above, and the person or
persons entitled to receive the Common Stock issuable upon such conversion shall
be treated for all purposes as the record holder or holders of such Common Stock
on such date. As soon as practicable on or after the date of conversion as
aforesaid, the Corporation will issue and deliver at said office a certificate
or certificates for the number of full shares of Common Stock issuable upon such
conversion, together with cash in lieu of any fraction of a share, as
hereinafter in paragraph (j) provided, to the person or persons entitled to
receive the same.
The Corporation will pay any and all federal or state original issue taxes
that may be payable in respect of the issue or delivery of shares of Common
Stock on conversion of shares of Third Series Stock pursuant hereto. The
Corporation shall not, however, be required to pay any tax which may be payable
in respect of any transfer involved in the issue and delivery of shares of
Common Stock in a name other than that in which the shares of Third Series Stock
so converted were registered, and no issue or delivery shall be made unless and
until the person requesting such issue has paid to the Corporation the amount of
any such tax, or has established to the satisfaction of the Corporation either
that such tax has been paid or that no such tax is payable.
(i) Shares of Third Series Stock converted into Common Stock shall be
deemed to have been acquired by the Corporation for the purposes of Section 5(b)
of the General Terms of the Series Preferred Stock, except that such shares may
not be reissued as shares of the Third Series.
(j) The Corporation shall not issue fractional shares of Common Stock
upon any conversion of shares of Third Series Stock. As to any final fraction of
a share which the holder of one or more shares of Third Series Stock would be
entitled to receive upon exercise of his conversion right, the Corporation shall
pay a cash adjustment in respect of such final fraction in an amount equal to
the same fraction of the last sale price (or bid price if there were no sales)
per share of Common Stock on the applicable consolidated or composite tape on
the business day which next precedes the day of exercise or, if such Common
Stock is not then listed on any national securities exchange, of the market
price per share (as determined in a manner prescribed by the Board of Directors
of the Corporation) at the close of business on the business day which next
precedes the day of exercise.
-9-
(k) The Corporation shall at all times have authorized and unissued,
or in its treasury, a number of shares of Common Stock sufficient for the
conversion of all shares of Third Series Stock at the time outstanding.
If any shares of Common Stock require registration with or approval of any
governmental authority under any Federal or State law, before such shares may be
validly issued upon conversion, then the Corporation will in good faith and as
expeditiously as possible endeavor to secure such registration or approval as
the case may be.
The Corporation warrants that all Common Stock issued upon conversion of
shares of Third Series Stock will upon issue be fully paid and non-assessable by
the Corporation and free from original issue taxes.
(l) The Corporation may, at its option expressed by resolution of its
Board of Directors, convert all, but not less than all, shares of the Third
Series Stock into Common Stock, without any action on the part of the holders
thereof, subject to the following terms and conditions:
(1) Upon the adoption of such a resolution the Corporation shall
file with the Transfer Agent for Third Series Stock and shall mail to the
holders of record of Third Series Stock at their respective addresses then
appearing on the record books of the Corporation notice of such action.
Failure to file any notice, or any defect in any notice, pursuant to this
subparagraph (1), shall not affect the legality or validity of any
conversion referred to herein.
(2) The adoption of such a resolution shall have the same effect
for the purposes of this Section 4 as the surrender at the office of the
Transfer Agent of duly endorsed certificates for all shares of the Third
Series Stock with written notice by each holder thereof that he elects to
convert such shares, except that shares of the Third Series Stock shall be
deemed to have been converted on the quarter-annual dividend payment date
(which shall not be prior to January 1, 1988 and which shall be at least 10
days subsequent to the date of adoption of the resolution of the Board of
Directors effecting the conversion) specified in such resolution
(hereinafter called the "conversion date").
-10-
(3) As promptly as practicable after the conversion date each
holder of an outstanding certificate or certificates theretofore
representing shares of Third Series Stock shall surrender the same to the
Transfer Agent, and such holder shall be entitled upon such surrender to
receive in exchange therefor a certificate or certificates representing the
number of whole shares of Common Stock into which the shares of Third
Series Stock theretofore represented by the certificate or certificates so
surrendered shall have been converted as aforesaid, together with cash in
lieu of any fraction of a share, as provided in paragraph (j) above.
Dividends payable after the conversion date to holders of record in respect
of such shares of Common Stock shall not be paid to holders of such
certificates until such certificates are surrendered for exchange as
aforesaid. Accruals of dividends will not bear interest. In the event any
such certificate is not so surrendered for exchange within two years after
the conversion date, the shares of Common Stock represented thereby shall
be sold and the net proceeds of such sale shall be held for the holders of
the unsurrendered certificates to be paid to them without interest upon
surrender of such certificates. From and after any such sale, the sole
right of the holders of such unsurrendered certificates shall be to collect
the net sales proceeds for their accounts, together with dividends, if any,
payable in respect of the shares of Common Stock represented thereby
between the conversion date and the date of such sale.
5. Other Provisions or Rights. The shares of the Third Series shall
not be entitled to the benefit of any other special provisions or rights that
might hereby be created for the Third Series in accordance with and in response
to the terms of Section 1 of the General Terms of the Series Preferred Stock.
6. Definitions. The terms defined in the General Terms of the Series
Preferred Stock shall have the same meaning in these Resolutions unless
otherwise defined herein.
-11-
APPLICANT'S ACC'T NO. ------------------------------
Filed this 21st day of
DSCB:BCL-602 (Rev. 8-72) June, 1979
----------------------- Commonwealth of Pennsylvania
(Line for numbering) Department of State
Filing Fees $48
AB-2 366234 /s/ Ethel D. Allen, D.O.
Statement Affecting Class COMMONWEALTH OF
or Series of Shares-- PENNSYLVANIA Secretary of the Commonwealth
Domestic Business DEPARTMENT OF STATE -------------------------------
Corporation CORPORATION BUREAU (Box for Certification)
------------------------------------------------
In compliance with the requirements of section 602 of the Business
Corporation Law act of May 5, 1933 (P. L. 364) (15 P. S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI Corporation
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
[_] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
[X] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof is
set forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 150,000 shares.
4. (Check and complete one of the following):
XX The resolution was adopted by the Board of Directors of the
corporation as a duly called meeting held on the 27th day of March, 1979.
DSCB:BCL--602 (Rev. 8-72)-2
[ ] The resolution was adopted by a consent of consents in writing
dated the _________________________ day of ______________, 19____, signed by all
of the Directors of the corporation and filed with the Secretary of the
corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this
statement to be signed by a duly authorized officer and its corporate seal, duly
attested by another such officer, to be hereunto affixed this 15th day of June,
1979.
UGI Corporation
----------------------------------------
(NAME OF CORPORATION)
By: /s/ Charles L. Ladner
----------------------------------------
(SIGNATURE) Charles L. Ladner
Senior Vice President-Finance
----------------------------------------
(TITLE PRESIDENT, VICE PRESIDENT, ETC)
Attest:
/s/ Carol A. Trout
--------------------------
(SIGNATURE)
Carol A. Trout
--------------------------
(TITLE SECRETARY)
(CORPORATE SEAL)
EXHIBIT A
APPROVAL TO INCREASE AUTHORIZED
SHARES OF $6.75 SERIES PREFERRED
STOCK.
--------------------------------
RESOLVED, that this Board of Directors, pursuant to the authority
granted to and vested in it by this Company's Amended and Restated
Articles of Incorporation, hereby increases the number of shares of the
Series Preferred Stock established and designed as Series Preferred
Stock, $6.75 Series, from 74,000 to 150,000 shares.
APPLICANT'S ACC'T NO. -----------------------------
Filed this 17th day of
DSCB:BCL-602 (Rev. 8-72) June, 1980
------------------------ Commonwealth of Pennsylvania
(Line for numbering) Department of State
Filing Fee: $48
AB-2 366234 /s/ William R. Davis
Statement Affecting Class COMMONWEALTH OF
or Series of Shares-- PENNSYLVANIA Secretary of the Commonwealth
Domestic Business DEPARTMENT OF STATE slg
Corporation CORPORATION BUREAU -----------------------------
-------------------------------------------------- (Box for Certification)
In compliance with the requirements of section 602 of the Business
Corporation Law act of May 5, 1933 (P. L. 364) (15 P. S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI Corporation
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
[ ] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
[X] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof is
set forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 55,000 shares.
4. (Check and complete one of the following):
XX The resolution was adopted by the Board of Directors of the
corporation at a duly called meeting held on the 22nd day of April, 1980.
DSCB:BCL--602 (Rev. 8-72)-2
The resolution was adopted by a consent of consents in writing dated
the _________________________ day of ______________, 19____, signed by all of
the Directors of the corporation and filed with the Secretary of the
corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this
statement to be signed by a duly authorized officer and its corporate seal, duly
attested by another such officer, to be hereunto affixed this 20th day of May,
1980.
UGI Corporation
--------------------------------------
(NAME OF CORPORATION)
By: /s/ Walter F. X. Healy
--------------------------------------
(SIGNATURE)
Vice President
--------------------------------------
(TITLE PRESIDENT, VICE PRESIDENT, ETC)
Attest:
/s/ Carol A. Trout
-------------------------------------------
(SIGNATURE)
Carol A. Trout
-------------------------------------------
(TITLE SECRETARY, ASSISTANT SECRETARY, ETC)
(CORPORATE SEAL)
RESOLUTIONS OF THE BOARD OF DIRECTORS OF
UGI CORPORATION
FOR THE
ESTABLISHMENT OF SERIES PREFERRED STOCK,
$9.00 SERIES (WITHOUT PAR VALUE)
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 55,000 shares of the Series Preferred Stock, without par value, as a
series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $9.00 Series (hereinafter called "Fourth Series"); and further
RESOLVED, that the voting rights, designations, preferences, qualifications,
privileges, limitations, options, conversion rights and other special rights of
the Fourth Series (in addition to the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights set forth in the resolution of the Board of Directors
establishing the terms of the class of Series Preferred Stock, which are
applicable to the Series Preferred Stock of all series, hereafter called
"General Terms of the Series Preferred Stock") shall be as follows:
1. Dividends. The dividend rate of the shares of the Fourth Series shall
be $9.00 per share per annum. Dividends on all shares of the Fourth Series shall
be cumulative from the date of initial issue of such shares.
2. Redemptions. The shares of the Fourth Series shall not be redeemable.
3. Liquidation Rights. The amounts payable upon the shares of the Fourth
Series in the event of any liquidation, dissolution or winding up of the
Corporation, whether voluntary or involuntary, shall be $100.00 per share plus
an amount equal to Full Cumulative Dividends thereon (as provided in the General
Terms of the Series Preferred Stock) to the date of final payment.
4. Conversion Rights.
(a) The holder of any share or shares of the Fourth Series
(hereinafter sometimes called the "Fourth Series Stock") shall have the right to
convert, subject to the provisions of this Section 4, any such share or shares
into fully paid and nonassessable shares of Common Stock (calculated as to each
conversion to the nearest one one-hundredth of a share) of the Corporation at
the basic conversion rate of three shares of Common Stock for each share of
Fourth Series Stock; provided, however (i) that such conversion rate shall be
subject to adjustment upon the happening of certain contingencies as provided in
paragraph (b) of this Section 4, and (ii) that in the event of the dissolution,
liquidation or winding up of the Corporation, whether voluntary or involuntary,
or the sale, transfer or other disposition, with or without a dissolution of the
Corporation, of all or substantially all of its property, assets or business as
a result of which sale, transfer or other disposition, cash only shall be
payable or distributable to the holders of the Common Stock, the conversion
rights of the holders of Shares of the Fourth Series shall terminate on such
date as shall be fixed by the Board of Directors, not less than 30 days after
the mailing to such holders of the notice required by paragraph (g) of this
Section 4.
The transfer books of the Corporation shall not be closed at any time prior
to the termination of the conversion right of the holders of Fourth Series
Stock, but this provision shall not prevent the fixing of a record date for the
determination of shareholders for any proper purpose.
"Common Stock," as such term is used herein, shall mean stock of the
Corporation of any class, whether now or hereafter authorized, which has the
right to participate in the distribution of either earnings or assets of the
Corporation without limit as to the amount or percentage; provided, however,
that Common Stock issuable upon conversion of Fourth Series Stock as herein
provided shall mean only Common Stock authorized at the time of original issue
of the Fourth Series Stock and stock of any other class into which the then
authorized Common Stock may thereafter have been changed. In determining the
number of shares of Common Stock outstanding at any particular time, for the
purpose of computations pursuant to the formula in the following paragraph (b),
there shall be included all Common Stock then owned of record or beneficially by
the Corporation and Common Stock issuable in respect of any then outstanding
scrip certificates representing fractional interests with respect to Common
Stock.
(b) The conversion rate shall be subject to adjustment as follows:
(1) In case the Corporation shall (i) pay a dividend in shares of
its capital stock, (ii) subdivide its outstanding shares of Common Stock,
(iii) combine its outstanding shares of Common Stock into a smaller number
of shares, or (iv) issue by reclassification of its shares of Common Stock
any shares of the Corporation, the conversion rate in effect immediately
prior thereto shall be adjusted as provided below so that the holder of any
share of Fourth Series Stock thereafter surrendered for conversion shall be
entitled to receive the number of shares of the Corporation which he would
have owned or have been entitled to receive after the happening of any of
the events described above, had such share of Fourth Series Stock been
converted immediately prior to the happening of such event. An adjustment
made pursuant to this subparagraph (1) shall become effective retroactively
immediately after the record date in the case of a dividend and shall become
effective immediately after the effective date in the case of a subdivision,
combination or reclassification.
(2) In case the Corporation shall issue rights or warrants to all
holders of its Common Stock entitling them (for a period expiring within 45
days after the record date mentioned below) to subscribe for or purchase
shares of Common Stock at a price per share less than the current market
price (as hereinafter defined) per share of Common Stock at the record date
mentioned below, the number of shares of Common Stock into which each share
of Fourth Series Stock shall thereafter be convertible shall be determined
by multiplying the number of shares of Common Stock into which such share of
Fourth Series Stock was theretofore convertible by a fraction, of which the
numerator shall be the number of shares of Common Stock outstanding on the
date of issuance of such rights or warrants plus the number of additional
shares of Common Stock offered for subscription or purchase, and of which
the denominator shall be the number of shares of Common Stock outstanding on
the date of issuance of such rights or warrants plus the number of shares
which the aggregate offering price of the total number of shares so offered
would purchase at such current market price. Such adjustment shall be made
whenever such rights or warrants are issued, and shall become effective
retroactively immediately after the record date for the determination of
shareholders entitled to receive such rights or warrants.
-2-
(3) In case the Corporation shall distribute to all holders of its
Common Stock evidences of its indebtedness or assets (excluding cash dividends
or distributions to the extent permitted by Section 2 of the General Terms of
the Series Preferred Stock) or rights or warrants to subscribe for or purchase
securities issued by the Corporation or property of the Corporation (excluding
those referred to in subparagraph (2) above), then in each such case the number
of shares of Common Stock into which each share of Fourth Series Stock shall
thereafter be convertible shall be determined by multiplying the number of
shares of Common Stock into which such share of Fourth Series Stock was
theretofore convertible by a fraction, of which the numerator shall be the
current market price per share of Common Stock on the date of such distribution,
and of which the denominator shall be such current market price per share of the
Common Stock, less the then fair market value (as determined by the Board of
Directors of the Corporation, whose determination shall be conclusive) of the
portion of the assets or evidences of indebtedness so distributed or of such
rights or warrants applicable to one share of the Common Stock. Such adjustment
shall be made whenever any such distribution is made, and shall become effective
retroactively immediately after the record date for the determination of
shareholders entitled to receive such distribution.
If any such rights or warrants shall by their terms provide for an increase
or increases, with the passage of time, in the amount of additional
consideration payable to the Corporation upon the exercise thereof, the
conversion rate then applicable shall, forthwith upon any such increase becoming
effective, be readjusted to reflect such increase, provided that the conversion
rate shall not be increased as a result of any such readjustment to a rate
higher than it would have been if such rights or warrants had never been issued.
If any such rights or warrants shall expire without having been exercised,
the conversion rate as theretofore adjusted because of the issue of such rights
or warrants shall forthwith be readjusted to the conversion rate which would
have been in effect had an adjustment been made on the basis that the only
rights or warrants, so issued or sold, were those rights or warrants actually
exercised and that with respect to any such rights or warrants to subscribe for
or purchase securities issued by the Corporation, other than Common Stock, or
property of the Corporation the fair market value thereof shall be the fair
market value of the rights or warrants actually exercised.
For the purpose of any computation under this paragraph (b) the current
market price per share of Common Stock at any date shall be deemed to be the
arithmetic average of the daily closing prices for the 30 consecutive business
days commencing 45 business days before the day in question. The closing price
for each day shall be, in the event that the Common Stock is listed or admitted
for trading on a national securities exchange, the last reported sale price
regular way or, in case no such reported sale takes place on such day, the
arithmetic average of the reported closing bid and asked prices regular way, in
either case, as reported on the applicable consolidated or composite tape, or if
not listed or admitted to trading on any national securities exchange, the
arithmetic average of the closing bid and asked prices as furnished by any New
York Stock Exchange, Inc. firm selected from time to time by the Corporation for
this purpose.
-3-
No adjustment in the conversion rate shall be required unless such
adjustment would require an increase or decrease of at least one one-
hundredth of a share; provided, however, than any adjustments which by
reason of this sentence are not required to be made shall be carried forward
and taken into account in any subsequent adjustment. All calculations under
this paragraph (b) shall be made to the nearest cent or to the nearest one
one-hundredth of a share as the case may be.
(4) In case the Corporation shall exercise its option under
paragraph (1) of this Section 4 to convert all shares of the Fourth Series
Stock into Common Stock without any action on the part of the holders
thereof, the number of shares of Common Stock into which each share of
Fourth Series Stock shall thereupon be converted shall be the greater of (i)
the basic conversion rate as adjusted as otherwise provided in this
paragraph (b) of this Section 4, or (ii) the quotient of a fraction, of
which the numerator shall be $100.00 and of which the denominator shall be
the current market price per share of Common Stock on the date of exercise
of such option, determined as provided in subparagraph (3) of this paragraph
(b). For the purposes of this subparagraph (4), the $100.00 amount set forth
in the numerator of the fraction shall be adjusted appropriately to reflect
any subdivision, combination or similar reclassification of the Common
Stock.
(c) No adjustment of the conversion rate shall be made as a result of
or in connection with the issuance of Common Stock of the Corporation pursuant
to options or stock purchase agreements now or hereafter granted or entered into
with officers or employees of the Corporation or its subsidiaries in connection
with their employment, whether entered into at the beginning of the employment
or at any time thereafter.
(d) In case of any capital reorganization of the Corporation, or in
case of the consolidation or merger of the Corporation with or into another
corporation, or in case of the sale, transfer or other disposition of all or
substantially all of the property, assets or business of the Corporation as a
result of which sale, transfer or other disposition property other than cash
shall be payable or distributable to the holders of the Common Stock, each share
of Fourth Series Stock shall thereafter be convertible into the number and class
of shares or other securities or property of the Corporation, or of the
corporation resulting from such consolidation or merger or to which such sale,
transfer or other disposition shall have been made, to which the Common Stock
otherwise issuable upon conversion of such share of Fourth Series Stock would
have been entitled upon such reorganization, consolidation, merger, or sale,
transfer or other disposition if outstanding at the time thereof; and in any
such case appropriate adjustment, as determined by the Board of Directors, shall
be made in the application of the provisions set forth in this Section 4 with
respect to the conversion rights thereafter of the holders of the Fourth Series
Stock to the end that such provisions shall thereafter be applicable, as nearly
as reasonably may be, in relation to any shares or securities or other property
thereafter issuable or deliverable upon the conversion of Fourth Series Stock.
Proper provision shall be made as a part of the terms of any such consolidation,
merger or sale, transfer or other disposition whereby the conversion rights of
the holders of Fourth Series Stock shall be protected and preserved in
accordance with the provisions of this paragraph (d). The provisions of this
paragraph (d) shall similarly apply to successive capital reorganizations,
consolidations, mergers, sales, transfers or other dispositions of property as
aforesaid.
-4-
(e) Upon conversion of any shares of Fourth Series Stock, no payment or
adjustment shall be made on account of dividends accrued, whether or not in
arrears, on such shares or on account of dividends declared and payable to
holders of Common Stock of record on a date prior to the date of conversion.
(f) Whenever the conversion rates shall be adjusted as provided in
paragraph (b) of this Section 4 the Corporation, as soon as practicable and in
no event later than ten full business days thereafter, shall file with the
Transfer Agent a statement, signed by the President, any Vice President or the
Treasurer of the Corporation, stating the adjusted conversion rates determined
as provided in said paragraph (b) and setting forth in reasonable detail the
facts requiring such adjustment, and shall promptly mail a copy of such
statement to each holder of Fourth Series Stock at his address then appearing on
the record books of the Corporation. The Transfer Agent shall be fully protected
in relying on such statement and shall be under no duty to examine into the
truth or accuracy thereof. If any question shall at any time arise with respect
to the adjusted conversion rates, such question shall be determined by a firm of
independent public accountants selected by the Corporation, who may be the
Corporation's auditors, and acceptable to the Transfer Agent, and such
determination shall be binding upon the Corporation and the holders of such
shares.
(g) In case:
(1) the Corporation shall propose to pay any dividend in stock upon
its Common Stock or to make any other distribution, other than cash
dividends, to the holders of its Common Stock; or
(2) the Corporation shall propose to offer to the holders of its
Common Stock rights to subscribe to any additional shares of any class or
any other rights or options; or
(3) the Corporation shall propose to effect any reclassification of
its Common Stock (other than a reclassification involving merely the
subdivision or combination of outstanding Common Stock), or to effect any
capital reorganization, or shall propose to consolidate with or merger into
another corporation, or to sell, transfer or otherwise dispose of all or
substantially all of its property, assets or business; or
(4) the Corporation shall propose to liquidate, dissolve or wind up;
then, in each such case, the Corporation shall file with the Transfer Agent for
Fourth Series Stock and shall mail to the holders of record of Fourth Series
Stock at their respective addresses then appearing on the record books of the
Corporation notice of such proposed action, such notice to be filed and mailed
at least ten days, if the proposed action is that referred to in subparagraph
(1) or (2) above, and at least 30 days, if the proposed action is that referred
to in subparagraph (3) or (4) above, prior to the record date for the purpose of
determining holders of the Common Stock entitled to the benefits of the action
referred to in subparagraph (1) or (2) or to vote with respect to the action
referred to in subparagraph (3) or (4) or, if no record date is taken for any
such purpose, the date of the taking of such proposed action. Such notice shall
specify the date on which the books of the Corporation shall close, or a record
be taken, for such stock dividend, distribution of such rights or options, or
the
-5-
date on which such reclassification, reorganization, consolidation, merger,
liquidation, dissolution or winding up shall take place, as the case may be, and
the date of participation therein by the holders of Common Stock if any such
date is to be fixed. If such notice relates to any proposed action referred to
in subparagraph (3) or (4) above, it shall set forth facts with respect thereto
as shall be reasonably necessary to inform the Transfer Agent and the holders of
such shares as to the effect of such action upon their conversion rights.
Failure to file any certificate or notice or to mail any notice, or any defect
in any certificate or notice, pursuant to this paragraph (g), shall not affect
the legality or validity of any adjustment, dividend, distribution or right
referred to herein.
(h) In order to convert shares of Fourth Series Stock into Common
Stock, the holder thereof shall surrender at the office of the Transfer Agent
the certificate or certificates therefor, duly endorsed to the Corporation or in
blank, and give written notice to the Corporation at said office that he elects
to convert such shares and shall state in writing therein the name or names
(with addresses) in which he wishes the certificate or certificates for Common
Stock to be issued. Shares of Fourth Series Stock shall be deemed to have been
converted on the date of the surrender of such certificate or certificates for
shares for conversion as provided above, and the person or persons entitled to
receive the Common Stock issuable upon such conversion shall be treated for all
purposes as the record holder or holders of such Common Stock on such date. As
soon as practicable on or after the date of conversion as aforesaid, the
Corporation will issue and deliver at said office a certificate or certificates
for the number of full shares of Common Stock issuable upon such conversion,
together with cash in lieu of any fraction of a share, as hereinafter in
paragraph (j) provided, to the person or persons entitled to receive the same.
The Corporation will pay any and all federal or state original issue taxes
that may be payable in respect of the issue or delivery of shares of Common
Stock on conversion of shares of Fourth Series Stock pursuant hereto. The
Corporation shall not, however, be required to pay any tax which may be payable
in respect of any transfer involved in the issue and delivery of shares of
Common Stock in a name other than that in which the shares of Fourth Series
Stock so converted were registered, and no issue or delivery shall be made
unless and until the person requesting such issue has paid to the Corporation
the amount of any such tax, or has established to the satisfaction of the
Corporation either that such tax has been paid or that no such tax is payable.
(i) Shares of Fourth Series Stock converted into Common Stock shall be
deemed to have been acquired by the Corporation for the purposes of Section 5(b)
of the General Terms of the Series Preferred Stock, except that such shares may
not be reissued as shares of the Fourth Series.
(j) The Corporation shall not issue fractional shares of Common Stock
upon any conversion of shares of Fourth Series Stock. As to any final fraction
of a share which the holder of one or more shares of Fourth Series Stock would
be entitled to receive upon exercise of his conversion right, the Corporation
shall pay a cash adjustment in respect of such final fraction in an amount equal
to the same fraction of the last sale price (or bid price if there were no
sales) per share of Common Stock on the applicable consolidated or composite
tape on the business day which next precedes the day of exercise or, if such
Common Stock is not then listed on any national securities exchange, of the
market price per share (as determined in a manner prescribed by the Board of
Directors of the Corporation) at the close of business on the business day which
next precedes the day of exercise.
-6-
(k) The Corporation shall at all times have authorized and unissued,
or in its treasury, a number of shares of Common Stock sufficient for the
conversion of all shares of Fourth Series Stock at the time outstanding.
If any shares of Common Stock require registration with or approval of
any governmental authority under any Federal or State law, before such shares
may be validly issued upon conversion, then the Corporation will in good faith
and as expeditiously as possible endeavor to secure such registration or
approval as the case may be.
The Corporation warrants that all Common Stock issued upon conversion of
shares of Fourth Series Stock will upon issue be fully paid and nonassessable by
the Corporation and free from original issue taxes.
(l) The Corporation may, at its option expressed by resolution of its
Board of Directors, convert all, but not less than all, shares of the Fourth
Series Stock into Common Stock, without any action on the part of the holders
thereof, subject to the following terms and conditions:
(1) Upon the adoption of such a resolution the Corporation shall
file with the Transfer Agent for Fourth Series Stock and shall mail to the
holders of record of Fourth Series Stock at their respective addresses then
appearing on the record books of the Corporation notice of such action.
Failure to file any notice, or any defect in any notice, pursuant to this
subparagraph (1), shall not affect the legality or validity of any
conversion referred to herein.
(2) The adoption of such a resolution shall have the same effect
for the purposes of this Section 4 as the surrender at the office of the
Transfer Agent of duly endorsed certificates for all shares of the Fourth
Series Stock with written notice by each holder thereof that he elects to
convert such shares, except that shares of the Fourth Series Stock shall be
deemed to have been converted on the quarter-annual dividend payment date
(which shall not be prior to January 1, 1991 and which shall be at least ten
days subsequent to the date of adoption of the resolution of the Board of
Directors effecting the conversion) specified in such resolution
(hereinafter called the "conversion date").
(3) As promptly as practicable after the conversion date each
holder of an outstanding certificate or certificates theretofore
representing shares of Fourth Series Stock shall surrender the same to the
Transfer Agent, and such holder shall be entitled upon such surrender to
receive in exchange therefor a certificate or certificates representing the
number of whole shares of Common Stock into which the shares of Fourth
Series Stock theretofore represented by the certificate or certificates so
surrendered shall have been converted as aforesaid, together with cash in
Lieu of any fraction of a share, as provided in paragraph (j) above.
Dividends payable after the conversion date to holders of record in respect
of such shares of Common Stock shall not be paid to holders of such
certificates until such certificates are surrendered for exchange as
aforesaid. Accruals of dividends will not bear interest. In the event any
such certificate is not so surrendered for exchange within two years after
the conversion date, the shares of Common Stock represented thereby shall be
sold and the net proceeds of such sale shall be held for the holders of the
unsurrendered certificates to be paid to them without interest upon
surrender of such certificates. From and after any such sale, the sole right
of the holders of such unsurrendered certificates shall be to collect the
net sales proceeds for their accounts, together with dividends, if any,
payable in respect of the shares of Common Stock represented thereby between
the conversion date and the date of such sale.
-7-
5. Other Provisions or Rights. The shares of the Fourth Series shall not
be entitled to the benefit of any other special provisions or rights that might
hereby be created for the Fourth Series in accordance with and in response to
the terms of Section 1 of the General Terms of the Series Preferred Stock.
6. Definitions. The terms defined in the General Terms of the Series
Preferred Stock shall have the same meaning in these Resolutions unless
otherwise defined herein.
-8-
PENNSYLVANIA
PUBLIC UTILITY COMMISSION
Harrisburg, PA 17120
Public Meeting held May 23, 1980
COMMISSIONERS PRESENT:
Susan M. Shanaman, Chairman
Michael Johnson
James H. Cawley
Linda C. Taliaferro
Securities Certificate of UGI Corporation in S-80044555
the matter of the issuance of Series Preferred
Stock, $9.00 Series, not in excess of 54,136
shares.
O R D E R
BY THE COMMISSION:
On April 28, 1980, UGI Corporation filed this securities certificate seeking
Commission registration of the issuance of 54,136 shares of $9.00 Series
Preferred Stock.
Upon obtaining Commission registration, UGI Corporation will transfer the
shares to Amerigas, Inc., its wholly-owned subsidiary, for $1.00 with the
balance of the stock's worth being handled as UGI Corporation's contribution to
the capital of Amerigas, Inc. Amerigas, Inc., in turn, will use the stock in the
tax-free acquisition by merger of four industrial gas and welding equipment and
supply companies located in Houston and Lubbock, Texas.
This proposed issue of preferred stock, which may ultimately be converted
into UGI common stock, represents a continuing financial liability to UGI. For
this reason, it will be important in future rate proceedings to determine
whether or not the continuing liability is offset by earnings sufficient to
prevent subsidization of the proposed acquisitions operations by UGI ratepayers.
Because of the difficulties inherent in attempting to trace funds it is
appropriate to require adequate reporting as a condition to Commission approval.
The Commission has examined this securities certificate and determines that
the issuance of 54,136 shares of $9.00 Series Preferred Stock appears to be
proper for the present and probable future capital needs of UGI Corporation and
that the securities certificate should be registered; THEREFORE,
IT IS ORDERED:
1. That Securities Certificate of UGI Corporation in the matter of the
issuance of Series Preferred Stock, $9.00 Series, not in excess of 54,136
shares, is hereby registered.
2. That UGI Corporation file with us, within 60 days thereafter, a statement
setting forth (a) the date or dates of issuance, (b) the total number of shares
issued and (c) a detailed list of the total actual issuance expenses.
3. That UGI Corporation annually provide (a) financial statements of
AmeriGas, Inc. as supplemental information in UGI's Annual Report to the
Commission and (b) such other information as may be required to determine the
existence, if any, of subsidy of AmeriGas by UGI ratepayers.
4. This registration is subject to the provisions of Section 1903 (b) of the
Public Utility Code, 66 Pa. C.S. Section 1903 (b)
BY THE COMMISSION
/s/ William P. Thierfelder
William P. Thierfelder
Secretary
ORDER ADOPTED: May 23, 1980
ORDER ENTERED: May 23, 1980
PENNSYLVANIA
PUBLIC UTILITY COMMISSION
Harrisburg, PA 17120
Public Meeting held May 23, 1980
COMMISSIONERS PRESENT:
Susan M. Shanaman, Chairman
Michael Johnson
James H. Cawley
Linda C. Taliaferro
Securities Certificate of UGI Corporation in S-80044555
the matter of the issuance of Series Preferred
Stock, $9.00 Series, not in excess of 54,136
shares.
O R D E R
BY THE COMMISSION:
On April 28, 1980, UGI Corporation filed this securities certificate seeking
Commission registration of the issuance of 54,136 shares of $9.00 Series
Preferred Stock.
Upon obtaining Commission registration, UGI Corporation will transfer the
shares to Amerigas, Inc., its wholly-owned subsidiary, for $1.00 with the
balance of the stock's worth being handled as UGI Corporation's contribution to
the capital of Amerigas, Inc. Amerigas, Inc., in turn, will use the stock in the
tax-free acquisition by merger of four industrial gas and welding equipment and
supply companies located in Houston and Lubbock, Texas.
This proposed issue of preferred stock, which may ultimately be converted
into UGI common stock, represents a continuing financial liability to UGI. For
this reason, it will be important in future rate proceedings to determine
whether or not the continuing liability is offset by earnings sufficient to
prevent subsidization of the proposed acquisitions operations by UGI ratepayers.
Because of the difficulties inherent in attempting to trace funds it is
appropriate to require adequate reporting as a condition to Commission approval.
The Commission has examined this securities certificate and determines that
the issuance of 54,136 shares of $9.00 Series Preferred Stock appears to be
proper for the present and probable future capital needs of UGI Corporation and
that the securities certificate should be registered; THEREFORE,
IT IS ORDERED:
1. That Securities Certificate of UGI Corporation in the matter of the
issuance of Series Preferred Stock, $9.00 Series, not in excess of 54,136
shares, is hereby registered.
2. That UGI Corporation file with us, within 60 days thereafter, a statement
setting forth (a) the date or dates of issuance, (b) the total number of shares
issued and (c) a detailed list of the total actual issuance expenses.
3. That UGI Corporation annually provide (a) financial statements of
AmeriGas, Inc. as supplemental information in UGI's Annual Report to the
Commission and (b) such other information as may be required to determine the
existence, if any, of subsidy of AmeriGas by UGI ratepayers.
4. This registration is subject to the provisions of Section 1903 (b) of the
Public Utility Code, 66 Pa. C.S. Section 1903(b).
BY THE COMMISSION
/s/ William P. Thierfelder
William P. Thierfelder
Secretary
ORDER ADOPTED: May 23, 1980
ORDER ENTERED: May 23, 1980
APPLICANT'S ACCT NO
[ILLEGIBLE]
------------------------------
(Line for numbering)
Filing Fee: $40 366234
AB-2
Statement Affecting Class COMMONWEALTH OF PENNSYLVANIA
or Series of Shares- DEPARTMENT OF STATE
Domestic Business Corporation CORPORATION BUREAU
--------------------------------------------------------------------------------
------------------------------------
Filed this 15th day of
------ --------
December , 19 80
------------------------- ------
Commonwealth of Pennsylvania
Department of State
/s/ William R. Davis
Secretary of the Commonwealth
-------------------------------------
(Box for Certification)
In compliance with the requirements of section 602 of the Business
Corporation Law, Act of May 5, 1933 (P. L. 364)(15 P. S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
/x/ The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
FURTHER RESOLVED, pursuant to the authority granted to it
and vested in it by the Company's Amended and Restated Articles
of Incorporation, this Board of Directors hereby increases the
number of authorized shares of the Company's Series Preferred
Stock, $9.00 Series, from 55,000 shares to 205,000 shares and
authorizes the issuance of such additional shares.
FURTHER RESOLVED, any officer of the Company is hereby
authorized to make all payments, sign all documents and take any
other action necessary to effect the foregoing.
/ / The resolution establishing and designating the class or series of shares
and fixing and determining the relative rights and preferences thereof is set
forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 205,000 shares.
-----------
4. (Check and complete one of the following):
/X/ The resolution was adopted by the Board of Directors of the corporation at
a duly called meeting held on the 22nd day of July , 19 80 .
--------- --------- ----
The resolution was adopted by a consent or consents in writing dated the
_________ day of __________ 19____ signed by all of the Directors of the
corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal duly attested
by another such officer to be hereunto affixed this 12th day of
------------
December , 19 80 .
----------------- -----
UGI CORPORATION
NAME OF CORPORATION
By /s/ Charles L. Ladner
SIGNATURE
Charles L. Ladner
Senior Vice President-Finance
[ILLEGIBLE]
Attest
/s/ Walter F. X. Healy
SIGNATURE
Walter F. X. Healy
Assistant Secretary
[ILLEGIBLE]
Filing Fee $43 Filed this 7th day of
1B: August, 1981
____________________________ Commonwealth of
Articles of 366234 Pennsylvania
Amendment Commonwealth of Pennsylvania Department of
Domestic Business Department of State State
Corporation Corporation Bureau /s/ William R. Davis
---------------------
Secretary of the
Commonwealth
In compliance with the requirements of section 806 of Business Corporation
Law, Act of May 5, 1933 (P.L. 364) (15 P.S. section 1806), the undersigned
corporation desiring to and its Articles, does hereby certify that:
1. The name of the Corporation is: UGI Corporation.
2. The location of its registered office in this Commonwealth is (the Department
of State is hereby authorized to correct the following statement to conform to
the records of the Department):
Box 858 Irwin Building Route 363, North Gulph Road
Valley Forge Pennsylvania 19482
3. The Statute by and under which it was incorporated is: "An act authorizing
the merger and consolidation of certain corporations" approved May 3, 1909, P.L.
408, and supplements and amendments thereto.
4. The date of its incorporation is August 4, 1925
5. (Check, and if appropriate complete one of the following):
_X__ The meeting of the shareholders of the corporation at which the amendment
was adopted was held at the time and place and pursuant to the kind and period
of notice herein stated.
Time The 18th day of May 1981
Place Valley Forge, Pennsylvania
Kind and period of notice Written notice mailed first class, postage prepaid to
each shareholder on April 25, 1981.
____ The amendment was adopted by a consent in writing setting forth the action
so taken signed by all of the shareholders entitled to vote thereon and filed
with the Secretary of the Corporation.
6. At the time of the action of shareholders.
a. The total number of shares outstanding was
Common - 5,275,170 shares $1.80 Series Preferred - 450,763
b. The number of shares entitled to vote was
Common Stock voting separately as a class: 5,275,170 shares entitled to
5,275,170 votes Common Stock and $1.80 Series Preferred Stock voting together:
450,763 shares of $1.80 Series Preferred entitled to 1/4 vote each (112,690.75
votes) plus 5,275,170 shares of Common for a total of 5,387,860.75 votes.
DSCB BCL -- 806 (Rev 8-72)2
7. In the action taken by the shareholders
(a) The number of shares voted in favor of the amendment was:
3,839,628 shares - Common Stock and 98,169 votes - $1.80 Series
Preferred Stock for a total of 3,937,797 votes
(b) The number of shares voted against the amendment was:
147,751 shares - Common Stock and no $1.80 Series Preferred Stock for a
total of 147,571 votes
8. The amendment adopted by the shareholders, set forth in full, is as follows:
RESOLVED, that the first sentence of Article V of the Company's
Articles of Incorporation is amended in its entirety to read as
follows:
"Article V. The aggregate number of shares which the
Corporation shall have authority to issue is 24,000,000 shares,
divided into 20,000,000 shares of Common Stock, par value $4.50
per share, 2,000,000 shares of Series Preference Stock, without
par value, and 2,000,000 shares of Series Preferred Stock,
without par value."
IN TESTIMONY WHEREOF, the undersigned corporation has caused these Articles
of Amendment to be signed by a duly authorized officer and its corporate seal,
duly attested by another such officer, to be hereunto affixed this 30th day of
July, 1981.
UGI CORPORATION
-----------------------------------
(NAME OF CORPORATION)
Attest:
/s/ By: /s/
--------------------------------- -----------------------------------
(SIGNATURE) (SIGNATURE)
Assistant Secretary Vice President
--------------------------------- -----------------------------------
(TITLE SECRETARY, ASSISTANT (TITLE PRESIDENT, VICE PRESIDENT,
SECRETARY, ETC.) ETC.)
[UGI CORPORATION SEAL]
INSTRUCTIONS FOR COMPLETION OF FORM
A. Any necessary copies of Form DSCB:17.2 (Consent to Appropriation of Name)
or Form DSCB:17.3 (Consent to Use of Similar Name) shall accompany Articles
of Amendment effecting a change of name.
B. Any necessary governmental approvals shall accompany this form.
C. Where action is taken by partial written consent pursuant to the Articles,
the second alternate of Paragraph 5 should be modified accordingly.
D. If the shares of any class were entitled to vote as a class, the number of
shares of each class so entitled and the number of shares of all other
classes entitled to vote should be set forth in Paragraph 6(b).
E. If the shares of any class were entitled to vote as a class, the number of
shares of such class and the number of shares of all other classes voted
for and against such amendment respectively should be set forth in
Paragraphs 7(a) and 7(b).
F. BCL Section 807 (15 P. S. Section 1807) requires that the corporation shall
advertise its intention to file or the filing of Articles of Amendment.
Proofs of publication of such advertising should not be delivered to the
Department, but should be filed with the minutes of the corporation.
366234
[COMMONWEALTH OF PENNSYLVANIA LOGOS]
DEPARTMENT OF STATE
TO ALL TO WHOM THESE PRESENTS SHALL COME, GREETING:
WHEREAS. In and by Article VIII of the Business Corporation Law, approved the
fifth day of May, Anno Domini one thousand nine hundred and thirty-three, P.L.
364, as amended, the Department of State is authorized and required to issue a
CERTIFICATE OF AMENDMENT
evidencing the amendment of the Articles of Incorporation of a business
corporation organized under or subject to the provisions of that Law, and
WHEREAS. The stipulations and conditions of that Law pertaining to the amendment
of Articles of Incorporation have been fully complied with by
UGI CORPORATION
THEREFORE, KNOW YE. That subject to the Constitution of this Commonwealth and
under the authority of the Business Corporation Law, I do by these presents,
which I have caused to be sealed with the Great Seal of the Commonwealth, extend
the rights and powers of the corporation named above, in accordance with the
terms and provisions of the Articles of Amendment presented by it to the
Department of State, with full power and authority to use and enjoy such rights
and powers, subject to all the provisions and restrictions of the Business
Corporation Law and all other applicable laws of this Commonwealth.
GIVEN under my Hand and the Great Seal of the Commonwealth,
at the City of Harrisburg, this 7th day of August in
the year of our Lord one thousand nine hundred and
eighty-one and of the Commonwealth the two hundred and
sixth
/s/ William R. Davis
-----------------------------------------------
Secretary of the Commonwealth
dp
APPLICANT'S ACC'T NO
DSCB BCL-602 (Rev 8-72) Filed this 12 day of May 1986
Filing Fee: $40
AB 2
STATEMENT AFFECTING CLASS OR SERIES OF
SHARES-DOMESTIC BUSINESS CORPORATION
--------------------------------------
(Line for numbering)
369114
COMMONWEALTH OF PENNSYLVANIA May 12, 1986
DEPARTMENT OF STATE
CORPORATION BUREAU Commonwealth of Pennsylvania
Department of State
/s/ Robert A. Gleason Jr.
Secretary of the Commonwealth
--------------------------------------------------------------------------------
In compliance with the requirements of section 602 of the Business
Corporation Law, act of May 5, 1933 (P.L. 364) (15 P.S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that.
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
[ ] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
[X] The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof is
set forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 120,000 shares.
4. (Check and complete one of the following):
[X] The resolution was adopted by the Board of Directors of the corporation
at a duly called meeting held on the 29th day of APRIL, 1986.
DSCB BCL-602 (Rev. 8-72)-2
The resolution was adopted by a consent or consents in writing dated the
____________________ day of _______________, 19_____, signed by all of the
Directors of the corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal, duly attested
by another such officer, to be hereunto affixed this 8th day of MAY, 1986.
UGI CORPORATION
--------------------------------------
(NAME OF CORPORATION)
By: /s/ R. Bunn
--------------------------------------
(SIGNATURE)
R.L. BUNN, SENIOR VICE PRESIDENT
--------------------------------------
(TITLE, PRESIDENT, VICE PRESIDENT, ETC)
ATTEST
/s/ Lon R. Greenberg
---------------------------------------------
(SIGNATURE)
LON R. GREENBERG, SECRETARY
---------------------------------------------
(TITLE, SECRETARY, ASSISTANT SECRETARY, ETC).
(CORPORATE SEAL)
EXHIBIT A TO MINUTES
OF THE BOARD
OF DIRECTORS MEETING
HELD APRIL 29, 1986
RESOLUTION OF THE BOARD OF DIRECTORS OF
UGI CORPORATION
ESTABLISHING AND DESIGNATING
SERIES A JUNIOR PARTICIPATING PREFERENCE STOCK
AS A SERIES OF THE SERIES PREFERENCE STOCK
RESOLVED, that pursuant to the authority expressly vested in the Board of
Directors of UGI Corporation (the "Corporation") by Article V of the Articles of
the Corporation, the Board of Directors hereby fixes and determines the voting
rights, designations, preferences, qualifications, privileges, limitations,
restrictions, options, conversion rights and other special or relative rights of
the first series of the Series Preference Stock, without par value, which shall
consist of 120,000 shares and shall be designated as Series A Junior
Participating Preference Stock (the "First Series Preference Stock").
A. General Terms of the Series Preference Stock
The following provisions in this Part A (hereinafter referred to as the
"General Terms of the Series Preference Stock") shall apply to the First Series
Preference Stock and, if and to the extent expressly incorporated by reference
in a resolution or resolutions of the Board of Directors or any committee
thereof establishing and designating any other series of the Series Preference
Stock, to any other Series Preference
Stock hereafter issued by the Corporation. The shares of any series of
Preference Stock established pursuant to a Board Resolution shall be considered
Junior Stock as that term is defined in Section 9 of the Resolutions Adopted by
Board of Directors of UGI Corporation at Meeting Held June 3, 1975 (the
"Preferred Resolution"). (The resolution or resolutions of the Board of
Directors or any committee thereof establishing and designating any series of
the Series Preference Stock is hereinafter referred to as the "Board
Resolution", except that in the case of the First Series Preference Stock the
term Board Resolution shall mean the Special Terms of the First Series
Preference Stock hereinafter set forth in Part B of this Resolution.)
1. General. Except as otherwise provided in a Board Resolution, all Series
Preference Stock of all series shall be identical to each other. In case, with
respect to the Series Preference Stock of all series which rank equally as to
payment of dividends and distributions upon liquidation, the stated dividends or
the amounts payable upon liquidation established by a Board Resolution, or both,
are not paid in full, all Series Preference Stock of such series shall
participate ratably in the payment of dividends, including accumulations, if
any, in accordance with the sums which would be payable thereon if all dividends
thereon were declared and paid in full, and, in any distribution of assets other
than by way of dividends, in
-2-
accordance with the sums which would be payable on such distribution if all sums
payable thereon to holders os such series of Series Preference Stock were
discharged in full.
2. Dividends. The holders of the Series Preference Stock of each series
shall be entitled, subject to the preference of the Series Preferred Stock as
set forth in Section 2 of the Preferred Resolution, to receive and the
Corporation shall be obliged to pay, but only when and as declared by its Board
of Directors and only out of funds legally available therefor, cash dividends at
such rate or rates per share per annum for each particular series as shall have
been fixed by the Board of Directors in the Board Resolution for such series,
and no more, payable quarterly on the first day of each January, April, July and
October. Such dividends on the Series Preference Stock shall be cumulative from
the dates as follows: (a) in the case of shares issued prior to the record date
for the initial dividend on shares of the series of which such shares shall
constitute a part, then from the date fixed for such purpose by the Board of
Directors in the Board Resolution; (b) if issued during the period commencing
immediately after the record date for a dividend on shares of such series and
terminating at the close of the payment date for such dividend, then from such
dividend payment date; and (c) otherwise from the dividend payment date next
preceding the date of issue of such shares; provided, however, that in the event
dividends on all outstanding Series
-3-
Preference Stock for all past quarterly dividend periods shall not have been
paid and full dividends thereon for the then current dividend period not
declared and a sum sufficient for the payment thereof set apart, then such
dividends shall be cumulative from the most recent date when all such dividends
have been so paid, declared and set aside.
Subject to the provisions hereinafter contained in Section 6 of the General
Terms of the Series Preference Stock, legally available surplus of the
Corporation remaining after dividends on all outstanding Series Preference Stock
for all past quarterly periods shall have been paid and full dividends thereon
for the then current dividend period declared and a sum sufficient for the
payment thereof set apart may be paid to the holders of the Common Stock and
other shares ranking junior to the Series Preference Stock with respect to the
payment of dividends.
3. REDEMPTION. The Corporation, at the option of its Board of Directors, may
redeem all or any of the outstanding Series Preference Stock or all or any
shares of any series thereof at any time or from time to time, upon payment in
cash in respect of the shares so redeemed at the price fixed by the Board of
Directors in the Board Resolution in respect of the series of which such shares
shall constitute a part, plus an amount equal to all accumulated and unpaid
dividends thereon to the date of
-4-
redemption, whether or not such dividends shall have been earned or declared
(such price, together with an amount equal to all such accumulated and unpaid
dividends, being hereinafter called the "redemption price"). Any such redemption
shall be in such amount, at such place, and in such manner, as the Board of
Directors may determine. In the case of a redemption of less than all the
outstanding Series Preference Stock of any series, the particular shares to be
so redeemed shall be by lot or by such other equitable method as the Board of
Directors shall determine.
Not less than 15 days nor more than 90 days prior to the date fixed for such
redemption, notice of redemption shall be published once in a newspaper of
general circulation published in the Borough of Manhattan, New York, New York,
and written notice thereof shall be mailed by the Corporation to the several
holders of record of the Series Preference Stock to be so redeemed, at their
respective addresses as the same appear upon the books of the Corporation.
From and after the date fixed in any such notice as the date of redemption
(unless default shall be made by the Corporation in providing moneys at the time
and place specified for the payment of the redemption price pursuant to said
notice), all dividends on the Series Preference Stock thereby called for
redemption shall cease to accrue and all rights of the holders
-5-
thereof as shareholders in the Corporation, except the right to receive the
redemption price, without interest, shall cease and terminate, and such Series
Preference Stock shall not be deemed outstanding for any purpose.
The Corporation may, however, give or irrevocably authorize the Depositary
hereinafter mentioned forthwith to give written notice (in the same manner as
the notice of redemption is required to be given as aforesaid) to the holders of
all the Series Preference Stock selected for redemption that the redemption
price has been or will on a date specified be deposited with a designated bank
or trust company, having an office in New York, New York or Philadelphia,
Pennsylvania and having capital and surplus of not less than $10,000,000 (the
"Depositary"), in trust for the account of the holders of such Series Preference
Stock and that such holders may receive in cash the redemption price of such
Series Preference Stock from the Depositary on or after the date of such deposit
upon the surrender of their share certificates without awaiting the date fixed
for redemption. In such event, if the redemption price shall have been so
deposited by the Corporation with the Depositary, all rights of the holders of
the shares called for redemption, as shareholders of the Corporation, except the
right to receive the redemption price, without interest, from the Depositary,
shall cease and terminate upon the date of such deposit or the date of the
giving of such notice or authority,
-6-
whichever be later, and such Series Preference Stock shall thereafter not be
deemed to be outstanding for any purpose; provided, however, that conversion
rights, if any, of shares called for redemption shall terminate at the close of
business on the business day next preceding the date fixed for redemption. Any
moneys so deposited which shall remain unclaimed by the holders of such Series
Preference Stock at the end of five years after the date so fixed for redemption
shall be paid by the Depositary to the Corporation, after which the holders of
such Series Preference Stock shall look only to the Corporation for payment of
the redemption price thereof.
Unless otherwise provided by resolution of the Board of Directors, all
Series Preference Stock so redeemed by the Corporation shall be cancelled and
restored to the status of authorized but unissued Series Preference Stock
without series designation.
4. Liquidation. On any voluntary or involuntary liquidation (which shall
include dissolution and winding up) of the Corporation, before any payment or
distribution shall be made to the holders of any Common Stock or shares of any
other class which, with respect to distributions upon liquidation, shall rank
junior to the Series Preference Stock, the holders of the Series Preference
Stock, subject to the preference of Series Preferred Stock as set forth in
Section 3 of the Preferred Resolution,
-7-
shall be entitled to be paid the amount or amounts fixed therefor by the Board
of Directors in the Board Resolution in respect of each outstanding series of
Series Preference Stock, which stated amounts may vary as between voluntary and
involuntary liquidation distributions, plus in each case an amount equal to all
accumulated and unpaid dividends thereon to the date of such payment, whether or
not such dividends shall have been earned or declared.
After such payment shall have been made in full to the holders of Series
Preference Stock, they shall be entitled to no further payment or distribution.
Neither a consolidation or merger of the Corporation with or into any other
corporation, nor a merger of any other corporation into the Corporation, nor a
reorganization of the Corporation, nor the purchase or redemption of all or part
of the outstanding shares of any class or classes of the Corporation, nor a
sale, lease, conveyance or other disposition of all or any part of its assets
shall be considered a liquidation of the Corporation within the meaning of this
Section 4.
5. Voting Rights. Except as herein expressly provided to the contrary or in
the Board Resolution or as otherwise required by law, the holders of the Series
Preference Stock shall have no right to vote at, or to participate in, any
meeting of
-8-
shareholders of the Corporation, or to receive any notice of such meeting.
In the event that dividends upon any of the Series Preference Stock shall
be in arrears to an amount equal to six full quarterly dividends thereon, the
holders of the Series Preference Stock as to which dividends are so in arrears
subject to the provisions of Section 7 of the Preferred Resolution, shall become
entitled to the extent hereinafter provided to vote noncumulatively at all
elections of directors of the Corporation, and to receive notice of all
shareholders' meetings to be held for such purpose. At such meetings the holders
of such Series Preference Stock, voting separately as a class, shall be entitled
to elect two members of the Board of Directors of the Corporation; and all other
directors of the Corporation shall be elected by the other shareholders of the
Corporation entitled to vote in the election of directors. Such voting rights of
the holders of such Series Preference Stock shall continue until all accumulated
and unpaid dividends thereon shall have been paid, whereupon all such voting
rights of the holders of such Series Preference Stock shall cease, subject to
being again revived from time to time upon the reoccurrence of the conditions
above described as giving rise thereto.
At any time after the accrual of voting rights to the holders of such
Series Preference Stock as aforesaid, a special
-9-
meeting of the holders of such Series Preference Stock, for the purpose of the
initial exercise of such voting rights, shall be held, upon 30 days' notice,
upon call by the Secretary of the Corporation at the written request of the
holders of not less than 10% of such Series Preference Stock at the time
outstanding, or, if the Secretary shall fail or neglect to call such meeting
within 30 days after receipt of such request, then upon call by the holders of
not less than 10% of such Series Preference Stock at the time outstanding. The
terms of office, as directors, of all persons who may be directors of the
Corporation, except those directors, if any, elected by the holders of the
Series Preferred Stock pursuant to the provisions of Section 7 of the Preferred
Resolution, shall terminate upon the election of directors by the holders of the
Series Preference Stock. The holders of the Common Stock, subject to the
provisions of Section 7 of the Preferred Resolution, shall have the right to
elect the remaining directors of the Corporation.
So long as the holders of such Series Preference Stock are entitled
hereunder to voting rights, any vacancy in the Board of Directors caused by the
death or resignation of any director elected by the holders of such Series
Preference Stock, shall, until the next meeting of shareholders for the election
of directors, in each case be filled by the remaining director elected by the
holders of such Series Preference Stock. In the event of simultaneous vacancies
among directors elected by the
-10-
holders of Series Preference Stock, an election, pursuant to the provisions of
this Section 5 of the General Terms of the Series Preference Stock, shall be
held.
Upon termination of the voting rights of the holders of such Series
Preference Stock the terms of office of all persons who shall have been elected
directors of the Corporation by vote of the holders of such Series Preference
Stock or by a director elected by such holders shall forthwith terminate, and
any vacancies resulting from such termination shall be filled by the vote of a
majority of the remaining directors.
6. Restriction on Dividends and Purchase of Stock.
(a) So long as any Series Preference Stock of any series shall remain
outstanding, no dividend (other than dividends payable in Common Stock or other
shares of the Corporation of a class ranking junior to the Series Preference
Stock of such series with respect to dividends and distributions upon
liquidation) shall be paid on Common Stock or shares of any other class which,
with respect to payment of dividends or distributions upon liquidation, shall
rank junior to the Series Preference Stock of such series ("junior shares"), nor
shall any junior shares be purchased, retired, or otherwise acquired by the
Corporation, other than by exchange therefor of junior shares or out of the
proceeds of a substantially concurrent sale of junior shares
-11-
(i) unless all dividends on all outstanding Series Preference
Stock of such series for all past quarterly dividend periods shall have
been paid and full dividends thereon for the then current quarterly
dividend period declared and a sum sufficient for the payment thereof set
apart; and
(ii) unless the Corporation shall not be in arrears in respect of
any sinking fund obligation or obligation of a similar nature with respect
to Series Preference Stock of such series or any other series ranking
equally therewith with respect to payment of dividends or distributions
upon liquidation.
(b) So long as any Series Preference Stock of any series shall remain
outstanding, unless (i) all dividends on all outstanding Series Preference Stock
of such series for all past quarterly dividend periods shall have been paid and
full dividends thereon for the then current quarterly dividend period declared
and a sum sufficient for the payment thereof set apart and (ii) the Corporation
shall not be in arrears in respect of any sinking fund obligation or obligation
of a similar nature in respect of Series Preference Stock of such series or any
other series ranking equally therewith with respect to payment of dividends and
distribution upon liquidation, none of the Series Preference Stock of such
series, nor any parity shares, as hereinafter defined, shall be purchased,
retired or otherwise
-12-
acquired by the Corporation (except by redemption of all shares of such series
and all parity shares then outstanding, or except in accordance with a purchase
or exchange offer made to holders of all shares of such series and all parity
shares outstanding which, considering the annual dividend rates and other
relative rights and preferences of such shares, in the opinion of the Board of
Directors (whose determination shall be conclusive) will result in fair and
equitable treatment among all such shares). "Parity shares" as used herein means
shares (including shares of Series Preference Stock of other series) ranking
equally with the Series Preference Stock of such series with respect to payment
of dividends and distributions upon liquidation.
7. Corporate Action Requiring Consent of Series Preference Stock.
(a) Majority Consent. Without the consent of the holders of at least a
majority of the Series Preference Stock at the time outstanding, given in person
or by proxy, either in writing according to law or at a meeting of shareholders
called for the purpose, the Corporation shall not
(i) authorize any new class of shares, or an increase in the
authorized amount of any class of shares, which shall rank equally with the
Series Preference Stock with respect to payment of dividends or distributions
upon liquidation; provided, however, that if shares of such class
-13-
would rank equally to one or more but not all of the several series of the
Series Preference Stock at the time outstanding, the consent of the holders
of a majority of the shares of all series with respect to which shares of
such class would rank equally shall be required in lieu of the consent of
holders of all Series Preference Stock; or
(ii) increase the authorized Series Preference Stock to an
amount in excess of 2,000,000; or
(iii) merge into or consolidate with any other corporation or
corporations or sell, lease or otherwise dispose of all or substantially
all of its assets, unless such merger, consolidation, sale, lease or other
disposition shall have been ordered, permitted or approved by the
Securities and Exchange Commission under the provisions of the Public
Utility Holding Company Act of 1935 as now in effect or as hereafter
amended or by any successor commission.
(b) Two-thirds Consent. Without the consent of the holders of at least
two-thirds of the Series Preference Stock outstanding, given in person or by
proxy, either in writing according to law or at a meeting of shareholders called
for the purpose, the Corporation shall not
(i) authorize any new class of shares, or an increase in the
authorized amount of any class of shares, which will rank prior to the
Series Preference Stock with
-14-
respect to payment of dividends or distributions upon liquidation; or
(ii) adopt or effect any amendment to its Articles which would
adversely affect the rights or preferences of the Series Preference Stock
(except as may be expressly permitted under subsection (a) of this Section
7 with the consent of the holders of a majority of the Series Preference
Stock); provided, however, that if any such amendment shall adversely
affect the rights or preferences of one or more, but not all, of the
several series of Series Preference Stock at the time outstanding, the
consent of the holders of at least two-thirds of the shares of all series
adversely affected, similarly given, shall be required in lieu of the
consent of the holders of two-thirds of the Series Preference Stock.
The provisions of this Section 7 shall not prevent the Board of Directors
from establishing and designating, without a vote of the holders of the Series
Preference Stock, one or more series of the Series Preference Stock which shall
rank prior to shares of other series of the Series Preference Stock with respect
to payment of dividends or distributions upon liquidations.
-15-
B. Special Terms of First Series Preference Stock.
1. Dividends and Distributions.
(a) The quarterly dividend rate of the shares of First Series Preference
Stock shall be the greater of (i) $25.00 or (ii) subject to the provision for
adjustment hereinafter set forth 100 times the aggregate per share amount of all
cash dividends, and 100 times the aggregate per share amount (payable in kind)
of all non-cash dividends or other distributions other than a dividend payable
in shares of Common Stock or a subdivision of the outstanding shares of Common
Stock (by reclassification or otherwise), declared on the Common Stock since the
immediately preceding quarterly dividend payment date (the "Quarterly Dividend
Payment Date"), or, with respect to the first Quarterly Dividend Payment Date,
since the first issuance of any share or fraction of a share of First Series
Preference Stock. In the event the Corporation shall at any time (i) declare any
dividend on Common Stock payable in shares of Common Stock, (ii) subdivide the
outstanding Common Stock, (iii) combine the outstanding Common Stock into a
smaller number of shares, or (iv) issue any shares of its capital stock in a
reclassification of the out-standing Common Stock, then in each such case the
amounts to which holders of shares of First Series Preference Stock were
entitled immediately prior to such event under clause (i) and clause (ii) of the
preceding sentence shall be adjusted
-16-
by multiplying each such amount by a fraction the numerator of which is the
number of shares of Common Stock outstanding immediately after such event and
the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event.
(b) The Corporation shall declare a dividend or distribution on the First
Series Preference Stock as provided in paragraph (a) above immediately after it
declares a dividend or distribution on the Common Stock (other than a dividend
payable in shares of Common Stock); provided that, in the event no dividend or
distribution shall have been declared on the Common Stock during the period
between any Quarterly Dividend Payment Date and the next subsequent Quarterly
Dividend Payment Date, a dividend of $25 per share on the First Series
Preference Stock shall nevertheless be payable on such subsequent Quarterly
Dividend Payment Date.
2. Voting Rights. The holders of shares of First Series Preference
Stock shall have the following voting rights:
(a) Subject to the provision for adjustment hereinafter set forth, each
share of First Series Preference Stock shall entitle the holder thereof to 100
votes on all matters submitted to a vote of the shareholders of the Corporation.
In the event the Corporation shall at any time (i) declare any dividend on
Common Stock payable in shares of Common Stock, (ii) subdivide
-17-
the outstanding Common Stock, (iii) combine the outstanding Common Stock into a
smaller number of shares, or (iv) issue any shares of its capital stock in a
reclassification of the outstanding Common Stock, then in each such case the
number of votes per share to which holders of shares of First Series Preference
Stock were entitled immediately prior to such event shall be adjusted by
multiplying such number by a fraction the numerator of which is the number of
shares of Common Stock outstanding immediately after such event and the
denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event.
(b) Except as otherwise provided herein or by law, the holders of shares
of First Series Preference Stock and the holders of shares of Common Stock shall
vote together as one class on all matters submitted to a vote of shareholders of
the Corporation.
3. Liquidation.
(a) Upon any voluntary liquidation, dissolution or winding up of the
Corporation and subject to the distributions to be made with respect to
Preferred or Preference Stock senior to the First Series Preference Stock, no
distribution shall be made to the holders of shares of stock ranking junior
(either as to dividends or upon liquidation, dissolution or winding up) to the
First Series Preference Stock unless, prior thereto, the holders
-18-
of shares of First Series Preference Stock shall have received $100 per share,
plus an amount equal to accrued and unpaid dividends and distributions thereon,
whether or not declared, to the date of such payment (the "First Series
Liquidation Preference"). Following the payment of the full amount of the First
Series Liquidation Preference, no additional distributions shall be made to the
holders of shares of First Series Preference Stock unless, prior thereto, the
holders of shares of Common Stock have received an amount per share (the "Common
Adjustment") equal to the quotient obtained by dividing (i) the First Series
Liquidation Preference by (ii) 100 (as appropriately adjusted as set forth in
subparagraph (b) below to reflect such events as stock splits, stock dividends
and recapitalizations with respect to the Common Stock) (such number in clause
(ii), the "Adjustment Number"). Following the payment of the full amount of the
First Series Liquidation Preference and the Common Adjustment in respect of all
outstanding shares of First Series Preference Stock and Common Stock,
respectively, holders of First Series Preference Stock and holders of shares of
Common Stock shall receive their ratable and proportionate share of the
remaining assets to be distributed in the ratio of the Adjustment Number to 1
with respect to such First Series Preference Stock and Common Stock, on a per
share basis, respectively.
(b) In the event, however, that there are not sufficient assets available
to permit payment in full of the
-19-
First Series Liquidation Preference and the liquidation preferences of all other
series of Preferred or Preference Stock, if any, which rank on a parity with the
First Series Preference Stock, then such remaining assets shall be distributed
ratably to the holders of such parity shares in proportion to their respective
liquidation preferences. In the event, however, that there are not sufficient
assets available to permit payment in full of the Common Adjustment, then such
remaining assets shall be distributed ratably to the holders of Common Stock.
(c) In the event the Corporation shall at any time (i) declare any
dividend on Common Stock payable in shares of Common Stock, (ii) subdivide the
outstanding Common Stock, (iii) combine the outstanding Common Stock into a
smaller number of shares, or (iv) issue any shares of its capital stock in
reclassification of the outstanding Common Stock, then in each such case the
Adjustment Number in effect immediately prior to such event shall be adjusted by
multiplying such Adjustment Number by a fraction the numerator of which is the
number of shares of Common Stock outstanding immediately after such event and
the denominator of which is the number of shares of Common Stock that were
outstanding immediately prior to such event.
4. Consolidation, Merger, etc. In case the Corporation shall enter into
any consolidation, merger, combination or other transaction in which the shares
of Common
-20-
Stock are exchanged for or changed into other stock or securities, cash and/or
any other property, then in any such case the shares of First Series Preference
Stock shall at the same time be similarly exchanged or changed in an amount per
share (subject to the provision for adjustment hereinafter set forth) equal to
100 times the aggregate amount of stock, securities, cash and/or any other
property (payable in kind), as the case may be, into which or for which each
share of Common Stock is changed or exchanged. In the event the Corporation
shall at any time (i) declare any dividend on Common Stock payable in shares of
Common Stock, (ii) subdivide the outstanding Common Stock, (iii) combine the
outstanding Common Stock into a smaller number of shares, or (iv) issue any
shares of its capital stock in a reclassification of the outstanding Common
Stock, then in each such case the amount set forth in the preceding sentence
with respect to the exchange or change of shares of First Series Preference
Stock shall be adjusted by multiplying such amount by a fraction the numerator
of which is the number of shares of Common Stock outstanding immediately after
such event and the denominator of which is the number of shares of Common Stock
that were outstanding immediately prior to such event.
5. No Redemption. The shares of First Series Preference Stock shall not be
redeemable.
-21-
6. Ranking. The First Series Preference Stock shall rank junior to all
other series of the Corporation's Preferred or Preference Stock as to the
payment of dividends and the distribution of assets, unless the terms of any
such series shall provide otherwise.
7. Fractional Shares. First Series Preference Stock may be issued in
fractions of a share which shall entitle the holder, in proportion to such
holder's fractional shares, to exercise voting rights, receive dividends,
participate in distributions and to have the benefit of all other rights of
holders of First Series Preference Stock.
-22-
APPLICANT'S ACC'T NO. Filed this 23 day of Oct 1986
------ --------
DSCB BCL--602 ______________________ Commonwealth of Pennsylvania
(Rev. 8-72) (Line for numbering) Department of State
369114
Filing Fee: $48 COMMONWEALTH OF /s/ Robert A. Gleason, Jr.
A8-2 PENNSYLVANIA Secretary of the Commonwealth
Statement Affecting DEPARTMENT OF __________________________________
Class or Series of STATE CORPORATION (Box for Certification)
Shares--Domestic BUREAU
Business Corporation
In compliance with the requirements of section 602 of the Business
Corporation Law, act of May 5, 1933 (P. L. 364) (15 P. S. Sec.1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI CORPORATION
2. (Check and complete one of the following):
/ / The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
/X/ The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof is
set forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 200,000 shares.
4. (Check and complete one of the following):
/X/ The resolution was adopted by the Executive Committee of the Board of
Directors of the corporation at a duly called meeting held on the 21st day of
October, 1986.
M. BURR KEIM COMPANY, PHILADELPHIA
DSCB BCL--602 (Rev. 8-72)-2
The resolution was adopted by a consent or consents in writing dated the
___________ day of ________________, 19___, signed by all of the Directors of
the corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal, duly attested
by another such officer, to be hereunto affixed this 21st day of October, 1986.
UGI CORPORATION
--------------------------------
(NAME OF CORPORATION)
By: /s/ CHARLES L. LADNER
--------------------------------
(SIGNATURE)
Charles L. Ladner,
Senior Vice President
--------------------------------
(TITLE: PRESIDENT,
VICE PRESIDENT, ETC.)
Attest:
/s/ LON R. GREENBERG
---------------------------------
(SIGNATURE)
Lon R. Greenberg, Secretary
---------------------------------
(TITLE: SECRETARY,
ASSISTANT SECRETARY, ETC.)
[CORPORATE SEAL STAMP]
EXHIBIT A
UGI CORPORATION
ESTABLISHMENT OF SERIES PREFERRED STOCK,
$8.50 SERIES (WITHOUT PAR VALUE)
RESOLVED, that pursuant to the authority granted to and vested in the
Board of Directors of the Corporation by the provisions of the Amended and
Restated Articles of Incorporation of the Corporation, the Board of Directors
hereby establishes 200,000 shares of the Series Preferred Stock, without par
value, as a series of such Series Preferred Stock which shall be designated as
Series Preferred Stock, $8.50 Series (hereinafter called "Fifth Series"); and
further
RESOLVED, that the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights of the Fifth Series (in addition to the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred Stock
of all series, hereinafter called "General Terms of the Series Preferred Stock")
shall be as follows:
1. Dividends. The dividend rate of the shares of the Fifth Series
shall be $8.50 per share per annum. The initial dividend with respect to the
Fifth Series shall be payable on January 1, 1987. Dividends on all shares of the
Fifth Series shall be cumulative from the date of initial issue of such shares.
2. Optional Redemption. The shares of the Fifth Series shall be
subject to redemption in the manner specified in the General Terms of the Series
Preferred Stock at the following Redemption Prices per share applicable to the
periods indicated:
Redemption
Period Price
-------------------------------------------------------------------------------
November 1, 1986 to and including September 30, 1991 $ 108.50
October 1, 1991 to and including September 30, 1996 $ 104.25
October 1, 1996 and thereafter $ 100.00
plus in each case, an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
redemption; provided that the Corporation may not, prior to October 1, 1991,
redeem any shares of the Fifth Series if such redemption is a part of or in
anticipation of any refunding operation involving the application, directly or
indirectly, of borrowed funds or the proceeds of an issue of any stock ranking
prior to or on a parity with the Fifth Series as to dividends or assets, if such
borrowed funds have an effective annual interest cost to the Corporation
(calculated in accordance with
generally accepted financial practice and without any consideration of income
tax effect), or such stock has a dividend cost to the Corporation (so
calculated), less than the dividend rate per annum of the Fifth Series.
3. Sinking Fund Redemptions. Subject to any restrictions contained in the
General Terms of the Series Preferred Stock, on October 1 of each year,
commencing October 1, 1992, the Corporation shall redeem, at $100 per share,
plus an amount equal to Full Cumulative Dividends thereon (as provided in the
General Terms of the Series Preferred Stock) to the date of redemption, 10,000
shares of the Fifth Series (or such lesser number as is required to redeem all
the shares of the Fifth Series outstanding); provided, however, that the
obligation to redeem shares of the Fifth Series in any year shall be deferred
and shall accrue to following years until fully paid to the extent any such
redemption is prohibited by the Amended and Restated Articles of Incorporation
of the Corporation or by applicable law. The number of shares scheduled to be
redeemed on any redemption date may be reduced, at the option of the
Corporation, by crediting for such purpose shares of the Fifth Series purchased,
redeemed or acquired otherwise than through the operation of the sinking fund
redemption. Shares of the Fifth Series purchased or credited under this Section
3 shall be retired and cancelled, and may be reclassified and reissued as
provided in the General Terms of the Series Preferred Stock, except that such
shares may not be reissued as shares of the Fifth Series.
4. Liquidation Rights. The amounts payable upon the shares of the Fifth
Series in the event of any liquidation, dissolution or winding up of the
Corporation shall be:
(a) if the event be voluntary, the applicable Redemption Price per
share as specified in paragraph 2 of this resolution, and
(b) if the event be involuntary, $100 per share;
plus in each case an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
final payment.
5. Other Provisions or Rights. The shares of the Fifth Series shall not be
entitled to the benefit of any other special provisions or rights that might
hereby be created for the Fifth Series in accordance with and in response to the
terms of Section 1 of the General Terms of the Series Preferred Stock.
APPLICANT'S ACCT NO.
DSCB BCL-602 (Rev. 8-72)
--------------------------------
(Line for numbering)
Filing Fee: $40
AB-2
Statement Affecting Class COMMONWEALTH OF PENNSYLVANIA
or Series of Shares- DEPARTMENT OF STATE
Domestic Business Corporation CORPORATION BUREAU
--------------------------------------------------------------------------------
------------------------------------
Filed this day of
--------- --------
OCTOBER 28 , 1986
------------------------- ------
Commonwealth of Pennsylvania
Department of State
/s/ Robert A. Gleason Jr.
Secretary of the Commonwealth
------------------------------------
(Box for Certification)
In compliance with the requirements of section 602 of the Business
Corporation Law, act of May 5, 1933 (P. L. 364)(15 P. S. Section 1602), the
undersigned corporation, desiring to state the voting rights, designations,
preferences, qualifications, privileges, limitations, options, conversion
rights, and other special rights, if any, of a class or series of a class of its
shares, hereby certifies that:
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. (Check and complete one of the following):
/ / The resolution establishing and designating the class or series of
shares and fixing and determining the relative rights and preferences thereof,
set forth in full, is as follows:
[Illegible Seal Stamp]
/x/ The resolution establishing and designating the class or series of shares
and fixing and determining the relative rights and preferences thereof is set
forth in full in Exhibit A attached hereto and made a part hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed under
the Business Corporation Law with respect thereto, and (c) any other provision
of the Articles is 200,000 shares.
-------------
4. (Check and complete one of the following):
/x/ The resolution was adopted by the Board of Directors of the corporation at
a duly called meeting held on the 28th day of OCTOBER , 1986.
------------ ------------- ---
DSCB BCL--602 (Rev. 8-72)-2
The resolution was adopted by a consent or consents in writing dated the
day of , 19 , signed by all of the Directors
-------------- ------------------ ---
of the corporation and filed with the Secretary of the corporation.
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer and its corporate seal, duly attested
by another such officer, to be hereunto affixed this 28th day of OCTOBER, 1986.
---- ------- ----
UGI CORPORATION
----------------------------
(NAME OF CORPORATION)
By: /s/ Charles L. Ladner
----------------------------
(SIGNATURE)
Charles L. Ladner, Senior
Vice President
----------------------------
(TITLE: PRESIDENT,
VICE PRESIDENT, ETC.)
Attest:
/s/ Lon R. Greenberg
----------------------------
(SIGNATURE)
Lon R. Greenberg
Secretary
----------------------------
(TITLE: SECRETARY,
ASSISTANT SECRETARY, ETC.)
[CORPORATE SEAL STAMP]
UGI CORPORATION
RESOLUTIONS OF THE BOARD OF DIRECTORS
ADOPTED OCTOBER 28, 1986
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 200,000 shares of the Series Preferred Stock, without par value, as
a series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $8.50 Series (hereinafter called "Fifth Series"); and further
RESOLVED, that the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights of the Fifth Series (in addition to the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred Stock
of all series, hereinafter called "General Terms of the Series Preferred Stock")
shall be as follows:
1. Dividends. The dividend rate of the shares of the Fifth Series shall
be $8.50 per share per annum. The initial dividend with respect to the Fifth
Series shall be payable on January 1, 1987. Dividends on all shares of the Fifth
Series shall be cumulative from the date of initial issue of such shares.
2. Optional Redemption. The shares of the Fifth Series shall be subject
to redemption in the manner specified in the General Terms of the Series
Preferred Stock at the following Redemption Prices per share applicable to the
periods indicated:
Redemption
Period Price
-------------------------------------------------------------------------------
November 1, 1986 to and including September 30, 1991 $108.50
October 1, 1991 to and including September 30, 1996 $104.25
October 1, 1996 and thereafter $100.00
plus in each case, an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
redemption; provided that the Corporation may not, prior to October 1, 1991,
redeem any shares of the Fifth Series if such redemption is a part of or in
anticipation of any refunding operation involving the application, directly or
indirectly, of borrowed funds or the proceeds of an issue of any stock ranking
prior to or on a parity with the Fifth Series as to dividends or assets, if such
borrowed funds have an effective annual interest cost to the Corporation
(calculated in accordance with generally accepted financial practice and without
any
consideration of income tax effect), or such stock has a dividend cost to the
Corporation (so calculated), less than the dividend rate per annum of the Fifth
Series.
3. Sinking Fund Redemptions. Subject to any restrictions contained in
the General Terms of the Series Preferred Stock, on October 1 of each year,
commencing October 1, 1992, the Corporation shall redeem, at $100 per share,
plus an amount equal to Full Cumulative Dividends thereon (as provided in the
General Terms of the Series Preferred Stock) to the date of redemption, 10,000
shares of the Fifth Series (or such lesser number as is required to redeem all
the shares of the Fifth Series outstanding); provided, however, that the
obligation to redeem shares of the Fifth Series in any year shall be deferred
and shall accrue to following years until fully paid to the extent any such
redemption is prohibited by the Amended and Restated Articles of Incorporation
of the Corporation or by applicable law. The number of shares scheduled to be
redeemed on any redemption date may be reduced, at the option of the
Corporation, by crediting for such purpose shares of the Fifth Series purchased,
redeemed or acquired otherwise than through the operation of the sinking fund
redemption. Shares of the Fifth Series purchased or credited under this Section
3 shall be retired and cancelled, and may be reclassified and reissued as
provided in the General Terms of the Series Preferred Stock, except that such
shares may not be reissued as shares of the Fifth Series.
4. Liquidation Rights. The amounts payable upon the shares of the Fifth
Series in the event of any liquidation, dissolution or winding up of the
Corporation shall be:
(a) if the event be voluntary, the applicable Redemption Price per
share as specified in paragraph 2 of this resolution, and
(b) if the event be involuntary, $100 per share;
plus in each case an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
final payment.
5. Other Provisions or Rights. The shares of the Fifth Series shall not
be entitled to the benefit of any other special provisions or rights that might
hereby be created for the Fifth Series in accordance with and in response to the
terms of Section 1 of the General Terms of the Series Preferred Stock.
APPLICANT'S ACC'T NO.
DSCB:BCL-606 (Rev. 8-72)
--------------------------------
(Line for numbering)
Filing Fee: $40
AB-2
Articles of COMMONWEALTH OF PENNSYLVANIA
Amendment-- DEPARTMENT OF STATE
Domestic Business Corporation CORPORATION BUREAU
--------------------------------------------------------------------------------
------------------------------------
Filed this 12 day of May , 1987
--------- ------------------ -----
Commonwealth of Pennsylvania
Department of State
/s/ Jane J. Hartz
Secretary of the Commonwealth
-------------------------------------
(Box for Certification)
In compliance with the requirements of section 806 of the Business
Corporation Law, act of May 5, 1933 (P. L. 364)(15 P. S. Section 1806), the
undersigned corporation, desiring to amend its Articles, does hereby certify
that:
1. The name of the corporation is:
UGI CORPORATION
--------------------------------------------------------------------------------
2. The location of its registered office in this Commonwealth is (the Department
of State is hereby authorized to correct the following statement to conform to
the records of the Department):
Box 858, Irwin Building Route 363, North Gulph Road
--------------------------------------------------------------------------------
(NUMBER) (STREET)
Valley Forge Pennsylvania 19482
--------------------------------------------------------------------------------
(CITY) (ZIP CODE)
3. The statute by or under which it was incorporated is: "An Act authorized the
merger and consolidation of certain corporations" approved May 3, 1909, P.L.
408, and supplements and amendments thereto.
--------------------------------------------------------------------------------
4. The date of its incorporation is: August 4, 1925
--------------------------------------------
5. (Check, and if appropriate, complete one of the following):
/X/ The meeting of the shareholders of the corporation at which the
amendment was adopted was held at the time and place and pursuant to the kind
and period of notice herein stated.
Time: The 12th day of MAY, 1987.
---- --- --
Place: Valley Forge, Pennsylvania
--------------------------------------------------------------------
Kind and period of notice Written notice mailed first class, postage
-------------------------------------------------
prepaid, to each shareholder on April 16, 1987.
--------------------------------------------------------------------------------
/ / The amendment was adopted by a consent in writing, setting forth the
action so taken, signed by all of the shareholders entitled to vote thereon and
filed with the Secretary of the corporation.
6. At the time of the action of shareholders:
(a) The total number of shares outstanding was: Common Stock: 9,461,582;
$1.80 Series Preferred Stock: 177,786; $6.75 Series Preferred Stock: 27,567;
$9.00 Series Preferred Stock: 166,226; and $8.50 Series Preferred Stock:
200,000.
--------------------------------------------------------------------------------
(b) The number of shares entitled to vote was: Common Stock (1 vote per
share): 9,461,582 $1.80 Series Preferred Stock (1/4 vote per share):
44,446.5 TOTAL number of shares entitled to vote: 9,506,028.5
--------------------------------------------------------------------------------
M. BURR KEIM COMPANY, PHILADELPHIA
DSCB BCL--806 (Rev. 8-72)-2
7. In the action taken by the shareholders:
(a) The number of shares voted in favor of the amendment was:
Common Stock: 7,125,752
$1.80 Series Preferred Stock: 37,591 TOTAL: 7,163,343
--------------------------------------------------------------------------------
(b) The number of shares voted against the amendment was:
Common Stock: 253,872
$1.80 Series Preferred Stock: 594 TOTAL: 254,466
--------------------------------------------------------------------------------
8. The amendment adopted by the shareholders, set forth in full, is attached
hereto
as EXHIBIT A.
---------
IN TESTIMONY WHEREOF, the undersigned corporation has caused these
Articles of Amendment to be signed by a duly authorized officer and its
corporate seal, duly attested by another such officer, to be hereunto affixed
this 12th day of May, 1987.
UGI CORPORATION
-------------------------------
(NAME OF CORPORATION)
/s/ Lon R. Greenberg By: /s/ James A. Sutton
-------------------------------- -------------------------------
(SIGNATURE) (SIGNATURE)
Lon R. Greenberg, Secretary James A. Sutton, President
-------------------------------- -------------------------------
(TITLE: SECRETARY, ASSISTANT (TITLE: PRESIDENT, VICE
SECRETARY, ETC.) PRESIDENT, ETC.)
(CORPORATE SEAL)
INSTRUCTIONS FOR COMPLETION OF FORM
A. Any necessary copies of Form DSCB:17.2 (Consent to Appropriation
of Name) or Form DSCB:17.3 (Consent to Use of Similar Name) shall
accompany Articles of Amendment effecting a change of name.
B. Any necessary governmental approvals shall accompany this form.
C. Where action is taken by partial written consent pursuant to the
Articles, the second alternate of Paragraph 5 should be modified
accordingly.
D. If the shares of any class were entitled to vote as a class, the
number of shares of each class so entitled and the number of
shares of all other classes entitled to vote should be set forth
in Paragraph 6(b).
E. If the shares of any class were entitled to vote as a class, the
number of shares of such class and the number of shares of all
other classes voted for and against such amendment respectively
should be set forth in Paragraphs 7(a) and 7(b).
F. BCL Section 807 (15 P. S. Section 1807) requires that the
corporation shall advertise its intention to file or the filing
of Articles of Amendment. Proofs of publication of such
advertising should not be delivered to the Department, but should
be filed with the minutes of the corporation.
Exhibit A
Page 1 of 2
ARTICLES OF AMENDMENT
UGI CORPORATION
ARTICLES OF INCORPORATION
ARTICLE VIII
Section 1. Directors and officers as fiduciaries. A director or officer of
the Corporation shall stand in a fiduciary relation to the Corporation and shall
perform his or her duties as a director or officer, including his or her duties
as a member of any committee of the board upon which he or she may serve, in
good faith, in a manner he or she reasonably believes to be in the best
interests of the Corporation, and with such care, including reasonable inquiry,
skill and diligence, as a person of ordinary prudence would use under similar
circumstances. In performing his or her duties, a director or officer shall be
entitled to rely in good faith on information, opinions, reports or statements,
including financial statements and other financial data, in each case prepared
or presented by one or more officers or employees of the Corporation whom the
director or officer reasonably believes to be reliable and competent with
respect to the matters presented, counsel, public accountants or other persons
as to matters that the director or officer reasonably believes to be within the
professional or expert competence of such person, or a committee of the board of
directors upon which the director or officer does not serve, duly designated in
accordance with law, as to matters within its designated authority, which
committee the director or officer reasonably believes to merit confidence. A
director or officer shall not be considered to be acting in good faith if he or
she has knowledge concerning the matter in question that would cause his or her
reliance to be unwarranted. Absent breach of fiduciary duty, lack of good faith
or self-dealing, actions taken as a director or officer of the Corporation or
any failure to take any action shall be presumed to be in the best interests of
the Corporation.
Section 2. Personal liability of directors. A director of the Corporation
shall not be personally liable for monetary damages as such (including, without
limitation, any judgment, amount paid in settlement, penalty, punitive damages
or expense of any nature (including, without limitation, attorneys' fees and
disbursements)) for any action taken, or any failure to take any action, unless
the director has breached or failed to perform the duties of his or her office
under these Articles, the By-laws of the Corporation or applicable provisions of
law and the breach or failure to perform constitutes self-dealing, willful
misconduct or recklessness.
Section 3. Personal liability of officers. An officer of the Corporation
shall not be personally liable to the Corporation or its shareholders for
monetary damages as such (including, without limitation, any judgment, amount
paid in settlement, penalty, punitive damages or
EXHIBIT A
PAGE 1 of 2
expense of any nature (including, without limitation, attorneys' fees and
disbursements)) for any action taken, or any failure to take any action, unless
the officer has breached or failed to perform the duties of his or her office
under these Articles of Incorporation, the By-laws of the Corporation or
applicable provisions of law and the breach or failure to perform constitutes
self-dealing, willful misconduct or recklessness.
Section 4. Interpretation of article. The provisions of Sections 2 and 3 of
this Article VIII shall not apply to the responsibility or liability of a
director or officer, as such, pursuant to any criminal statute or for the
payment of taxes pursuant to local, state or federal law. The provisions of this
Article VIII have been adopted pursuant to the authority of sections 204A(10)
and 801 of the Pennsylvania Business Corporation Law, shall be effective as to
any act or failure to act occurring on or after May 12, 1987, shall be deemed to
be a contract with each director or officer of-the Corporation who serves as
such at any time while this article is in effect, and each person who serves as
a director or officer of the Corporation while this Article VIII is in effect
shall be deemed to be doing so in reliance on the provisions of this Article.
The provisions of this Article VIII are cumulative of and shall be in addition
to and independent of any and all other limitations on the liabilities of
directors or officers of the Corporation, as such, or rights of indemnification
by the Corporation to which a director or officer of the Corporation may be
entitled, whether such limitations or rights arise under or are created by any
statute, rule or law, By-law, agreement, vote of shareholders or disinterested
directors or otherwise. No amendment to or repeal of this Article VIII, nor the
adoption of any provision of these Articles of Incorporation inconsistent with
this Article, shall apply to or have any effect on the liability or alleged
liability of any director or officer of the Corporation for or with respect to
any acts or omissions of such director or officer occurring prior to such
amendment, repeal or adoption of an inconsistent provision. In any action, suit
or proceeding involving the application of the provisions of this Article VIII,
the party or parties challenging the right of a director or officer to the
benefits of this Article shall have the burden of proof.
COMMONWEALTH OF PENNSYLVANIA
[DEPARTMENT OF STATE SEAL]
Department of State To
All to Whom These Presents Shall Come, Greeting:
Whereas, In and by Article VIII of the Business Corporation Law, approved
the fifth day of May, Anno Domini one thousand nine hundred and thirty-three, P.
L. 364, as amended, the Department of State is authorized and required to issue
a
CERTIFICATE OF AMENDMENT
evidencing the amendment of the Articles of Incorporation of a business
corporation organized under or subject to the provisions of that Law, and
Whereas, The stipulations and conditions of that Law pertaining to the
amendment of Articles of Incorporation have been fully complied with by
UGI CORPORATION
Therefore, Know Ye, That subject to the Constitution of this Commonwealth
and under the authority of the Business Corporation Law, I do by these presents,
which I have caused to be sealed with the Great Seal of the Commonwealth, extend
the rights and powers of the corporation named above, in accordance with the
terms and provisions of the Articles of Amendment presented by it to the
Department of State, with full power and authority to use and enjoy such rights
and powers, subject to all the provisions and restrictions of the Business
Corporation Law and all other applicable laws of this Commonwealth.
Given under my Hand and the Great Seal of the Common-
wealth, at the City of Harrisburg, this 12th
day of May in the year of our Lord one
thousand nine hundred and eighty-seven
and of the Commonwealth the two hundred eleventh.
[Great Seal of the /s/ Jane J. Hartz
Commonwealth] -------------------------------------------------
DSCB - 21 (7-78) Secretary of the Commonwealth
Microfilm Number 90251531 Filed with the Department of State on May 24, 1990
-------- ------------
Entry Number {Illegible} 369114 /s/ Christopher A. Lurie
------------ ------------------------------------
Secretary of the Commonwealth
ARTICLES OF AMENDMENT-DOMESTIC BUSINESS CORPORATION
DSCB: {Illegible}
In compliance with the requirements of 15 Ps.C.S. Section 1915
(relating to articles of amendment), the undersigned business corporation,
desiring to amend its Articles, hereby states that:
1. The name of the corporation is: UGI Corporation
---------------------------------------------
----------------------------------------------------------------------------
2. The address of this corporation's current (a) registered office in this
Commonwealth or (b) commercial registered office provider and the county of
venue is (the Department is hereby authorized to correct the following
address to conform to the records of the Department):
(a) Box 858, Irwin Bldg., Rte 363 North Gulph Road,
----------------------------------------------------------------------------
Number and Street
Valley Forge, PA 19482 Montgomery
----------------------------------------------------------------------------
City State Zip County
(b) N/A
----------------------------------------------------------------------------
Name of Commercial Registered Office Provider County
For a corporation represented by a commercial registered office provider,
the county in (b) shall be deemed the county in which the corporation is
located for venue and official publication purposes.
3. The statute by or under which it was incorporated is: "An Act authorizing
----------------------
the merger and consolidation of certain corporations" approved May 3, 1909,
----------------------------------------------------------------------------
P.L. 408, and supplements and amendments thereto.
----------------------------------------------------------------------------
4. The original date of its incorporation is: August 4, 1925
----------------------------------
5. (Check, and if appropriate complete, one of the following):
The amendment shall be effective upon filing these Articles of Amendment
in the Department of State.
---
X The amendment shall be effective on: The close of business May 31, 1990.
--- -----------------------------------
6. (Check one of the following):
The amendment was adopted by the shareholders pursuant to 15 Ps.C.S.
X Section 1914(a) and (b).
---
The amendment was adopted by the board of directors pursuant to 15
Ps.C.S. Section 1914(c).
---
7. (Check, and if appropriate complete, one of the following):
The amendment adopted by the corporation, set forth in full, is as
follows:
---
The amendment adopted by the corporation as set forth in full in
X Exhibit A, attached hereto and made a part hereof.
---
DSCB:15-1915 (Rev 89)-2
8. (Check if the amendment restates the Articles):
--- The restated Articles of Incorporation supersede the original Articles
and all amendments thereto.
IN TESTIMONY WHEREOF, the undersigned corporation has caused these
Articles of Amendment to be signed by a duly authorized officer thereof this
23rd day of May, 1990.
UGI CORPORATION
-------------------------------
(Name of Corporation)
BY: /s/ Lon R. Greenberg
----------------------------
(Signature)
TITLE: Lon R. Greenberg,
Senior Vice President
-------------------------
EXHIBIT A
UGI Corporation
Resolutions of the Shareholders Adopted May 22, 1990
The amendment adopted by the Corporation, set forth in full, is as
follows:
"Article V. The aggregate number of shares which the Corporation
shall have authority to issue is 44,000,000 shares, divided into
40,000,000 shares of Common Stock, par value $2.25 per share,
2,000,000 shares of Series Preference Stock, without par value,
and 2,000,000 shares of Series Preferred Stock, without par
value."; and
(2) the effective date of such amendment be the close of
business on May 31, 1990, and upon such effective date, each share of authorized
and issued Common Stock, par value $4.50 per share, shall be reclassified into
two shares Common Stock, par value $2.25 per share.
Microfilm Number Filed with the Department of State on Mar 25, 1992
----------
Entity Number 369114 /s/ Christopher A. Lurie
-------------- ---------------------------------
Secretary of the Commonwealth
STATEMENT WITH RESPECT TO SHARES-DOMESTIC BUSINESS CORPORATION
DSC8:15-1522 (REV 90)
In compliance with the requirements of 15 Pa.C.S. Section 1522(b) (relating
to statement with respect to shares), the undersigned, corporation, desiring to
state the designation and voting rights, preferences, limitations, and special
rights, if any, of a class or series of its shares, hereby states that:
1. The name of the corporation is: UGI Corporation
--------------------------------------------
---------------------------------------------------------------------------
2. (Check and complete one of the following):
The resolution amending the Articles under 15 Pa.C.S. Section 1522(b)
--- (relating to divisions and determinations by the board), set forth in
full, is as follows:
X The resolution amending the Articles under 15 Pa.C.S. Section 1522(b)
--- is set forth in full in Exhibit A attached hereto and made a part
hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed
under 15 Pa.C.S. Section 1522 or corresponding provisions of prior law with
respect thereto, and (c) any other provision of the Articles is 150,000
shares.
4. The resolution was adopted by the Board of Directors or an authorized
committee thereof on March 25, 1992
5. (Check, and if appropriate complete, one of the following):
X The resolution shall be effective upon the filing this statement with
--- respect to shares in the Department of State.
The resolution shall be effective on: at
--- ------------ --------------
Date Hour
IN TESTIMONY WHEREOF, the undersigned corporation has caused this statement
to be signed by a duly authorized officer thereof this 25th day of March, 1992.
UGI Corporation
---------------------------------------
(Name of Corporation)
BY: /s/ Chuck Ladner
-----------------------------------
(Signature)
TITLE: Senior Vice President - Finance
--------------------------------
Exhibit A
Resolutions of the Board of Directors
of UGI Corporation
Establishing
Series Preferred Stock, $8.00 Series
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 150,000 shares of the Series Preferred Stock, without par value, as
a series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $8.00 Series (hereinafter called "Sixth Series").
RESOLVED, that the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights of the Sixth Series (in addition to the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred
Stock, which are applicable to the Series Preferred Stock of all series,
hereinafter called "General Terms of the Series Preferred Stock") shall be as
follows:
1. Dividends.
(a) General. Except as provided in the following Section 1(b), the dividend rate
of the shares of the Sixth Series shall be $8.00 per share per annum. The
initial dividend with respect to the Sixth Series shall be payable on April 1,
1992. Dividends on all shares of the Sixth Series shall be cumulative from the
date of initial issue of such shares.
(b) Dividend Adjustment. In the event that (i) the Corporation restructures its
consolidated operations into a holding company system and (ii) on or before the
date that is 90 days after such restructuring (A) the investment rating on any
series of the outstanding Series Preferred Stock is lowered by either Standard &
Poor's Corporation ("S&P") or Moody's Investors Service ("Moody's") from the
current ratings of BBB and Baa2, respectively, and the agency lowering such
rating publicly announces that such rating reduction was, in whole or in part,
the result of such restructuring or due to factors directly resulting from such
restructuring, or (B) either S&P or Moody's places any series of the outstanding
Series Preferred Stock on CreditWatch-negative or CreditWatch-developing (in the
case of S&P) or in a comparable category (in the case of Moody's), and on or
before the date that is 120 days after the restructuring the investment rating
on any series of the outstanding Series Preferred Stock is lowered by such
agency from the current rating of BBB (in the case of S&P) or Baa2 (in the case
of Moody's) and such agency publicly announces that such rating reduction was,
in whole or in part, the result of the restructuring or due to factors directly
resulting from the
restructuring, then the dividend rate of the shares of the Sixth Series shall be
increased as follows:
(1) If either (i) the S&P rating is lowered to BB+ or lower, or the Moody's
rating is lowered to Ba1 or lower, or (ii) any presently rated series of the
Series Preferred Stock ceases to be rated by both S&P and Moody's, then the
dividend rate of the shares of the Sixth Series shall be increased to $9.00 per
share per annum, effective as of the dividend payment date immediately following
such ratings reduction or cessation of rating, as the case may be, and shall
remain at such rate until the earlier of the date (the "Reversion Date") on
which (A) the Corporation has received $40,000,000 in net proceeds from the sale
and issuance of additional shares of its Common Stock; (B) the Corporation has
received additional paid-in capital on its Common Stock of not less than
$40,000,000; (C) the Corporation has satisfied its obligations as provided in
Section 2(c) of this resolution; or (D) each of the S&P rating and the Moody's
rating has been raised to no lower than BBB and Baa2, respectively. Effective as
of the dividend payment date immediately following the Reversion Date, the
dividend rate of the shares of the Sixth Series shall be decreased to $8.00 per
share per annum.
(2) If the dividend rate is not subject to adjustment pursuant to Section
1(b)(1) and either the S&P rating is lowered to BBB- or the Moody's rating is
lowered to Baa3, then the dividend rate of the shares of the Sixth Series shall
be increased to $8.50 per share per annum, effective as of the dividend payment
date immediately following such ratings reduction, and shall remain at such rate
until the Reversion Date. Effective as of the dividend payment date immediately
following the Reversion Date, the dividend rate of the shares of the Sixth
Series shall be decreased to $8.00 per annum.
2. REDEMPTIONS.
(a) Optional Redemption. The shares of the Sixth Series may be redeemed by the
Corporation at the following Redemption Prices per share applicable to the
periods indicated:
Redemption
Period Price
----------------------------------------------- ----------
Date of issuance of the shares to and
including April 1, 1993 $ 108.000
April 2, 1993 to and including April 1, 1994 107.111
April 2, 1994 to and including April 1, 1995 106.222
April 2, 1995 to and including April 1, 1996 105.333
April 2, 1996 to and including April 1, 1997 104.444
April 2, 1997 to and including April 1, 1998 103.556
April 2, 1998 to and including April 1, 1999 102.667
April 2, 1999 to and including April 1, 2000 101.778
April 2, 2000 to and including April 1, 2001 100.889
April 2, 2001 and thereafter 100.000
-2-
plus, in each case, an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
redemption; provided that the Corporation may not redeem any shares of the Sixth
Series pursuant to this Section 2(a) prior to April 1, 1997 except in the event
of the voluntary liquidation, dissolution or winding up of the Corporation.
(b) Mandatory Redemption. For so long as any shares of the Sixth Series are
outstanding, the Corporation shall redeem on April 1, 1998 and on April 1 of
each year thereafter until all such shares have been redeemed, 30,000 shares of
the Sixth Series (or if less than 30,000 shares are outstanding, the number of
shares outstanding) at a price of $100 per share, plus an amount equal to Full
Cumulative Dividends thereon (as provided in the General Terms of the Series
Preferred Stock) to the date of redemption.
The Corporation's mandatory redemption obligation under this Section 2(b) shall
be cumulative, so that if in any year the full number of shares required to be
redeemed for such year (including any number of shares carried over from any
preceding year) is not so redeemed for any reason, the deficiency shall be added
to the mandatory redemption obligation for the following year.
If the Corporation is in arrears in the redemption of the shares of the Sixth
Series pursuant to this Section 2(b), the Corporation shall not (i) purchase,
redeem or pay dividends on any Junior Stock or (ii) make any mandatory purchase
or redemption of any Series Preferred Stock or any stock ranking on a parity
therewith except on a pro rata basis according to all such obligations then due
or in arrears with respect to all such outstanding stock.
(c) Special Redemptions.
(i) If the Corporation has not received $40,000,000 in net proceeds from the
sale and issuance of additional shares of its Common Stock or received
additional paid-in capital on its Common Stock of not less than $40 million, in
either case on or before the date that is nine months from the date of the
issuance of the shares of the Sixth Series (the "Determination Date"), then
within three business days after the Determination Date the Corporation shall
offer to redeem the shares of the Sixth Series at a price of $100 per share,
plus an amount equal to Full Cumulative Dividends thereon (as provided in the
General Terms of the Series Preferred Stock) to the date of redemption. Such
offer may be accepted in whole or in part by any record holder of the shares
(with respect to the shares owned by such holder) by written notice of
acceptance specifying the number of shares owned by such holder to be redeemed
(the "Acceptance") sent to the Corporation by such holder within ten business
days after such holder's receipt of the offer, and the Corporation
-3-
shall redeem all shares specified in any Acceptance within five business days
after its receipt of such Acceptance.
(ii) If the Corporation shall request in writing (the "Special Request") the
written consent of the holders of the shares of the Sixth Series (A) to the
Corporation's becoming a party to or agreeing to be bound by any contract,
indenture, agreement or instrument, or (B) to the issuance by the Corporation of
any note, debenture, bond or other security, in either case the terms or
provisions of which would be more restrictive with respect to the right of the
Corporation (1) to declare or pay any dividend on, (2) to make any distribution
with respect to, or (3) to make any redemption pursuant to Section 2(b) or
Section 2(c) of this resolution of, any of the shares of the Sixth Series than
the restrictions set forth in the covenants contained in the long-term debt
agreements of the Corporation existing on the date of initial issuance of the
shares of the Sixth Series (the full texts of which agreements are on file at
the principal place of business of the Corporation at 460 North Gulph Road, King
of Prussia, Pennsylvania 19406), and such consent is not given by any such
holder within 15 business days of such holder's receipt of the Special Request,
then the Company may redeem, at any time on or prior to the 45th day following
the day on which the Special Request was made by the Corporation, all of the
shares of the Sixth Series owned by such holder at the redemption price of $100
per share, plus an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
redemption. If any of the shares of the Sixth Series are redeemed by the
Corporation pursuant to this Section 2(c)(ii) and the Corporation fails to take
action substantially as set forth in the Special Request within 90 days of such
redemption, then the Corporation shall immediately pay to each holder from which
shares of the Sixth Series were so redeemed an amount equal to the difference
between (a) the amount such holder would have received if the shares of the
Sixth Series owned by such holder had been redeemed pursuant to Section 2(a) of
this resolution (without giving effect to the proviso thereto) on the date such
shares were redeemed and (b) the redemption price actually received by such
holder for such shares.
(d) General Provisions. All redemptions of shares of the Sixth Series shall be
pro rata in the same proportion as the number of shares of the Sixth Series held
of record by each holder thereof bears to the total number of shares of the
Sixth Series outstanding at the time of the redemption. Any shares of the Sixth
Series that have been redeemed may not be reissued as part of the Sixth Series.
All redemptions under this Section 2 shall be made in the manner specified in
the General Terms of Series Preferred Stock, except that the Corporation may not
elect to deposit the amount of any Redemption Price with any bank or trust
company having capital and surplus of less than $100,000,000.
-4-
3. Liquidation Rights. The amounts payable upon the shares of the Sixth Series
in the event of any liquidation, dissolution or winding up of the Corporation
shall be:
(a) if any such event be voluntary, the applicable redemption price per share as
specified in Section 2(a) of this resolution; and
(b) if any such event be involuntary, $100 per share;
plus, in each case, an amount equal to Full Cumulative Dividends thereon (as
provided in the General Terms of the Series Preferred Stock) to the date of
final payment.
4. Other Provisions or Rights. Except as specifically provided in this
resolution, the shares of the Sixth Series shall not be entitled to the benefit
of any other special provisions or rights that might otherwise be created for
the Sixth Series in accordance with and in response to the terms of Section 1 of
the General Terms of the Series Preferred Stock.
5. Definitions. The terms defined in the General Terms of the Series Preferred
Stock shall have the same meaning in this resolution unless otherwise defined
herein.
-5-
Microfilm Number Filed with the Department of State on APRIL 09 1992
----------- -------------
Entity Number 369114 /s/
-------------- -----------------------------
SECRETARY OF THE COMMONWEALTH
ARTICLES OF MERGER-DOMESTIC BUSINESS CORPORATION
DSCB: 15-1926 (Rev 90)
In compliance with the requirements of 15 Pa.C.S. section 1926 (relating to
articles of merger or consolidation), the undersigned business corporations,
desiring to effect a merger, hereby state that:
1. The name of the corporation surviving the merger is: UGI Corporation (name
to be changed to "UGI Utilities, Inc.")
2. (CHECK AND COMPLETE ONE OF THE FOLLOWING):
X The surviving corporation is a domestic business corporation and the
(a) ADDRESS of its current registered office in this Commonwealth or
(b) NAME of its commercial registered office provider and the county of
venue is (the Department is hereby authorized to correct the following
information to conform to the records of the Department):
(a) Box 858, Irwin Building, Route 363, Valley Forge, PA 19482 Montgomery
---------------------------------------------------------- ----------
Number and Street City State Zip County
(b) c/o:
------------------------------------------------------------------
Name of Commercial Registered Office Provider County
For a corporation represented by a commercial registered office
provider, the county in (b) shall be deemed the county in which the
corporation is located for venue and official publication purposes.
------- The surviving corporation is a qualified foreign business
corporation incorporated under the laws of and the (a) ADDRESS of
its current registered office in this Commonwealth or (b) NAME of
its commercial registered office provider and the county of venue
is (the Department is hereby authorized to correct the following
information to conform to the records of the Department):
(a) ---------------------------------------------------------- ----------
Number and Street City State Zip County
(b) c/o:
------------------------------------------------------------------
Name of Commercial Registered Office Provider County
For a corporation represented by a commercial registered office
provider, the county in (b) shall be deemed the county in which the
corporation is located for venue and official publication purposes.
------- The surviving corporation is a nonqualified foreign business
corporation incorporated under the laws of and the ADDRESS of its
principal office under the laws of such domicillary jurisdiction
is:
-------------------------------------------------------------------------------
Number and Street City State Zip County
3. The NAME and ADDRESS of the registered office in this Commonwealth or NAME
of its commercial registered office provider and the county of venue of
each other domestic corporation and qualified foreign corporation which is
a party to the plan of merger are as follows:
NAME OF CORPORATION UGI Transition Corporation
ADDRESS OF REGISTERED OFFICE OR NAME OF COMMERCIAL REGISTERED OFFICE
PROVIDER 460 North Gulph Road, King of Prussia, PA 19406
COUNTY Montgomery
DSCB:15-1926 (Rev 90)-2
4. (CHECK, AND IF APPROPRIATE COMPLETE, ONE OF THE FOLLOWING):
------ The plan of merger shall be effective upon filing these Articles of
Merger in the Department of State.
X
------ The plan of merger shall be effective on: April 10, 1992 at 4:01 p.m.
-------------- --------
Date Hour
5. The manner in which the plan of merger was adopted by each domestic
corporation is as follows:
NAME OF CORPORATION MANNER OF ADOPTION
UGI Corporation -- Adopted by the directors and shareholders pursuant to 15
Pa.C.S. Section 1924(a).
UGI Transition Corporation -- Adopted by action of sole shareholder pursuant to
15 Pa.C.S. Section 1905.
6. (STRIKE OUT THIS PARAGRAPH IF NO FOREIGN CORPORATION IS A PARTY TO THE
MERGER): The plan was authorized, adopted or approved, as the case may be, by
the foreign business corporation (or each of the foreign business
corporations) party to the plan in accordance with the laws of the
jurisdiction in which it is incorporated.
7. (CHECK, AND IF APPROPRIATE COMPLETE, ONE OF THE FOLLOWING):
X
------ The plan of merger as set forth in full in Exhibit A is attached hereto
and made a part hereof.
------ Pursuant to 15 Pa.C.S. Section 1901 (relating to omission of certain
provisions from filed plans) the provisions, if any, of the plan of
merger that amend or constitute the operative Articles of Incorporation
of the surviving corporation as in effect subsequent to the effective
date of the plan are set forth in full in Exhibit A attached hereto and
made a part hereof. The full text of the plan of merger is on file at the
principal place of business of the surviving corporation, the address of
which is:
--------------------------------------------------------------------------------
Number and Street City State Zip County
IN TESTIMONY WHEREOF, the undersigned corporation or each undersigned
corporation has caused these Articles of Merger to be signed by a duly
authorized officer thereof this 9th day of April, 1992.
UGI Corporation UGI Transition Corporation
--------------------------------- ---------------------------------
(Name of Corporation) (Name of Corporation)
BY: /s/ J. West BY: /s/ David N. Knizel
------------------------------ ------------------------------
(Signature) (Signature)
TITLE: Senior Vice President TITLE: Vice President
--------------------------- ---------------------------
EXHIBIT A
PLAN OF MERGER
merging
UGI TRANSITION CORPORATION
(a Pennsylvania corporation)
with and into
UGI CORPORATION
(a Pennsylvania corporation)
whose name will be changed by the merger to
UGI Utilities, Inc.
RECITALS
A. UGI Corporation, a Pennsylvania corporation (the "Surviving
Corporation"), is authorized to issue (i) 40,000,000 shares of Common Stock, par
value $2.25 per share ("UGI Common Stock"), of which at the Effective Time
(hereinafter defined) 100 shares ("Holdco Surviving Corporation Common Shares")
will be issued and outstanding and owned by NEW UGI CORPORATION, a Pennsylvania
corporation ("Holdco"), and approximately 27,000,000 shares will be issued and
outstanding and owned by other holders ("Public Surviving Corporation Common
Shares"), (ii) 2,000,000 shares of Series Preference Stock, without par value
("UGI Preference Stock"), of which at the Effective Time no shares will be
issued and outstanding, and (iii) 2,000,000 shares of Series Preferred Stock,
without par value ("UGI Preferred Stock"), of which at the Effective Time
approximately 360,687 shares will be issued and outstanding (the UGI Preference
Stock and the UGI Preferred Stock being referred to herein collectively as the
"UGI Senior Stock").
B. UGI Transition Corporation (the "Merging Corporation") will, at the
Effective Time, be a Pennsylvania corporation authorized to issue 1,000 shares
of Common Stock, without par value ("Merging Corporation Common Stock"), all of
which will be issued and outstanding and owned by Holdco.
C. Holdco will, at the Effective Time, be a Pennsylvania corporation
authorized to issue 100,000,000 shares of Common Stock, without par value
("Holdco Common Stock"), of which one such share will be issued and outstanding
and owned by UGI Development Company, a Pennsylvania corporation, 1,000 shares
of Restructuring Stock, without par value, none of which will be issued,
5,000,000 shares of Series Preference Stock, without par value, none of which
will be issued, and 5,000,000 shares of Series Preferred Stock, without par
value, none of which will be issued.
D. Holdco, as sole shareholder of the Merging Corporation will, prior to
February 1, 1992, have adopted resolutions approving this Plan of Merger (the
"Plan") in accordance with the Pennsylvania Business Corporation Law of 1988
(the "BCL").
E. The Board of Directors of the Surviving Corporation has adopted
resolutions approving this Plan in accordance with the BCL and directing that it
be submitted to the shareholders of the Surviving Corporation entitled to vote
thereon for adoption.
A-1
ARTICLE I
THE MERGER
1.01. The Merger. The Merging Corporation and the Surviving Corporation
shall effect a merger (the "Merger") in accordance with and subject to the terms
and conditions of the Plan. At the Effective Time (as defined in Section 1.02
hereof), the Merging Corporation shall be merged with and into the Surviving
Corporation, which shall be the surviving corporation of the Merger, and the
separate existence of the Merging Corporation shall cease, all with the effect
provided in BCL Section 1929.
1.02. Effectiveness. As soon as practicable after all requisite
shareholder and other approvals have been obtained, Articles of Merger embodying
the Plan (the "Articles of Merger"), and such other documents and instruments as
are required by, and complying in all respects with, the BCL shall be delivered
to the Department of State of the Commonwealth of Pennsylvania for filing. The
Merger shall become effective at the time (the "Effective Time") set forth in
the Articles of Merger.
1.03. UGI Common Stock. Each share of UGI Common Stock outstanding
immediately prior to the Effective Time shall by reason of the Merger be
exchanged for or converted into one share of Holdco Common Stock and each share
of UGI Common Stock which was previously issued and outstanding but which was
subsequently reacquired by the Surviving Corporation and is then held in its
treasury shall by reason of the Merger be canceled.
1.04. UGI Common Stock Share Certificates. Each certificate which prior to
the Merger represented a share or shares of UGI Common Stock shall after the
Effective Time represent a corresponding share or shares of Holdco Common Stock,
and no exchange of certificates shall be required by the Merger. Any holder of
shares of Holdco Common Stock may, however, elect at any time or from time to
time to surrender any certificate formerly representing shares of UGI Common
Stock to any transfer agent for Holdco Common Stock and receive in exchange
therefor a certificate or certificates issued by Holdco for a like number of
shares of Holdco Common Stock.
1.05. UGI Senior Stock. Each share of UGI Senior Stock outstanding
immediately prior to the Effective Time shall be unaffected by the Merger except
shares of UGI Preferred Stock held by holders who dissent from this Plan under
applicable law.
1.06. Merging Corporation Common Stock. All shares of Merging Corporation
Common Stock outstanding immediately prior to the Effective Time shall by reason
of the Merger be exchanged for or converted into all Public Surviving
Corporation Common Shares and all Holdco Surviving Corporation Common Shares
then outstanding, with the effect that immediately after the Effective Time
Holdco shall be the owner of all issued and outstanding UGI Common Stock.
1.07. Articles of Incorporation. At the Effective Time the Articles of
Incorporation of the Surviving Corporation shall be amended by amending Article
I thereof to read in full as follows:
Article I. The name of the Corporation is: UGI UTILITIES, INC.
; and by adding a new Article VIII thereto to read in full as follows:
ARTICLE VIII. Action By Written Consent. Any action which may be taken at a
meeting of shareholders or of a class of shareholders may be taken without a
meeting if a consent or consents in writing to such action, setting forth the
action so taken, shall be signed by shareholder entitled to cast the minimum
number of votes that would be necessary to authorize the action at a meeting at
which all shareholders entitled to vote thereon were present and voting.
A-2
ARTICLE II
MISCELLANEOUS PROVISIONS
2.01. Amendment. Notwithstanding shareholder approval of this Plan, the
Plan may be amended, modified or supplemented by resolution of the boards of
directors of the Merging Corporation and the Surviving Corporation, at any time
on or before filing of Articles of Merger embodying the Plan in the Department
of State of the Commonwealth of Pennsylvania, if permitted by 15 Pa.C.S. Section
1922(b) (relating to post-adoption amendment).
2.02. Termination. Notwithstanding shareholder approval of this Plan, the
Plan may be terminated at any time on or before the Effective Time by resolution
of the board of directors of the Surviving Corporation, if the board of
directors determines that the consummation of the Plan would for any reason be
inadvisable or not in the best interests of the Surviving Corporation or its
shareholders, employees, suppliers, customers and creditors.
A-3
Microfilm Number Filed with the Department of State on SEP 22 1994
-----
Entity Number 369114 /s/ Robert M. Grant
-------- -----------------------------------
Secretary of the Commonwealth
STATEMENT WITH RESPECT TO SHARES-DOMESTIC BUSINESS CORPORATION
DSCB:15-1522 (Rev 91)
In compliance with the requirements of 15 Pa.C.S. Section 1522(b) (relating
to statement with respect to shares), the undersigned corporation, desiring to
state the designation and voting rights, preferences, limitations, and special
rights, if any, of a class or series of its shares, hereby states that:
1. The name of the corporation is: UGI Utilities, Inc.
--------------------------------------
----------------------------------------------------------------------
2. (CHECK AND COMPLETE ONE OF THE FOLLOWING):
The resolution amending the Articles under 15 Pa.C.S. Section
---- 1522(b) (relating to divisions and determination by the board), set
forth in full, is as follows:
x The resolution amending the Articles under 15 Pa.C.S. Section 1522(b)
---- is set forth in full in Exhibit A attached hereto and made a part
hereof.
3. The aggregate number of shares of such class or series established and
designated by (a) such resolution, (b) all prior statements, if any, filed
under 15 Pa.C.S. Section 1522 or corresponding provisions of prior law with
respect thereto, and (c) any other provision of the Articles is 200,000
shares.
4. The resolution was adopted by the Board of Directors or an authorized
committee thereof on: September 20, 1994
5. (CHECK, AND IF APPROPRIATE COMPLETE, ONE OF THE FOLLOWING):
x The resolution shall be effective upon the filing of this statement
---- with respect to shares in the Department of State.
---- The resolution shall be effective on: at .
---------- ---------
Date Hour
IN TESTIMONY, WHEREOF, the undersigned corporation has caused this
statement to be signed by a duly authorized officer thereof this 20 day of
September, 1994.
UGI Utilities, Inc.
-----------------------------------
(Name of Corporation)
BY: /s/ William M. Graff
-------------------------------
(Signature)
WILLIAM M. GRAFF
TITLE: Vice President and Treasurer
----------------------------
EXHIBIT A
RESOLUTIONS ADOPTED BY THE
EXECUTIVE/NOMINATING COMMITTEE OF THE
BOARD OF DIRECTORS OF UGI UTILITIES, INC.
ON SEPTEMBER 20, 1994 ESTABLISHING THE TERMS OF
THE SHARES OF SERIES PREFERRED STOCK, $7.75 SERIES
RESOLVED, that pursuant to the authority granted to and vested in the Board
of Directors of the Corporation by the provisions of the Amended and Restated
Articles of Incorporation of the Corporation, the Board of Directors hereby
establishes 200,000 shares of the Series Preferred Stock, without par value, as
a series of such Series Preferred Stock which shall be designated as Series
Preferred Stock, $7.75 Series (hereinafter called the "Seventh Series").
RESOLVED, that the voting rights, designations, preferences,
qualifications, privileges, limitations, options, conversion rights and other
special rights of the Seventh Series (in addition to the voting rights,
designations, preferences, qualifications, privileges, limitations, options,
conversion rights and other special rights set forth in the resolution of the
Board of Directors establishing the terms of the class of Series Preferred
Stock, which are applicable to the Series Preferred Stock of all series,
hereinafter called "General Terms of the Series Preferred Stock") shall be as
follows:
1. Dividends. The dividend rate of the shares of the Seventh Series shall be
$7.75 per share per annum. The initial dividend with respect to the Seventh
Series shall be payable on January 1, 1995. Dividends on all shares of the
Seventh Series shall be cumulative from the date of initial issue of such
shares. The amount of dividends payable for the initial dividend period or any
period shorter than a full dividend period shall be computed on the basis of a
360-day year of twelve 30-day months and the actual number of days which have
elapsed in such period.
2. Redemptions.
(a) Optional Redemption. The shares of the Seventh Series may be redeemed by the
Corporation in whole or in part at any time on or after October 1, 2004 at a
price of $100.00 per share, plus an amount equal to Full Cumulative Dividends
thereon (as provided in the General Terms of the Series Preferred Stock) to the
date of redemption.
(b) Mandatory Redemption. For so long as any shares of the Seventh Series are
outstanding, the Corporation shall redeem on October 1, 2004 and on October 1 of
each year thereafter until all such shares have been redeemed, 10,000 shares of
the Seventh Series (or if less than 10,000 shares are outstanding, the number of
shares outstanding) at a price of $100 per share, plus an amount equal to Full
Cumulative Dividends thereon (as provided in the General Terms of the Series
Preferred Stock) to the date of redemption. At its option, the Corporation may
redeem through the operation of this Section 2(b) on October 1 in each such year
not more than 10,000 additional shares on the same terms. The
right to redeem such additional shares shall not be cumulative and shall not
reduce the redemption obligations under this Section 2(b) in any subsequent
year.
The Corporation's mandatory redemption obligation under this Section 2(b) shall
be cumulative, so that if in any year the full number of shares required to be
redeemed for such year (including any number of shares carried over from any
preceding year) is not so redeemed for any reason, the deficiency shall be added
to the mandatory redemption obligation for the following year. The number of
shares scheduled to be redeemed on any redemption date may be reduced, at the
option of the Corporation, by crediting for such purposes shares of the Seventh
Series purchased, redeemed or acquired otherwise than through the operation of
this Section 2(b).
The Corporation shall redeem on October 1, 2009 all outstanding shares of the
Seventh Series at a price of $100 per share, plus an amount equal to Full
Cumulative Dividends thereon (as provided in the General Terms of the Series
Preferred Stock).
(c) General Provisions. If less than all of the outstanding shares of the
Seventh Series are to be redeemed, the shares of the Seventh Series to be
redeemed will be selected by lot. Any shares of the Seventh Series that have
been redeemed may not be reissued as part of the Seventh Series.
3. Liquidation Rights. The amounts payable upon the shares of the Seventh Series
in the event of any liquidation, dissolution or winding up of the Corporation
shall be $100 per share plus an amount equal to Full Cumulative Dividends
thereon (as provided in the General Terms of the Series Preferred Stock) to the
date of final payment.
4. Other Provisions or Rights. Except as specifically provided in this
resolution, the shares of the Seventh Series shall not be entitled to the
benefit of any other special provisions or rights that might otherwise be
created for the Seventh Series in accordance with and in response to the terms
of Section 1 of the General Terms of the Series Preferred Stock.
5. Definitions. The terms defined in the General Terms of the Series Preferred
Stock shall have the same meaning in this resolution unless otherwise defined
herein.
2
ARTICLES OF MERGER
merging
UGI PRODUCTIONS, INC.
(a Pennsylvania corporation)
with and into
UGI UTILITIES, INC.
(a Pennsylvania corporation)
Filed in the Department of
State on MAY 14, 1996
/s/
-----------------------------
Secretary of the Commonwealth
Pursuant to the provisions of the Pennsylvania Business Corporation Law of
1988 (the "PBCL"), the undersigned domestic corporations hereby execute these
Articles of Merger (the "Articles") for the purpose of merging (the "Merger")
UGI Productions, Inc., a Pennsylvania corporation ("UGI Productions"), with and
into UGI Utilities, Inc., the sole shareholder and a corporation duly organized
and existing under the laws of the Commonwealth of Pennsylvania ("UGI
Utilities"), the provisions of which permit a merger in the manner provided by
the PBCL.
1. The name and place of incorporation of the surviving parent
corporation of the Merger is as follows:
Name Place of Incorporation
---- ----------------------
UGI Utilities, Inc. Pennsylvania
2. The name and place of incorporation of the disappearing subsidiary
constituent corporation to the Merger is as follows:
Name Place of Incorporation
---- ----------------------
UGI Productions, Inc. Pennsylvania
3. Pursuant to the PBCL, a plan of merger relating to the Merger (the
"Plan of Merger") has been authorized, approved and adopted by the Board of
Directors of UGI Utilities.
4. Pursuant to the PBCL, approval of the Plan of Merger by the Board of
Directors of UGI Productions, its sole shareholder and the shareholders of UGI
Utilities was not required.
5. The entire Plan of Merger is attached hereto as Exhibit A.
6. The registered office of UGI Utilities is 460 North Gulph Road, King
of Prussia, Pennsylvania 19406 Attn: Law Department.
MAY 14 96
PA Dept. of State
7. The mailing address for service of process for UGI Productions is c/o
UGI Utilities, Inc., 460 North Gulph Road, King of Prussia, Pennsylvania 19406
Attn: Law Department.
8. The Merger shall be effective upon the filing of these Articles with
the Secretary of State of the Commonwealth of Pennsylvania.
Executed at King of Prussia, Pennsylvania, on May 3, 1996.
UGI UTILITIES, INC.
By: /s/ Richard L. Bunn
------------------------------
Name: Richard L. Bunn
Title: President
By: /s/ Barton D. Whitman
------------------------------
Name: Barton D. Whitman
Title: Secretary
COMMONWEALTH OF PENNSYLVANIA )
)
COUNTY OF MONTGOMERY )
This instrument was acknowledged before me on May 3, 1996 by Richard L.
Bunn, President and Barton D. Whitman, Secretary of UGI Utilities, Inc., a
Pennsylvania corporation.
[Seal] /s/ Jeanne Damico
------------------------------
Notary Public
--------------------------------------------
Notarial Seal
Jeanne Damico, Notary Public
Upper Merion Twp., Montgomery County
My Commission Expires June 10, 1996
--------------------------------------------
Member, Pennsylvania Association of Notaries
-2-
UGI PRODUCTIONS, INC.
By: /s/ Brendan P. Bovaird
---------------------------------
Name: Brendan P. Bovaird
Title: President
By: /s/ Robert W. Krick
---------------------------------
Name: Robert W. Krick
Title: Assistant Secretary
COMMONWEALTH OF PENNSYLVANIA )
)
COUNTY OF MONTGOMERY )
This instrument was acknowledged before me on May 3, 1996 by Brendan P.
Bovaird, President and Robert W. Krick, Assistant Secretary of UGI Productions,
Inc., a Pennsylvania corporation.
[Seal] /s/ Jeanne Damico
----------------------------------
Notary Public
--------------------------------------------
Notarial Seal
Jeanne Damico, Notary Public
Upper Merion Twp., Montgomery County
My Commission Expires June 10, 1996
--------------------------------------------
Member, Pennsylvania Association of Notaries
-3-
Exhibit A
PLAN OF MERGER
merging
UGI PRODUCTIONS, INC.
(a Pennsylvania corporation)
with and into
UGI UTILITIES, INC.
(a Pennsylvania corporation)
BACKGROUND
UGI Productions, Inc. ("UGI Productions") is a corporation organized and
existing under the laws of the Commonwealth of Pennsylvania, its Articles of
Incorporation having been filed thereunder on July 29, 1994.
UGI Utilities, Inc. ("UGI Utilities") is a corporation organized and
existing under the laws of the Commonwealth of Pennsylvania, its Articles of
Incorporation having been filed thereunder on August 4, 1925.
The authorized capital stock of UGI Productions consists of 100 shares of
common stock (the "Common Stock") that are issued and outstanding and entitled
to vote.
All of the issued and outstanding shares of Common Stock are owned by UGI
Utilities.
The Board of Directors of UGI Utilities deems it advisable and in the best
interests of UGI Utilities and the Sole Shareholder that UGI Productions merge
with and into UGI Utilities pursuant to this Plan of Merger and the applicable
provisions of the laws of the Commonwealth of Pennsylvania and have, by
resolution, duly adopted, authorized, approved and adopted this Plan of Merger.
The terms and conditions of such merger, the mode of carrying the same into
effect, the manner of converting the shares of Common Stock and such other
details and provisions as UGI Utilities deems necessary or desirable are set
forth below.
1. The Merger. At the Effective Time (as defined in Section 2), UGI
Productions shall be merged with and into UGI Utilities (the "Merger"). As a
result of the Merger, the separate corporate existence of UGI Productions
shall cease and UGI Utilities shall continue as the surviving corporation.
At the Effective Time, the effect of the Merger shall be as provided in the
applicable provisions of the Pennsylvania Business Corporation Law of 1988,
as amended (the "Pennsylvania Law"). Without
limiting the generality of the foregoing, and subject thereto, at the
Effective Time, except as otherwise provided herein, all the property,
rights, privileges, powers and franchises of UGI Productions shall vest in
UGI Utilities, and all debts, liabilities and duties of UGI Productions
shall become the debts, liabilities and duties of UGI Utilities, and UGI
Utilities hereby assumes such debts, liabilities and duties of UGI
Productions.
2. Effective Time. As used in this Plan of Merger, the term "Effective
Time" shall mean the date and time at which UGI Utilities shall duly file a copy
of this Plan of Merger and the articles of merger with the Secretary of State of
the Commonwealth of Pennsylvania, in accordance with Pennsylvania Law, and the
Merger shall become effective.
3. Status and Conversion of Shares of Common Stock of UGI Productions.
At the Effective Time, each share of Common Stock issued and outstanding
immediately prior to the Effective Time shall, by virtue of the Merger and
without any action on the part of the holder thereof, be cancelled and cease to
exist.
4. Termination. This Plan of Merger shall be terminated without further
action by UGI Utilities in the event that the Board of Directors of UGI
Utilities, or any of its officers thereunto duly authorized, so approve such
termination in writing, and in such event this Plan of Merger shall have no
further force or effect and there shall be no liability on the part of UGI
Utilities except to the extent otherwise provided herein.
5. Waiver of Notice. UGI Utilities hereby waives any and all notice in
connection hereof, including, without limitation, the mailing requirement under
Pennsylvania Law.
6. Available Copies of the Plan of Merger. UGI Utilities shall maintain
this Plan of Merger on file at its principal place of business. The address of
the principal place of business and the registered office of UGI Utilities in
the Commonwealth of Pennsylvania is 460 North Gulph Road, King of Prussia,
Pennsylvania 19406. UGI Utilities shall furnish a copy of this Plan of Merger,
on request and without cost, to any shareholder of UGI Utilities.
-2-
Microfilm Number 200033-1439 Filed with the Department of State on APR 27 2000
----------- -----------
Entity Number 369114 /s/ Kim Pizzingrilli
------------- -----------------------------
Secretary of the Commonwealth
ARTICLES OF AMENDMENT-DOMESTIC BUSINESS CORPORATION
DSCB 15-1915 (Rev 90)
In compliance with the requirements of 15 Pa.C.S. (Section) 1915 (relating to
articles of amendment), the undersigned business corporation, desiring to amend
its Articles, hereby states that:
1. The name of the corporation is: UGI Utilities, Inc.
-------------------
-------------------------------------------------------------------------------
2. The (a) address of this corporation's current registered office in this
Commonwealth or (b) name of its commercial registered office provider and the
county of venue is (the Department is hereby authorized to correct the
following information to conform to the records of the Department):
(a) Box 858 Route 363 Irwin Building Valley Forge, PA 19482 Montgomery
-------------------------------------------------------------------------
Number and Street City State Zip County
(b) c/o:---------------------------------------------------------------------
Name of Commercial Registered Office Provider County
For a corporation represented by a commercial registered office provider, the
county in (b) shall be deemed the county in which the corporation is located for
venue and official publication purposes.
3. The statute by or under which it was incorporated is: P.L. 408
--------
4. The date of its incorporation is: 8/4/25
---------
5. (Check, and if appropriate complete, one of the following):
X The amendment shall be effective upon filing these Articles of Amendment
--- in the Department of State.
The amendment shall be effective on: at
--- ----- --------- ------ ------
Date Hour
6. (Check one of the following):
X The amendment was adopted by the shareholders (or members) pursuant to
--- 15 Pa.C.S. (Section) 1914(a) and (b).
The amendment was adopted by the board of directors pursuant to
--- 15 Pa.C.S. (Section) 1914(c).
7. (Check, and if appropriate complete, one of the following):
X The amendment adopted by the corporation, set forth in full, is as
--- follows:
"Resolved, the amendment to the Articles of Incorporation of UGI
Utilities, Inc. to change its registered address to 100 Kachel
Boulevard, Suite 400 Green Hills Corporate Center Reading, PA 19607 is
approved."
The amendment adopted by the corporation is set forth in full in
--- Exhibit A attached hereto and made a part hereof.
8. (Check if the amendment restates the Articles):
The restated Articles of Incorporation supersede the original Articles
--- and all amendments thereto.
IN TESTIMONY WHEREOF, the undersigned corporation has caused these Articles
of Amendment to be signed by a duly authorized officer thereof this 20th day of
April, 2000.
UGI Utilities, Inc.
----------------------------------
(Name of Corporation)
BY: /s/ Thomas M. Jackal
-----------------------------------
(Signature)
TITLE: Vice President - Law
-----------------------------
Associate General Counsel
PA DEPT OF STATE
APR 27 2000
DSCB 15-1915 (Rev 90) 2 200033-1440
EX-5
4
dex5.txt
OPINION OF MORGAN, LEWIS & BOCKIUS, LLP
Exhibit 5
October 30, 2001
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Registration Statement on Form S-3 for Debt Securities to be Offered
Pursuant to Rule 415
Ladies and Gentlemen:
We have acted as counsel to UGI Utilities, Inc., a Pennsylvania corporation
(the "Company"), in connection with the preparation and filing with the
Securities and Exchange Commission ("Commission") of a Registration Statement
(the "Registration Statement") under the Securities Act of 1933, as amended
("Securities Act"), relating to the issuance and sale from time to time by the
Company of up to $123,000,000 aggregate principal amount of debt securities
("Debt Securities"), each series of which will be offered on terms to be
determined at the time of sale.
In rendering the opinion set forth below, we have examined the Registration
Statement and the exhibits thereto, the Indenture dated as of August 1, 1993,
between the Company and First Union National Bank, formerly known as First
Fidelity Bank, National Association, as trustee (the "Indenture"), the corporate
records and documents, statements and certificates of officers of the Company,
and have made such other and further investigations, as we have deemed relevant.
In such examination, we have assumed the genuineness of all signatures, the
legal capacity of natural persons, the authenticity of all documents submitted
to us as originals, and the conformity to original documents of all documents
submitted to us as certified or photostatic copies.
Based upon the foregoing, and subject to the qualifications and limitations
stated herein, we are of the opinion that, when (i) authorized by the Company in
accordance with the Indenture, (ii) executed and authenticated in accordance
with the Indenture and (iii) delivered as contemplated in the Registration
Statement and the Indenture against payment therefor, the Debt Securities
registered on the Registration Statement will constitute valid and legally
binding obligations of the Company, enforceable against the Company in
accordance with their terms.
Our opinion set forth above is subject to the effects of bankruptcy, insolvency,
fraudulent conveyance, reorganization, moratorium and other similar laws
relating to or affecting
creditors' rights generally, general equity principles (whether considered in a
proceeding in equity or at law) and an implied covenant of good faith and fair
dealing.
We hereby consent to the use of this opinion as an exhibit to the Registration
Statement and to the reference to our Firm under the caption "Legal Opinion" in
the prospectus which forms a part of the Registration Statement. In giving such
consent, we do not thereby admit that we are acting within the category of
persons whose consent is required under Section 7 of the Securities Act and the
rules and regulations of the Commission thereunder.
Sincerely,
Morgan, Lewis & Bockius LLP
EX-12
5
dex12.txt
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Exhibit 12
UGI UTILITIES INC. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Thousands of dollars)
Nine Nine
Months Months
Ended Ended
June 30, June 30, Year Ended September 30,
-----------------------------------------------------
2001 2000 2000 1999 1998 1997 1996
--------- --------- --------- --------- --------- --------- ---------
Earnings:
Earnings before income taxes $ 78,188 $ 81,346 $ 82,882 $ 63,139 $ 57,007 $ 63,275 $ 61,717
Interest expense 14,333 13.598 18,135 17,317 17,383 16,696 15.921
Amortization of debt discount and expense 187 157 218 215 200 176 173
Interest component of rental expense 979 990 1,318 1,539 1,624 1,887 1,838
--------- --------- --------- --------- --------- --------- ---------
$ 93,687 $ 96,091 $ 102,553 $ 82,210 $ 76,214 $ 82,034 $ 79,649
========= ========= ========= ========= ========= ========= =========
Fixed Charges:
Interest expense $ 14,333 $ 13,598 $ 18,135 $ 17,317 $ 17,383 $ 16,696 $ 15,921
Amortization of debt discount and expense 187 157 218 215 200 176 173
Allowance for funds used during
construction (capitalized interest) 23 21 17 36 39 114 107
Interest component of rental expense 979 990 1,318 1,539 1,624 1,887 1,838
--------- --------- --------- --------- --------- --------- ---------
$ 15,522 $ 14,766 $ 19,688 $ 19,107 $ 19,246 $ 18,873 $ 18,039
========= ========= ========= ========= ========= ========= =========
Ratio of earnings to fixed charges 6.04 6.51 5.21 4.30 3.96 4.35 4.42
========= ========= ========= ========= ========= ========= =========
EX-23.(B)
6
dex23b.txt
CONSENT OF ARTHUR ANDERSEN, LLP
Exhibit 23(b)
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
To UGI Utilities, Inc.:
As independent public accountants, we hereby consent to the incorporation by
reference in this Registration Statement on Form S-3 of our report dated
November 10, 2000, included in UGI Utilities, Inc.'s Form 10-K for the fiscal
year ended September 30, 2000, and to all references to our Firm included in
this Registration Statement.
ARTHUR ANDERSEN LLP
Philadelphia, Pennsylvania
October 30, 2001
EX-25
7
dex25.txt
FORM T-1
Exhibit 25
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM T-1
STATEMENT OF ELIGIBILITY UNDER THE TRUST INDENTURE ACT OF 1939 OF A
CORPORATION DESIGNATED TO ACT AS TRUSTEE
CHECK IF AN APPLICATION TO DETERMINE ELIGIBILITY OF A TRUSTEE PURSUANT
TO SECTION 305(b)(2)
FIRST UNION NATIONAL BANK
(Exact Name of Trustee as Specified in its Charter)
22-1147033
(I.R.S. Employer Identification No.)
2 FIRST UNION CENTER, CHARLOTTE, NORTH CAROLINA
(Address of Principal Executive Offices)
28288-0201
(Zip Code)
FIRST UNION NATIONAL BANK
123 SOUTH BROAD STREET
PHILADELPHIA, PA 19109
ATTENTION: CORPORATE TRUST ADMINISTRATION
(215) 670-6300
(Name, address and telephone number of Agent for Service)
UGI UTILITIES, INC.
(Exact Name of Obligor as Specified in its Charter)
PENNSYLVANIA
State or other jurisdiction of Incorporation or Organization)
23-1174060
(I.R.S. Employer Identification No.)
100 KACHEL BOULEVARD, SUITE 400, GREEN HILL CORPORATE CENTER
READING PA
(Address of Principal Executive Offices)
19607
(Zip Code)
DEBT SECURITIES
(Title of Indenture Securities)
1. General information.
Furnish the following information as to the trustee:
a) Name and address of each examining or supervisory authority to which it is
subject:
Comptroller of the Currency
United States Department of the Treasury
Washington, D.C. 20219
Federal Reserve Bank
Richmond, Virginia 23219
Federal Deposit Insurance Corporation
Washington, D.C. 20429
b) Whether it is authorized to exercise corporate trust powers.
Yes.
2. Affiliations with obligor.
If the obligor is an affiliate of the trustee, describe each such
affiliation.
None.
3. Voting securities of the trustee.
Furnish the following information as to each class of voting securities of
the trustee:
Not applicable - see answer to Item 13.
4. Trusteeships under other indentures.
If the trustee is a trustee under another indenture under which any other
securities, or certificates of interest or participation in any other
securities, of the obligor are outstanding, furnish the following information:
Not applicable - see answer to Item 13.
5. Interlocking directorates and similar relationships with the obligor or
underwriters.
If the trustee or any of the directors or executive officers of the trustee
is a director, officer, partner, employee, appointee, or representative of the
obligor or of any underwriter for the obligor, identify each such person having
any such connection and state the nature of each such connection.
Not applicable - see answer to Item 13.
6. Voting securities of the trustee owned by the obligor or its
officials.
Furnish the following information as to the voting securities of the
trustee owned beneficially by the obligor and each director, partner, and
executive officer of the obligor:
Not applicable - see answer to Item 13.
7. Voting securities of the trustee owned by underwriters or their officials.
Furnish the following information as to the voting securities of the
trustee owned beneficially by each underwriter for the obligor and each
director, partner, and executive officer of each such underwriter:
Not applicable - see answer to Item 13.
8. Securities of the obligor owned or held by the trustee.
Furnish the following information as to securities of the obligor owned
beneficially or held as collateral security for obligations in default by the
trustee:
Not applicable - see answer to Item 13.
9. Securities of underwriters owned or held by the trustee.
If the trustee owns beneficially or holds as collateral security for
obligations in default any securities of an underwriter for the obligor, furnish
the following information as to each class of securities of such underwriter any
of which are so owned or held by the trustee:
Not applicable - see answer to Item 13.
10. Ownership or holdings by the trustee of voting securities of certain
affiliates or security holders of the obligor.
If the trustee owns beneficially or holds as collateral security for
obligations in default voting securities of a person who, to the knowledge of
the trustee (1) owns 10 percent or more of the voting stock of the obligor or
(2) is an affiliate, other than a subsidiary, of the obligor, furnish the
following information as to the voting securities of such person:
Not applicable - see answer to Item 13.
11. Ownership or holdings by the trustee of any securities of a person owning
50 percent or more of the voting securities of the obligor.
4
If the trustee owns beneficially or holds as collateral security for
obligations in default any securities of a person who, to the knowledge of the
trustee, owns 50 percent or more of the voting securities of the obligor,
furnish the following information as to each class of securities of such person
any of which are so owned or held by the trustee:
Not applicable - see answer to Item 13.
12. Indebtedness of the obligor to the trustee.
Except as noted in the instructions, if the obligor is indebted to the
trustee, furnish the following information:
Not applicable - see answer to Item 13.
13. Defaults by the obligor.
(a) State whether there is or has been a default with respect to the
securities under this indenture. Explain the nature of any such default.
None.
(b) If the trustee is a trustee under another indenture under which any
other securities, or certificates of interest or participation in any other
securities, of the obligor are outstanding, or is trustee for more than one
outstanding series of securities under the indenture, state whether there has
been a default under any such indenture or series, identify the indenture or
series affected, and explain the nature of any such default.
None
14. Affiliations with the underwriters.
If any underwriter is an affiliate of the trustee, describe each such
affiliation.
Not applicable - see answer to Item 13.
15. Foreign trustee.
Identify the order or rule pursuant to which the trustee is authorized to
act as sole trustee under indentures qualified or to be qualified under the Act.
Not applicable - trustee is a national banking association organized under
the laws of the United States.
16. List of Exhibits.
5
List below all exhibits filed as part of this statement of eligibility.
___ 1. Copy of Articles of Association of the trustee as now in effect.*
___ 2. Copy of the Certificate of the Comptroller of the Currency dated March
4, 1998, evidencing the authority of the trustee to transact business. **
___ 3. Copy of the Certification of Fiduciary Powers of the trustee by the
Office of the Comptroller of the Currency dated April 7, 1999.***
X 4. Copy of existing by-laws of the trustee.
---
___ 5. Copy of each indenture referred to in Item 4, if the obligor is in
default.
-Not Applicable.
X 6. Consent of the trustee required by Section 321(b) of the Act.
---
X 7. Copy of report of condition of the trustee at the close of business
---
on June 30, 2001, published pursuant to the requirements of its supervising
authority.
___ 8. Copy of any order pursuant to which the foreign trustee is authorized
to act as sole trustee under indentures qualified or to be qualified under
the Act.
-Not Applicable
___ 9. Consent to service of process required of foreign trustees pursuant to
Rule 10a-4 under the Act.
-Not Applicable
________________________
*Previously filed with the Securities and Exchange Commission on March
16, 1998 as an Exhibit to Form T-1 in connection with Registration Statement
Number 333-47985, ** and filed with the Securities and Exchange Commission on
July 15, 1998 as an Exhibit to Form T-1 in connection with Registration
Statement Number 333-59145, *** and filed with the Securities and Exchange
Commission on May 20, 1999 in connection with Registration Statement Number 333-
78927 and incorporated herein by reference.
NOTE
The trustee disclaims responsibility for the accuracy or completeness of
information contained in this Statement of Eligibility and Qualification not
known to the trustee and not obtainable by it through reasonable investigation
and as to which information it has obtained from the obligor and has had to rely
or will obtain from the principal underwriters and will have to rely.
6
SIGNATURE
Pursuant to the requirements of the Trust Indenture Act of 1939,the trustee,
First Union National Bank, a national banking association organized and existing
under the laws of the United States of America, has duly caused this Statement
of Eligibility and Qualification to be signed on its behalf by the undersigned,
thereunto duly authorized, all in the City of Philadelphia and the Commonwealth
of Pennsylvania, on the 29th day of October, 2001.
First Union National Bank
By: s/Alan G. Finn
---------------
Alan G. Finn
Vice President
7
EXHIBIT 4
BY-LAWS OF
FIRST UNION NATIONAL BANK
ARTICLE I
Meetings of Shareholders
------------------------
Section 1.1 Annual Meeting. The annual meeting of the shareholders for the
--------------------------
election of directors and for the transaction of such other business as may
properly come before the meeting shall be held on the third Tuesday of April in
each year, commencing with the year 1998, except that the Board of Directors
may, from time to time and upon passage of a resolution specifically setting
forth its reasons, set such other date for such meeting during the month of
April as the Board of Directors may deem necessary or appropriate; provided,
however, that if an annual meeting would otherwise fall on a legal holiday, then
such annual meeting shall be held on the second business day following such
legal holiday. The holders of a majority of the outstanding shares entitled to
vote which are represented at any meeting of the shareholders may choose persons
to act as Chairman and as Secretary of the meeting.
Section 1.2 Special Meetings. Except as otherwise specifically provided by
----------------------------
statute, special meetings of the shareholders may be called for any purpose at
any time by the Board of Directors or by any three or more shareholders owning,
in the aggregate, not less than ten percent of the stock of the Association.
Every such special meeting, unless otherwise provided by law, shall be called by
mailing, postage prepaid, not less than ten days prior to the date fixed for
such meeting, to each shareholder at his address appearing on the books of the
Association, a notice stating the purpose of the meeting.
Section 1.3 Nominations for Directors. Nominations for election to the
-------------------------------------
Board of Directors may be made by the Board of Directors or by any stockholder
of any outstanding class of capital stock of the bank entitled to vote for the
election of directors. Nominations, other than those made by or on behalf of
the existing management of the bank, shall be made in writing and shall be
delivered or mailed to the President of the Bank and to the Comptroller of the
Currency, Washington, D. C., not less than 14 days nor more than 50 days prior
to any meeting of stockholders called for the election of directors, provided
however, that if less than 21 days' notice of such meeting is given to
shareholders, such nomination shall be mailed or delivered to the President of
the Bank and to the Comptroller of the Currency not later than the close of
business on the seventh day following the day on which the notice of meeting was
mailed. Such notification shall contain the following information to the extent
known to the notifying shareholder: (a) the name and address of each proposed
nominee; (b) the principal occupation of each proposed nominee; (c) the total
number of shares of capital stock of the bank that will be voted for each
proposed nominee; (d) the name and residence address of the notifying
shareholder; and (e) the number of shares of capital stock of the bank owned by
the notifying shareholder. Nominations not made in accordance herewith may, in
his discretion, be disregarded by the chairman of the meeting, and upon his
instructions, the vote tellers may disregard all votes cast for each such
nominee.
Section 1.4 Judges of Election. The Board may at any time appoint from
------------------------------
among the shareholders three or more persons to serve as Judges of Election at
any meeting of shareholders;
8
to act as judges and tellers with respect to all votes by ballot at such meeting
and to file with the Secretary of the meeting a Certificate under their hands,
certifying the result thereof.
Section 1.5 Proxies. Shareholders may vote at any meeting of the
-------------------
shareholders by proxies duly authorized in writing, but no officer or employee
of this Association shall act as proxy. Proxies shall be valid only for one
meeting, to be specified therein, and any adjournments of such meeting. Proxies
shall be dated and shall be filed with the records of the meeting.
Section 1.6 Quorum. A majority of the outstanding capital stock,
------------------
represented in person or by proxy, shall constitute a quorum at any meeting of
shareholders, unless otherwise provided by law; but less than a quorum may
adjourn any meeting, from time to time, and the meeting may be held, as
adjourned, without further notice. A majority of the votes cast shall decide
every question or matter submitted to the shareholders at any meeting, unless
otherwise provided by law or by the Articles of Association.
ARTICLE II
Directors
---------
Section 2.1 Board of Directors. The Board of Directors (hereinafter
------------------------------
referred to as the "Board"), shall have power to manage and administer the
business and affairs of the Association. Except as expressly limited by law,
all corporate powers of the Association shall be vested in and may be exercised
by said Board.
Section 2.2 Number. The Board shall consist of not less than five nor more
------------------
than twenty-five directors, the exact number within such minimum and maximum
limits to be fixed and determined from time to time by resolution of a majority
of the full Board or by resolution of the shareholders at any meeting thereof;
provided, however, that a majority of the full Board of Directors may not
increase the number of directors to a number which, (1) exceeds by more than two
the number of directors last elected by shareholders where such number was
fifteen or less, and (2) to a number which exceeds by more than four the number
of directors last elected by shareholders where such number was sixteen or more,
but in no event shall the number of directors exceed twenty-five.
Section 2.3 Organization Meeting. The Secretary of the meeting upon
--------------------------------
receiving the certificate of the judges, of the result of any election, shall
notify the directors-elect of their election and of the time at which they are
required to meet at the Main Office of the Association for the purpose of
organizing the new Board and electing and appointing officers of the Association
for the succeeding year. Such meeting shall be held as soon thereafter as
practicable. If, at the time fixed for such meeting, there shall not be a
quorum present, the directors present may adjourn the meeting from time to time,
until a quorum is obtained.
Section 2.4 Regular Meetings. Regular meetings of the Board of Directors
----------------------------
shall be held at such place and time as may be designated by resolution of the
Board of Directors. Upon adoption of such resolution, no further notice of such
meeting dates or the places or times thereof shall be required. Upon the
failure of the Board of Directors to adopt such a resolution, regular meetings
of the Board of Directors shall be held, without notice, on the third Tuesday in
February, April, June, August, October and December, commencing with the year
1997, at the main office or at such other place and time as may be designated by
the Board of Directors. When any regular meeting of the Board would otherwise
fall on a holiday, the meeting shall be held on the next business day unless the
Board shall designate some other day.
9
Section 2.5 Special Meetings. Special meetings of the Board of Directors
----------------------------
may be called by the President of the Association, or at the request of three
(3) or more directors. Each member of the Board of Directors shall be given
notice stating the time and place, by telegram, letter, or in person, of each
such special meeting.
Section 2.6 Quorum. A majority of the directors shall constitute a quorum
------------------
at any meeting, except when otherwise provided by law; but a less number may
adjourn any meeting, from time to time, and the meeting may be held, as
adjourned, without further notice.
Section 2.7 Vacancies. When any vacancy occurs among the directors, the
---------------------
remaining members of the Board, in accordance with the laws of the United
States, may appoint a director to fill such vacancy at any regular meeting of
the Board, or at a special meeting called for that purpose.
Section 2.8 Advisory Boards. The Board of Directors may appoint Advisory
---------------------------
Boards for each of the states in which the Association conducts operations.
Each such Advisory Board shall consist of as many persons as the Board of
Directors may determine. The duties of each Advisory Board shall be to consult
and advise with the Board of Directors and senior officers of the Association in
such state with regard to the best interests of the Association and to perform
such other duties as the Board of Directors may lawfully delegate.
The senior officer in such state, or such officers as directed by such senior
officer, may appoint advisory boards for geographic regions within such state
and may consult with the State Advisory Boards prior to such appointments.
ARTICLE III
Committees of the Board
-----------------------
Section 3.1 The Board of Directors, by resolution adopted by a majority of
-----------
the number of directors fixed by these By-Laws, may designate two or more
directors to constitute an Executive Committee and other committees, each of
which, to the extent authorized by law and provided in such resolution, shall
have and may exercise all of the authority of the Board of Directors and the
management of the Association. The designation of any committee and the
delegation thereto of authority shall not operate to relieve the Board of
Directors, or any member thereof, of any responsibility or liability imposed
upon it or any member of the Board of Directors by law. The Board of Directors
reserves to itself alone the power to act on (1) dissolution, merger or
consolidation, or disposition of substantially all corporate property, (2)
designation of committees or filling vacancies on the Board of Directors or on a
committee of the Board (except as hereinafter provided), (3) adoption, amendment
or repeal of By-laws, (4) amendment or repeal of any resolution of the Board
which by its terms is not so amendable or repealable, and (5) declaration of
dividends, issuance of stock, or recommendations to stockholders of any action
requiring stockholder approval.
The Board of Directors or the Chairman of the Board of Directors of the
Association may change the membership of any committee at any time, fill
vacancies therein, discharge any committee or member thereof either with or
without cause at any time, and change at any time the authority and
responsibility of any such committee.
A majority of the members of any committee of the Board of Directors may
fix such committee's rules of procedure. All action by any committee shall be
reported to the Board of Directors at a meeting succeeding such action, except
such actions as the Board may not require
10
to be reported to it in the resolution creating any such committee. Any action
by any committee shall be subject to revision, alteration, and approval by the
Board of Directors, except to the extent otherwise provided in the resolution
creating such committee; provided, however, that no rights or acts of third
parties shall be affected by any such revision or alteration.
ARTICLE IV
Officers and Employees
----------------------
Section 4.1 Officers. The officers of the Association may be a Chairman of
--------------------
the Board, a Vice Chairman of the Board, one or more Chairmen or Vice Chairmen
(who shall not be required to be directors of the Association), a President, one
or more Vice Presidents, a Secretary, a Cashier or Treasurer, and such other
officers, including officers holding similar or equivalent titles to the above
in regions, divisions or functional units of the Association, as may be
appointed by the Board of Directors. The Chairman of the Board and the
President shall be members of the Board of Directors. Any two or more offices
may be held by one person, but no officer shall sign or execute any document in
more than one capacity.
Section 4.2 Election, Term of Office, and Qualification. Each officer
-------------------------------------------------------
shall be chosen by the Board of Directors and shall hold office until the annual
meeting of the Board of Directors held next after his election or until his
successor shall have been duly chosen and qualified, or until his death, or
until he shall resign, or shall have been disqualified, or shall have been
removed from office.
Section 4.2(a) Officers Acting as Assistant Secretary. Notwithstanding
-----------------------------------------------------
Section 1 of these By-laws, any Senior Vice President, Vice President, or
Assistant Vice President shall have, by virtue of his office, and by authority
of the By-laws, the authority from time to time to act as an Assistant Secretary
of the Bank, and to such extent, said officers are appointed to the office of
Assistant Secretary.
Section 4.3 Chief Executive Officer. The Board of Directors shall
-----------------------------------
designate one of its members to be the President of this Association, and the
officer so designated shall be an ex officio member of all committees of the
Association except the Examining Committee, and its Chief Executive Officer
unless some other officer is so designated by the Board of Directors.
Section 4.4 Duties of Officers. The duties of all officers shall be
------------------------------
prescribed by the Board of Directors. Nevertheless, the Board of Directors may
delegate to the Chief Executive Officer the authority to prescribe the duties of
other officers of the corporation not inconsistent with law, the charter, and
these By-laws, and to appoint other employees, prescribe their duties, and to
dismiss them. Notwithstanding such delegation of authority, any officer or
employee also may be dismissed at any time by the Board of Directors.
Section 4.5 Other Employees. The Board of Directors may appoint from time
---------------------------
to time such tellers, vault custodians, bookkeepers, and other clerks, agents,
and employees as it may deem advisable for the prompt and orderly transaction of
the business of the Association, define their duties, fix the salary to be paid
them, and dismiss them. Subject to the authority of the Board of Directors, the
Chief Executive Officer or any other officer of the Association authorized by
him, may appoint and dismiss all such tellers, vault custodians, bookkeepers and
other clerks, agents, and employees, prescribe their duties and the conditions
of their employment, and from time to time fix their compensation.
11
Section 4.6 Removal and Resignation. Any officer or employee of the
-----------------------------------
Association may be removed either with or without cause by the Board of
Directors. Any employee other than an officer elected by the Board of Directors
may be dismissed in accordance with the provisions of the preceding Section 4.5.
Any officer may resign at any time by giving written notice to the Board of
Directors or to the Chief Executive Officer of the Association. Any such
resignation shall become effective upon its being accepted by the Board of
Directors, or the Chief Executive Officer.
ARTICLE V
Fiduciary Powers
----------------
Section 5.1 Capital Management Group. There shall be an area of this
------------------------------------
Association known as the Capital Management Group which shall be responsible for
the exercise of the fiduciary powers of this Association. The Capital
Management Group shall consist of four service areas: Fiduciary Services, Retail
Services, Investments and Marketing. The Fiduciary Services unit shall consist
of personal trust, employee benefits, corporate trust and operations. The
General Office for the Fiduciary Services unit shall be located in Charlotte,
N.C., with additional Trust Offices in such locations as the Association shall
determine from time to time.
Section 5.2 Trust Officers. There shall be a General Trust Officer of this
--------------------------
Association whose duties shall be to manage, supervise and direct all the
activities of the Capital Management Group. Further, there shall be one or more
Senior Trust Officers designated to assist the General Trust Officer in the
performance of his duties. They shall do or cause to be done all things
necessary or proper in carrying out the business of the Capital Management Group
in accordance with provisions of applicable law and regulation.
Section 5.3 General Trust Committee. There shall be a General Trust
------------------------------------
Committee composed of not less than four (4) members of the Board of Directors
or officers of this Association who shall be appointed annually, or from time to
time, by the Board of Directors of this Association. Each member shall serve
until his successor is appointed. The Board of Directors or the Chairman of the
Board may change the membership of the General Trust Committee at any time, fill
any vacancies therein, or discharge any member thereof with or without cause at
any time. The General Trust Committee shall counsel and advise on all matters
relating to the business or affairs of the Capital Management Group and shall
adopt overall policies for the conduct of the business of the Capital Management
Group, including, but not limited to: general administration, investment
policies, new business development, and review for approval of major assignments
of functional responsibilities. The General Trust Committee shall appoint the
members of the following subcommittees: the Investment Policy Committee,
Personal Trust Administration Committee, Account Review Committee, and Corporate
and Institutional Accounts Committee. The General Trust Committee shall meet at
least quarterly or as called for by its Chairman or any three (3) members of the
Committee. A quorum shall consist of three (3) members. In carrying out its
responsibilities, the General Trust Committee shall review the fiduciary
activities of the Capital Management Group and may assign the administration and
performance of any fiduciary powers or duties to any officers or employees of
the Capital Management Group or to the Investment Policy Committee, Personal
Trust Administration Committee, Account Review Committee, or Corporate and
Institutional Accounts Committee, or other committees it may designate. One of
the methods to be used in the review process will be the scrutiny of the Reports
of Examination by the Office of the Comptroller of the Currency and the reports
of the Audit Division of First Union Corporation, as they relate to the
activities of the Capital Management Group. The Chairman of the General Trust
Committee
12
shall be appointed by the Chairman of the Board of Directors. The Chairman of
the General Trust Committee shall cause to be recorded in appropriate minutes
all actions taken by the Committee. The minutes shall be signed by its
Secretary, approved by its Chairman and submitted to the Board of Directors at
its next regularly scheduled meeting following a meeting of the General Trust
Committee. The Board of Directors retains responsibility for the proper exercise
of this Association's fiduciary powers.
Section 5.4 Investment Policy Committee. There shall be an Investment
----------------------------------------
Policy Committee composed of not less than seven (7) officers and/or employees
of this Association, who shall be appointed annually or from time to time by the
General Trust Committee. Each member shall serve until his or her successor is
appointed. Meetings shall be called by the Chairman or by any two (2) members
of the Committee. A quorum shall consist of five (5) members. The Investment
Policy Committee shall exercise such fiduciary powers and perform such duties as
may be assigned to it by the General Trust Committee. All actions taken by the
Investment Policy Committee shall be recorded in appropriate minutes, signed by
the Secretary thereof, approved by its Chairman, and submitted to the General
Trust Committee at its next ensuing regular meeting for its review and
approval."
Section 5.5 Personal Trust Administration Committee. There shall be a
----------------------------------------------------
Personal Trust Administration Committee composed of not less than five (5)
officers and/or employees of this Association, who shall be appointed annually
or from time to time by the General Trust Committee. Each member shall serve
until his or her successor is appointed. Meetings shall be called by the
Chairman or by any three (3) members of the Committee. A quorum shall consist
of three (3) members. The Personal Trust Administration Committee shall
exercise such fiduciary powers and perform such duties as may be assigned to it
by the General Trust Committee. All actions taken by the Personal Trust
Administration Committee shall be recorded in appropriate minutes, signed by the
Secretary thereof, approved by its Chairman, and submitted to the General Trust
Committee at its next ensuing regular meeting for its review and approval."
Section 5.6 Account Review Committee. There shall be an Account Review
-------------------------------------
Committee composed of not less than four (4) officers and/or employees of this
Association, who shall be appointed annually or from time to time by the General
Trust Committee. Each member shall serve until his or her successor is
appointed. Meetings shall be called by the Chairman or by any two (2) members
of the Committee. A quorum shall consist of three (3) members. The Account
Review Committee shall exercise such fiduciary powers and perform such duties as
may be assigned to it by the General Trust Committee. All actions taken by the
Account Review Committee shall be recorded in appropriate minutes, signed by the
Secretary thereof, approved by its Chairman, and submitted to the General Trust
Committee at its next ensuing regular meeting for its review and approval."
Section 5.7 Corporate and Institutional Accounts Committee. There shall be
-----------------------------------------------------------
a Corporate and Institutional Accounts Committee composed of not less than five
(5) officers and/or employees of this Association, who shall be appointed
annually or from time to time by the General Trust Committee. Each member shall
serve until his or her successor is appointed. Meetings shall be called by the
Chairman or by any two (2) members of the Committee. A quorum shall consist of
three (3) members. The Corporate and Institutional Accounts Committee shall
exercise such fiduciary powers and perform such duties as may be assigned to it
by the General Trust Committee. All actions taken by the Corporate and
Institutional Accounts Committee shall be recorded in appropriate minutes,
signed by the Secretary thereof, approved by its Chairman, and submitted to the
General Trust Committee at its next ensuing regular meeting for its review and
approval."
13
ARTICLE VI
Stock and Stock Certificates
----------------------------
Section 6.1 Transfers. Shares of stock shall be transferable on the books
---------------------
of the Association, and a transfer book shall be kept in which all transfers of
stock shall be recorded. Every person becoming a shareholder by such transfer
shall, in proportion to his shares, succeed to all rights and liabilities of the
prior holder of such shares.
Section 6.2 Stock Certificates. Certificates of stock shall bear the
------------------------------
signature of the Chairman, the Vice Chairman, the President, or a Vice President
(which may be engraved, printed, or impressed), and shall be signed manually or
by facsimile process by the Secretary, Assistant Secretary, Cashier, Assistant
Cashier, or any other officer appointed by the Board of Directors for that
purpose, to be known as an Authorized Officer, and the seal of the Association
shall be engraved thereon. Each certificate shall recite on its face that the
stock represented thereby is transferable only upon the books of the Association
properly endorsed.
ARTICLE VII
Corporate Seal
--------------
Section 7.1 The President, the Cashier, the Secretary, or any Assistant
-----------
Cashier, or Assistant Secretary, or other officer thereunto designated by the
Board of Directors shall have authority to affix the corporate seal to any
document requiring such seal, and to attest the same. Such seal shall be
substantially in the following form.
ARTICLE VIII
Miscellaneous Provisions
------------------------
Section 8.1 Fiscal Year. The fiscal year of the Association shall be the
-----------------------
calendar year.
Section 8.2 Execution of Instruments. All agreements, indentures,
------------------------------------
mortgages, deeds, conveyances, transfers, certificates, declarations, receipts,
discharges, releases, satisfactions, settlements, petitions, notices,
applications, schedules, accounts, affidavits, bonds, undertakings, proxies, and
other instruments or documents may be signed, executed, acknowledged, verified,
delivered or accepted in behalf of the Association by the Chairman of the Board,
the Vice Chairman of the Board, any Chairman or Vice Chairman, the President,
any Vice President or Assistant Vice President, the Secretary or any Assistant
Secretary, the Cashier or Treasurer or any Assistant Cashier or Assistant
Treasurer, or any officer holding similar or equivalent titles to the above in
any regions, divisions or functional units of the Association, or, if in
connection with the exercise of fiduciary powers of the Association, by any of
said officers or by any Trust Officer or Assistant Trust Officer (or equivalent
titles); provided, however, that where required, any such instrument shall be
attested by one of said officers other than the officer executing such
instrument. Any such instruments may also be executed, acknowledged, verified,
delivered or
14
accepted in behalf of the Association in such other manner and by such other
officers as the Board of Directors may from time to time direct. The provisions
of this Section 8.2 are supplementary to any other provision of these By-laws.
Section 8.3 Records. The Articles of Association, the By-laws, and the
-------------------
proceedings of all meetings of the shareholders, the Board of Directors,
standing committees of the Board, shall be recorded in appropriate minute books
provided for the purpose. The minutes of each meeting shall be signed by the
Secretary, Cashier, or other officer appointed to act as Secretary of the
meeting.
ARTICLE IX
By-laws
-------
Section 9.1 Inspection. A copy of the By-laws, with all amendments
----------------------
thereto, shall at all times be kept in a convenient place at the Head Office of
the Association, and shall be open for inspection to all shareholders, during
banking hours.
Section 9.2 Amendments. The By-laws may be amended, altered or repealed,
----------------------
at any regular or special meeting of the Board of Directors, by a vote of a
majority of the whole number of Directors.
15
Exhibit A
---------
First Union National Bank
Article X
Emergency By-laws
In the event of an emergency declared by the President of the United States
or the person performing his functions, the officers and employees of this
Association will continue to conduct the affairs of the Association under such
guidance from the directors or the Executive Committee as may be available
except as to matters which by statute require specific approval of the Board of
Directors and subject to conformance with any applicable governmental directives
during the emergency.
OFFICERS PRO TEMPORE AND DISASTER
Section 1. The surviving members of the Board of Directors or the
Executive Committee shall have the power, in the absence or disability of any
officer, or upon the refusal of any officer to act, to delegate and prescribe
such officer's powers and duties to any other officer, or to any director, for
the time being.
Section 2. In the event of a state of disaster of sufficient severity to
prevent the conduct and management of the affairs and business of this
Association by its directors and officers as contemplated by these By-laws, any
two or more available members of the then incumbent Executive Committee shall
constitute a quorum of that Committee for the full conduct and management of the
affairs and business of the Association in accordance with the provisions of
Article II of these By-laws; and in addition, such Committee shall be empowered
to exercise all of the powers reserved to the General Trust Committee under
Section 5.3 of Article V hereof. In the event of the unavail- ability, at such
time, of a minimum of two members of the then incumbent Executive Committee, any
three available directors shall constitute the Executive Committee for the full
conduct and management of the affairs and business of the Association in
accordance with the foregoing provisions of this section. This By-law shall be
subject to implementation by resolutions of the Board of Directors passed from
time to time for that purpose, and any provisions of these By-laws (other than
this section) and any resolutions which are contrary to the provisions of this
section or to the provisions of any such implementary resolutions shall be
suspended until it shall be determined by an interim Executive Committee acting
under this section that it shall be to the advantage of this Association to
resume the conduct and management of its affairs and business under all of the
other provisions of these By-laws.
Officer Succession
BE IT RESOLVED, that if consequent upon war or warlike damage or disaster,
the Chief Executive Officer of this Association cannot be located by the then
acting Head Officer or is unable to assume or to continue normal executive
duties, then the authority and duties of the Chief Executive Officer shall,
without further action of the Board of Directors, be automatically assumed by
one of the following persons in the order designated:
Chairman
16
President
Division Head/Area Administrator - Within this officer class, officers
shall take seniority on the basis of length of service in such office or,
in the event of equality, length of service as an officer of the
Association.
Any one of the above persons who in accordance with this resolution assumes
the authority and duties of the Chief Executive Officer shall continue to serve
until he resigns or until five-sixths of the other officers who are attached to
the then acting Head Office decide in writing he is unable to perform said
duties or until the elected Chief Executive Officer of this Association, or a
person higher on the above list, shall become available to perform the duties of
Chief Executive Officer of the Association.
BE IT FURTHER RESOLVED, that anyone dealing with this Association may
accept a certification by any three officers that a specified individual is
acting as Chief Executive Officer in accordance with this resolution; and that
anyone accepting such certification may continue to consider it in force until
notified in writing of a change, said notice of change to carry the signatures
of three officers of the Association.
Alternate Locations
The offices of the Association at which its business shall be
conducted shall be the main office thereof in each city which is designated
as a City Office (and branches, if any), and any other legally authorized
location which may be leased or acquired by this Association to carry on
its business. During an emergency resulting in any authorized place of
business of this Association being unable to function, the business
ordinarily conducted at such location shall be relocated elsewhere in
suitable quarters, in addition to or in lieu of the locations heretofore
mentioned, as may be designated by the Board of Directors or by the
Executive Committee or by such persons as are then, in accordance with
resolutions adopted from time to time by the Board of Directors dealing
with the exercise of authority in the time of such emergency, conducting
the affairs of this Association. Any temporarily relocated place of
business of this Association shall be returned to its legally authorized
location as soon as practicable and such temporary place of business shall
then be discontinued.
Acting Head Offices
BE IT RESOLVED, that in case of and provided because of war or warlike
damage or disaster, the General Office of this Association, located in
Charlotte, North Carolina, is unable temporarily to continue its functions,
the Raleigh office, located in Raleigh, North Carolina, shall automatically
and without further action of this Board of Directors, become the "Acting
Head Office of this Association";
BE IT FURTHER RESOLVED, that if by reason of said war or warlike
damage or disaster, both the General Office of this Association and the
said Raleigh Office of this Association are unable to carry on their
functions, then and in such case, the Asheville Office of this Association,
located in Asheville, North Carolina, shall, without further action of this
Board of Directors, become the "Acting Head Office of this Association";
and if neither the Raleigh Office nor the Asheville Office can carry on
their functions, then the Greensboro Office of this Association, located in
Greensboro, North Carolina, shall, without further action of this Board of
Directors, become the "Acting Head Office of this Association"; and if
neither the Raleigh Office, the Asheville Office, nor the Greensboro Office
can carry on their functions, then the Lumberton Office of this
17
Association, located in Lumberton, North Carolina, shall, without further
action of this Board of Directors, become the "Acting Head Office of this
Association". The Head Office shall resume its functions at its legally
authorized location as soon as practicable.
18
CONSENT OF THE TRUSTEE
Pursuant to the requirements of Section 321(b) of the Trust Indenture Act of
1939, and in connection with the proposed issue of UGI Utilities, Inc. Debt
Securities, First Union National Bank, hereby consents that reports of
examinations by Federal, State, Territorial or District authorities may be
furnished by such authorities to the Securities and Exchange Commission upon
request therefor.
FIRST UNION NATIONAL BANK
By: s/ Alan G. Finn
---------------
Alan G. Finn
Vice President
Philadelphia, Pennsylvania
October 29, 2001
19
REPORT OF CONDITION EXHIBIT 7
Consolidating domestic and foreign subsidiaries of the First Union National
Bank, Charlotte, North Carolina, at the close of business on June 30, 2001
published in response to call made by Comptroller of the Currency, under title
12, United States Code, Section 161. Charter Number 22693 Comptroller of the
Currency.
Statement of Resources and Liabilities
ASSETS
Thousand of Dollars
-------------------
Cash and balance due from depository institutions:
Noninterest-bearing balances and currency and coin................. 9,537,000
Interest bearing balances.......................................... 1,509,000
Securities........................................................... /////////
Held-to-maturity securities........................................ 0
Available-for-sale securities...................................... 45,221,000
Federal funds sold and securities purchases to resell................ 6,315,000
Loans and lease financing receivables:
Loans and leases held for sale..................................... 6,148,000
Loans and leases, net of unearned income........................... 122,125,000
LESS: Allowance for loan and lease losses.......................... 1,740,000
LESS: Allocated transfer risk reserve.............................. 0
Loans and leases, net of unearned income, allowance, and reserve... 120,385,000
Trading assets....................................................... 19,000,000
Premises and fixed assets (including capitalized leases)............. 2,742,000
Other real estate owned.............................................. 100,000
Investment in unconsolidated subsidiaries and associated //////////
companies............................................................ 316,000
Customer's liability to this bank on acceptances outstanding......... 856,000
Intangible assets:
Goodwill.......................................................... 2,329,000
Other intanible assets............................................ 344,000
Other assets...................................................... 12,844,000
Total assets......................................................... 227,646,000
LIABILITIES
Deposits:
In domestic offices............................................. 131,429,000
Noninterest-bearing........................................... 20,764,000
Interest-bearing.............................................. 110,665,000
In foreign offices, Edge and Agreement subsidiaries, and IBFs... 11,657,000
Noninterest-bearing........................................... 80,000
Interest-bearing.............................................. 11,577,000
Federal funds purchased and securities sold under agreements
to repurchase....................................................... 19,794,000
Trading liabilities.................................................. 11,908,000
Other borrowed money:................................................ 22,811,000
Not applicable....................................................... ////////
Bank's liability on acceptances executed and outstanding............. 859,000
Subordinated notes and debentures.................................... 5,993,000
Other liabilities.................................................... 6,513,000
Total liabilities.................................................... 210,964,000
Minority interest in consolidated subsidiaries....................... 964,000
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EQUITY CAPITAL
Perpetual preferred stock and related surplus........................ 161,000
Common Stock......................................................... 455,000
Surplus.............................................................. 13,309,000
Retained earnings.................................................... 1,877,000
Accumulated other comprehensive income............................... (84,000)
Total equity capital................................................. 15,718,000
Total liabilities and equity capital................................. 227,646,000
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