AltaLink Invests in Ensuring Peace of Mind for Albertans
CALGARY, ALBERTA–(March 7, 2008) –
NOT FOR DISSEMINATION IN THE UNITED STATES
With more than $215 million invested during the last 12 months, AltaLink, Alberta’s largest electric transmission company, has injected more than half a billion dollars in the last three years into the transmission system that supplies 85 per cent of Alberta’s population.
“Ensuring peace of mind for Albertans when they reach for the switch is what drives our commitment to provide an energy-efficient grid with open access to all sources of generation. AltaLink’s investment in the transmission system is about much more than new power lines and substations to keep the lights on,” said Scott Thon, AltaLink’s President and Chief Executive Officer.Highlights of AltaLink’s operations in 2007 included:
– Securing Band Council Resolutions from the Blood and Piikani First Nations and filing with the Alberta Utilities Commission (AUC) for a transmission line between Pincher Creek and Lethbridge, enabling the continued development of Alberta’s wind generated electricity industry;
– Connecting Alberta’s largest wind farm, the Taber Wind Power Project, to Alberta’s transmission system;
– Completing the construction of and commissioning two 500 kV substations in the Edmonton region to keep pace with strong growth;
– Completing the construction of and energizing the Watson Creek and Amelia substations, securing reliable supply for major Alberta industrial customers;
– Developing and implementing GREENJACKETTM (in conjunction with CANTEGATM), a first of its kind substation protection system which improves customer reliability by reducing bird and animal contacts; and
– Becoming a Legacy Builder with the Alberta 4-H by extending its sponsorship program through 2010.
“In 2007, whether it was through connecting Albertans to a new source of clean energy, finding ways for the grid to use less power, providing power to industry that drives Alberta’s economy or reaching groundbreaking agreements with two of Alberta’s First Nations, AltaLink continued its drive to develop innovative solutions to meet Alberta’s electricity needs,” said Mr. Thon.
AltaLink expects to move forward with the process of securing regulatory approvals for its Southwest 240 kV project in 2008. The Southwest 240 kV project provides the much-needed transmission capacity to allow planned wind generation facilities in southwest Alberta to connect to the market.
“2008 looks to be another year of much needed investment as Alberta continues to catch up on its transmission infrastructure.” Mr. Thon added, “The delayed expansion of the critical Calgary – Edmonton artery must be addressed this year to maintain the health of the grid and the energy market it supports.”
Today, AltaLink, L.P. also announced its financial results for the 2007 fiscal year.
AltaLink recorded net income for the year ended December 31, 2007 of $37.6 million compared to $35.6 million for the year ended December 31, 2006. Revenue for the year ended December 31, 2007 was $213.4 million, compared to $201.4 million for the year ended December 31, 2006.
The $12.0 million increase in revenues in 2007 compared to 2006 resulted primarily from the additional investment to increase reliability for Albertans and keep pace with economic growth, as well as an increase in miscellaneous revenue for maintenance and interconnection services.
Net income for the year ended December 31, 2007 is $2.0 million higher than 2006 primarily due to the increase in transmission tariff revenue, which is partially offset by increases in operating expenses, depreciation and interest expense.
The net income reported above is pre-tax, and is not directly comparable with net income reported by companies that recognize tax expense in their financial statements.
AltaLink’s full financial results and management’s discussion and analysis can be found on AltaLink’s website at www.altalink.ca or on SEDAR at www.sedar.com.
AltaLink, Canada’s only fully independent transmission provider, is responsible for the maintenance and operation of more than 11,600 kilometres of transmission lines and approximately 260 substations in Alberta. As Alberta’s largest supplier of safe and reliable transmission, AltaLink is moving forward to provide a transmission system that will continue to meet the growing needs of Albertans. AltaLink has been a proud supporter of Alberta 4-H since 2003, and as a Legacy Builder it is the title sponsor of all regional, district and provincial communications and public speaking programs.
This news release does not constitute an offer to sell or the solicitation of an offer to buy AltaLink’s securities in any jurisdiction, including but not limited to, the United States. AltaLink’s securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws and may not be offered or sold in the United States except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.
Except for the historical and present factual information contained herein, the matters set forth in this news release, including words such as “expects”, “projects”, “plans”, “anticipates” and similar expressions, are forward-looking information that represents management of AltaLink’s internal projections, expectations or beliefs concerning, among other things, future operating results and various components thereof or the economic performance of AltaLink. The projections, estimates and beliefs contained in such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause AltaLink’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, those described in AltaLink’s filings with the Canadian securities authorities. Accordingly, holders of AltaLink securities and potential investors are cautioned that events or circumstances could cause results to differ materially from those predicted. AltaLink disclaims any responsibility to update these forward-looking statements.
For more information, please contact
AltaLink Management Ltd. – Investor Relations
Vice President, Treasurer
AltaLink Management Ltd. – Media Relations
Manager, External Communications