AGL Resources Inc. today reported second quarter net income of $18 million, or $0.23 per basic and diluted share, compared to net income of $14 million, or $0.17 per basic and diluted share, reported for the same period last year. Excluding the effect of $0.10 per share of costs related to the proposed merger announced in December 2010 with Nicor Inc., the second quarter 2011 non-GAAP EPS was $0.33 per basic and diluted share.
“ We are pleased to announce another quarter of solid results. In addition to strong performance at our regulated utility businesses, our non-utility businesses are employing effective strategies to partially mitigate the effects of the current environment of low natural gas price volatility ,” said John W. Somerhalder II, AGL Resources Chairman, President and Chief Executive Officer . “ As we progress through the year, our top priorities remain consistent operations and closing our merger with Nicor. We have secured all major regulatory approvals with the exception of the Illinois Commerce Commission (ICC). The ICC review process is ongoing and we participated in hearings in mid-July. Our integration teams are working diligently to ensure that we are prepared on Day 1 to continue the efficient, safe and reliable service that AGL Resources and Nicor have historically provided to customers .”
Said Andrew W. Evans, AGL Resources Executive Vice President and Chief Financial Officer , “ In the second quarter, AGL Resources’ utility businesses achieved a ten percent increase in EBIT compared to last year. This performance is indicative of our culture of expense control coupled with ongoing investment in the safety and reliability of our distribution systems. Our unregulated businesses posted solid quarterly results as well: recognized commercial activity at Sequent strengthened year-to-year; SouthStar’s results were consistent with 2010 despite a highly competitive Georgia market; and we added new contracts at our storage facilities. ” Continued Evans, “ We also have made significant progress in our financing related to the Nicor merger. We are finalizing documentation with various institutional investors for a $275 million private placement transaction, and we now have lined-up about 50 percent of the financing requirements for the cash portion of the merger .”
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Source: AGL Resources, August 3, 2011;