CALGARY, Oct. 25 /CNW/ - (TSX:FTS) - FortisAlberta Inc. today released
its 2007 third quarter results.
Increased customer demand, spurred by the strong growth in Alberta's
economy, and increased income tax recovery led to net earnings in the third
quarter of $14.6 million compared to net earnings of $12.3 million for the
same quarter in 2006. Earnings were partially offset by higher operating costs
due to economic pressures and higher interest expense.
Revenue was $69.7 million, $5.1 million higher than for the third quarter
in 2006. The increase was primarily due to higher distribution revenues
associated with customer growth.
"Meeting the needs of our customers and providing safe and reliable
electricity in a cost-effective manner continue to be the top priorities for
the company," says Karl Smith, President and CEO, FortisAlberta.
The company has invested approximately $157.9 million in capital projects
year-to-date. "A significant portion of this capital investment is driven by
customer demand for new connections. Capital investments reflect the rapid
growth in Alberta's economy and the need to meet customer requirements for a
reliable supply of electricity," adds Smith.
Among the projects completed during the third quarter, the company
constructed a new $1.5 million distribution line out of the recently built
Blackmud substation to support customer demand in the Leduc/Nisku area.
"Projects such as building new distribution lines at Christina Lake and
ongoing reinforcement work in the Bassano area have enhanced reliability by
offloading existing lines and expanding distribution load to support oil and
gas customers in these service areas," says Smith.
FortisAlberta is committed to the safety of its employees and the public.
During the quarter, FortisAlberta, through a partnership with other Alberta
utilities and the Government of Alberta, launched an electrical safety
campaign targeted at workers across Alberta in an effort to educate them about
the hazards of working near high-voltage lines.
For a full copy of FortisAlberta's financial statements, management
discussion and analysis and annual information form, please visit
www.fortisalberta.com and click on the Investor Centre.
FortisAlberta is an electric distribution company with approximately
442,800 customers and approximately 105,500 kilometres of power lines. It is a
wholly owned indirect subsidiary of Fortis Inc., the largest investor-owned
distribution utility in Canada, serving almost 2,000,000 gas and electric
customers with assets approaching $10 billion of assets. Its regulated
holdings include a natural gas utility in British Columbia and electric
utilities in five Canadian provinces and three Caribbean countries. Fortis
Inc. owns non-regulated hydroelectric generation assets across Canada and in
Belize and upper New York State. It also owns hotels and commercial real
estate in Canada. Fortis Inc. shares are listed on the Toronto Stock Exchange
and trade under the symbol FTS. Additional information can be accessed at
www.fortisinc.com or www.sedar.com.
FortisAlberta may include forward-looking statements in this release
which reflect management's expectations regarding the Company's future growth,
results of operations, performance, business prospects and opportunities.
Wherever possible, words such as "anticipate", "believe", "expects", "intend"
and similar expressions have been used to identify the forward-looking
statements. These statements reflect management's current beliefs and are
based on information currently available to the Company's management. By their
very nature, forward-looking statements are based on underlying factors or
assumptions which are subject to inherent risks and uncertainties surrounding
future expectations generally. Such risk factors or assumptions include, but
are not limited to, general economic, market and business conditions,
regulatory developments, weather and competition. FortisAlberta cautions
readers that a number of factors could cause actual results, performance or
FortisAlberta 320 - 17th Avenue SW Calgary, Alberta T2S 2V1 Phone: 514-4000
www.fortisalberta.com achievements to differ materially from the results
discussed or implied in the forward-looking statements. These factors should
be considered carefully and undue reliance should not be placed on the
forward-looking statements. For additional information with respect to certain
of these risks or factors, reference should be made to FortisAlberta
continuous disclosure materials filed from time to time with Canadian
Securities Regulatory Authorities. FortisAlberta disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.
For further information:
For further information: Investor Inquiries: Daniel Pigeon, Vice
President, Finance and Chief Financial Officer, FortisAlberta Inc., Tel: (403)
514-4438, www.fortisalberta.com, firstname.lastname@example.org; Media Inquiries:
Jennifer MacGowan, Manager, Corporate Communications, FortisAlberta Inc., Tel:
(403) 514-4079, www.fortisalberta.com, email@example.com