Tuesday, April 13, 2010

RRI Energy (NYSE:RRI), Mirant Corp. (NYSE:MIR) Closing Deal

Mirant Corp. and RRI Energy Inc. Merger

The merger between RRI Energy (NYSE:RRI) and Mirant Corp. (NYSE:MIR) has generated a lot of interest, and the companies said the deal should close before the end of 2010.

After the deal is completed, Mirant Corp. and RRI Energy Inc. will become among the largest independent energy companies in the U.S.

Much of the impetus for making the deal was in relationship to controlling costs, at least over the short term.

As far as the benefits of making the deal for cost savings, it is estimated the combined company will cut costs by $150 million on an annual basis, while needing to spend about $125 million one time to bring it all together.

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