JACKSON, Mich., April 28, 2011 /PRNewswire/ -- CMS Energy announced today reported net income of $135 million, or $0.52 per share, for the first quarter of 2011 compared to reported net income of $85 million, or $0.34 per share, for the same quarter of 2010.

The company's first quarter adjusted (non-Generally Accepted Accounting Principles) net income, which excludes the effects of legacy issues associated with previously sold assets and certain other items, was $133 million, or $0.51 per share, compared to $93 million, or $0.38 per share, for the same quarter in 2010.

The first quarter results reflect colder than normal winter temperatures that boosted natural gas and electric sales at the company's Michigan utility, Consumers Energy. Those sales increases partially were offset by costs the utility incurred in restoring service to electric customers after a series of unusually severe winter storms.

CMS Energy reaffirmed its guidance for 2011 adjusted earnings of $1.44 per share.  That's an increase of about 6 percent from 2010 adjusted earnings and is consistent with the company's long-term plan of 5 percent to 7 percent annual earnings growth.  While the company expects 2011 reported earnings to be about the same as its adjusted earnings, reported earnings could vary because of several factors, such as legacy issues associated with prior asset sales.  Because of those uncertainties, the company isn't providing reported earnings guidance.

John Russell, CMS Energy's president and chief executive officer, said the company is making substantial investments in renewable energy, environmental quality, energy efficiency and other areas to continue to provide customers with safe, reliable and affordable service. The company plans to invest more than $6 billion in its Consumers Energy operations through 2015, making it one of the largest investors in Michigan, he said.

"These investments create jobs and boost the state's economy. We're seeing encouraging signs that Michigan's economy is starting to rebound, primarily in increased electric sales to industrial customers," he said.

"We want to continue to provide a good energy value to customers, so as we're making these substantial investments, we're also aggressively managing costs.  We've made a number of changes recently that we expect to produce operational savings of about $100 million this year," Russell said. "Our customers will see the benefit from those savings in our rates. Our plan calls for holding our base rate increase levels to at or below the rate of inflation for the next five years."

He noted that Consumers Energy updated its renewable energy plan to reflect the latest market conditions in a recent Michigan Public Service Commission filing.  That updated plan reaffirms the company's commitment to meet the state's 10 percent renewable energy standard and, because of lower projected costs, calls for reducing the renewable energy surcharge on customer bills by about $55 million per year.

Consumers Energy already is the largest supplier of renewable energy in Michigan.  Today, 5 percent of the power that the utility supplies to its 1.8 million electric customers comes from renewable sources.

CMS Energy (NYSE: CMS) is a Michigan-based company that has an electric and natural gas utility, Consumers Energy, as its primary business and also owns and operates independent power generation businesses.

CMS Energy provides financial results on both a reported (Generally Accepted Accounting Principles) and adjusted (non-GAAP) basis. Management views adjusted earnings as a key measure of the company's present operating financial performance, unaffected by discontinued operations, asset sales, impairments, or other items detailed in the attached summary financial statements. Certain contingent obligations arising in connection with previously disposed assets or discontinued operations have the potential to impact, favorably or unfavorably, the company's reported earnings in 2011.

This news release contains "forward-looking statements" as defined in Rule 3b-6 of the Securities Exchange Act of 1934, as amended, Rule 175 of the Securities Act of 1933, as amended, and relevant legal decisions. The forward-looking statements are subject to risks and uncertainties. They should be read in conjunction with "FORWARD-LOOKING STATEMENTS AND INFORMATION" and "RISK FACTORS" sections of CMS Energy's Form 10-K and Consumers Energy's Form 10-K each for the Year Ended December 31, 2010.

CMS Energy's and Consumers Energy's "FORWARD-LOOKING STATEMENTS AND INFORMATION" and "RISK FACTORS" sections are incorporated herein by reference and discuss important factors that could cause CMS Energy's and Consumers Energy's results to differ materially from those anticipated in such statements.

For more information on CMS Energy, please visit our web site at:  www.cmsenergy.com

SOURCE CMS Energy