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Enbridge Reports Second Quarter Adjusted Earnings of $260 Million or $0.35 Per Common Share

CALGARY, ALBERTA — (Marketwire) — 08/05/11 — HIGHLIGHTS

(all financial figures are unaudited and in Canadian dollars)

Enbridge Inc. (TSX: ENB) (NYSE: ENB) – “During the second quarter we continued to run slightly ahead of our original expectations and the outlook for the full year is now trending toward the upper half of our adjusted earnings per share guidance range of $1.38 to $1.48,” said Patrick D. Daniel, President and Chief Executive Officer.

In June, the National Energy Board (NEB) approved the 10-year CTS agreement, which took effect on July 1, 2011. The CTS covers the local tolls to be charged for service on the Canadian portion of the mainline system as well as provides for an International Joint Tariff (IJT) for United States deliveries originating in Canada.

“We are pleased with the decision of the NEB and look forward to implementing this long-term agreement to the mutual benefit of Enbridge and our shippers,” said Mr. Daniel. “The CTS will provide a stable and competitive long-term toll for crude volumes received into the Canadian Mainline System and delivered to points both within Canada and the U.S. This agreement will enable us to continue to deliver reliable earnings and dividends with attractive returns under conservative throughput assumptions, further reinforcing our confidence in our ability to deliver a 10% average annual growth rate in earnings per share through the middle of this decade.

“The CTS will also facilitate market extensions that can be accessed from our mainline system through new or existing downstream pipelines,” said Mr. Daniel. “In fact, we have already found it to be a catalyst in advancing business development opportunities to extend our traditional market reach.”

Over the second quarter, Enbridge continued to advance a number of growth projects including existing Liquids Pipelines projects in the Oil Sands region. Construction is continuing on projects including the Christina Lake Lateral, Woodland Pipeline, Wood Buffalo Pipeline, and the Waupisoo Pipeline and Athabasca Pipeline expansion.

The regulatory review of the Northern Gateway Project also took a step forward in the second quarter with the release by the Joint Review Panel (JRP) of the Hearing Order setting out the schedule for the hearing process. “Northern Gateway will bring Canada–s energy resources to the growing economies of the Pacific basin, while delivering sustainable local and regional prosperity to northern BC and Alberta and national economic benefits for all Canadians,” said Mr. Daniel. “We–re pleased with the scope of the public hearings, which clearly meets the widely expressed desire for a full and open review of the Project.

The JRP will test the merits of our proposal and hold Enbridge to the highest standards. We have confidence that it will render a decision that is, and will be seen to be, in the best interests of Canada.”

In Gas Pipelines, Processing and Energy Services, Enbridge announced the acquisition by an affiliate of Aux Sable of the Stanley Condensate Recovery Plant and the Prairie Rose Pipeline, key assets located in the Bakken area. The Prairie Rose Pipeline connects the Stanley Gas Plant to the Alliance Pipeline, which delivers high energy content gas to Aux Sable–s Channahon, Illinois Plant for processing. Enbridge–s proportionate share of the $185 million acquisition reflected its 42.7% interest in Aux Sable.

“As we enter the latter half of 2011, Enbridge remains confident of sustained strong performance and steady growth across all of our business segments, enabling us to continue to deliver superior results to our shareholders,” concluded Mr. Daniel.

SECOND QUARTER 2011 OVERVIEW

For more information on Enbridge–s growth projects and operating results, please see the Management–s Discussion and Analysis (MD&A) which is filed on SEDAR and EDGAR and also available on the Company–s website at .

DIVIDEND DECLARATION

On August 4, 2011, the Enbridge Board of Directors declared quarterly dividends of $0.245 per common share on a post-split basis and $0.34375 per Series A Preferred Share. Both dividends are payable on September 1, 2011 to shareholders of record on August 15, 2011. On May 11, 2011, the Company–s shareholders approved a stock split with a record date of May 25, 2011.

CONFERENCE CALL

Enbridge will hold a conference call on Friday, August 5, 2011 at 9:00 a.m. Eastern time (7:00 a.m. Mountain time) to discuss the second quarter 2011 results. Analysts, members of the media and other interested parties can access the call at +617-597-5344 or toll-free at 1-866-383-8119 using the access code of 64733884. The call will be audio webcast live at . A webcast replay and podcast will be available approximately two hours after the conclusion of the event and a transcript will be posted to the website within 24 hours. The replay at toll-free 1-888-286-8010 or +617-801-6888 (access code 85834972) will be available until August 12, 2011.

The conference call will begin with a presentation by the Company–s Chief Executive Officer and Chief Financial Officer followed by a question and answer period for investment analysts. A question and answer period for members of the media will immediately follow.

The unaudited interim Consolidated Financial Statements and MD&A, which contain additional notes and disclosures, are available on the Enbridge website at .

Enbridge Inc., a Canadian company, is a North American leader in delivering energy and one of the Global 100 Most Sustainable Corporations. As a transporter of energy, Enbridge operates, in Canada and the U.S., the world–s longest crude oil and liquids transportation system. The Company also has a growing involvement in the natural gas transmission and midstream businesses, and is expanding its interests in renewable and green energy technologies including wind and solar energy, hybrid fuel cells and carbon dioxide sequestration. As a distributor of energy, Enbridge owns and operates Canada–s largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. Enbridge employs approximately 6,400 people, primarily in Canada and the U.S., and is ranked as one of Canada–s Greenest Employers and one of the Top 100 Companies to Work for in Canada. Enbridge–s common shares trade on the Toronto and New York stock exchanges under the symbol ENB. For more information, visit

Forward-Looking Information

Forward-looking information, or forward-looking statements, have been included in this news release to provide the Company–s shareholders and potential investors with information about the Company and its subsidiaries and affiliates, including management–s assessment of Enbridge–s and its subsidiaries– future plans and operations. This information may not be appropriate for other purposes. Forward-looking statements are typically identified by words such as “anticipate”, “expect”, “project”, “estimate”, “forecast”, “plan”, “intend”, “target”, “believe” and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information or statements included or incorporated by reference in this document include, but are not limited to, statements with respect to: expected earnings or adjusted earnings; expected earnings or adjusted earnings per share; expected costs related to projects under construction; expected in-service dates for projects under construction; expected capital expenditures; estimated future dividends; and expected costs related to leak remediation and potential insurance recoveries.

Although Enbridge believes that these forward-looking statements are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and readers are cautioned against placing undue reliance on forward-looking statements. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such statements. Material assumptions include assumptions about: the expected supply and demand for crude oil, natural gas and natural gas liquids; prices of crude oil, natural gas and natural gas liquids; expected exchange rates; inflation; interest rates; the availability and price of labour and pipeline construction materials; operational reliability; customer project approvals; maintenance of support and regulatory approvals for the Company–s projects; anticipated in-service dates; and weather. Assumptions regarding the expected supply and demand of crude oil, natural gas and natural gas liquids, and the prices of these commodities, are material to and underlie all forward-looking statements. These factors are relevant to all forward-looking statements as they may impact current and future levels of demand for the Company–s services. Similarly, exchange rates, inflation and interest rates impact the economies and business environments in which the Company operates, may impact levels of demand for the Company–s services and cost of inputs, and are therefore inherent in all forward-looking statements. Due to the interdependencies and correlation of these macroeconomic factors, the impact of any one assumption on a forward-looking statement cannot be determined with certainty, particularly with respect to expected earnings or adjusted earnings and associated per share amounts, or estimated future dividends. The most relevant assumptions associated with forward-looking statements on projects under construction, including estimated in-service dates, and expected capital expenditures include: the availability and price of labour and pipeline construction materials; the effects of inflation and foreign exchange rates on labour and material costs; the effects of interest rates on borrowing costs; and the impact of weather and customer and regulatory approvals on construction schedules.

Enbridge–s forward-looking statements are subject to risks and uncertainties pertaining to operating performance, regulatory parameters, project approval and support, weather, economic and competitive conditions, exchange rates, interest rates, commodity prices and supply and demand for commodities, including but not limited to those risks and uncertainties discussed in this news release and in the Company–s other filings with Canadian and United States securities regulators. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and Enbridge–s future course of action depends on management–s assessment of all information available at the relevant time. Except to the extent required by law, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made in this news release or otherwise, whether as a result of new information, future events or otherwise. All subsequent forward-looking statements, whether written or oral, attributable to Enbridge or persons acting on the Company–s behalf, are expressly qualified in their entirety by these cautionary statements.

Non-GAAP Measures

This news release contains references to adjusted earnings/(loss), which represent earnings or loss attributable to common shareholders adjusted for non-recurring or non-operating factors on both a consolidated and segmented basis. These factors are reconciled and discussed in the financial results sections for the affected business segments. Management believes that the presentation of adjusted earnings/(loss) provides useful information to investors and shareholders as it provides increased transparency and predictive value. Management uses adjusted earnings/(loss) to set targets, assess performance of the Company and set the Company–s dividend payout target. Adjusted earnings/(loss) and adjusted earnings/(loss) for each of the segments are not measures that have a standardized meaning prescribed by Canadian generally accepted accounting principles (Canadian GAAP) and are not considered GAAP measures; therefore, these measures may not be comparable with similar measures presented by other issuers.

Contacts:
Enbridge Inc.
Jennifer Varey
Media
(403) 508-6563 or Toll Free: 1-888-992-0997

Enbridge Inc.
Guy Jarvis
Investment Community
(403) 231-5719

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