CHICAGO, Jan. 13 /PRNewswire-FirstCall/ -- Integrys Energy Group, Inc. (NYSE: TEG) today announced that an affiliate of its nonregulated subsidiary, Integrys Energy Services, Inc., has closed a transaction to sell two of its power generation companies that own generation assets in northern Maine and New Brunswick, Canada to Algonquin Power & Utilities Corp. (Algonquin). The sale represents approximately 75 megawatts (MW) of the affiliate's 329.2-MW fleet. In addition, Integrys Energy Services expects to close the sale of its associated sales and standard offer service contracts in northern Maine to Algonquin on February 1, 2010.
Integrys Energy Services' standard offer service and retail electric sales contracts in the Independent System Operator-New England (ISO-New England) including southern Maine are not included in this sale.
Financial terms of the transactions are not being disclosed, but the value to be realized is in line with Integrys Energy Group's recovered capital expectations. Collateral support requirements for these businesses are minimal.
"This transaction is another in a series of transactions that brings us closer to achieving the ultimate goals of the strategy that we set forth early in 2009, which is to reduce our capital investment and collateral support requirements for Integrys Energy Services," said Charles A. Schrock, President and Chief Executive Officer of Integrys Energy Group. "The terms of the sale of these power generation assets are in line with our expectations for the nonregulated segment strategy."
J.P. Morgan Securities acted as exclusive financial advisor to Integrys Energy Group and Thorndike Landing acted as lead advisor to Integrys Energy Services for this transaction.
This news release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. You can identify these statements by the fact that they do not relate strictly to historical or current facts and often include words such as "anticipate", "expect", "intend" and other similar words. Forward-looking statements are beyond the ability of Integrys Energy Group to control and, in many cases, Integrys Energy Group cannot predict what factors would cause actual results to differ materially from those indicated by forward-looking statements. Please see Integrys Energy Group's periodic reports filed with the Securities and Exchange Commission (including its 10-K and 10-Qs) for a listing of certain factors that could cause actual results to differ materially from those contained in forward-looking statements.
About Algonquin Power & Utilities Corp.
Through its distinct operating subsidiaries, Algonquin owns and operates a diversified portfolio of clean renewable electric generation and sustainable utility distribution businesses throughout North America. Algonquin's electric generation subsidiary includes 42 renewable energy facilities and 11 high efficiency thermal energy facilities representing more than 400 MW of installed capacity. Through its wholly owned subsidiary, Liberty Water Co., Algonquin provides regulated utility services to more than 70,000 customers across 18 water distribution and wastewater treatment utility systems. Pursuant to a previously announced agreement, Algonquin is committed to acquiring the California based regulated utility electric distribution and generation assets of NV Energy which serve approximately 47,000 retail electricity distribution customers. Algonquin and its operating subsidiaries deliver continuing growth through an expanding pipeline of greenfield and expansion renewable power and clean energy projects, organic growth within its regulated utilities and the aggressive pursuit of accretive acquisition opportunities. Algonquin's common shares and convertible debentures are traded on the Toronto Stock Exchange under the symbols AQN, AQN.DB, AQN.DB.A, and AQN.DB.B. Visit Algonquin Power & Utilities Corp. on the web at www.AlgonquinPower.com.
About Integrys Energy Group, Inc.
Integrys Energy Group is a diversified holding company with regulated utility operations operating through six wholly owned subsidiaries (Wisconsin Public Service Corporation, The Peoples Gas Light and Coke Company, North Shore Gas Company, Upper Peninsula Power Company, Michigan Gas Utilities Corporation, and Minnesota Energy Resources Corporation); nonregulated operations serving competitive energy markets through its wholly owned nonregulated subsidiary, Integrys Energy Services; and also a 34 percent equity ownership interest in American Transmission Company LLC (an electric transmission company operating in Wisconsin, Michigan, Minnesota and Illinois).
More information about Integrys Energy Group, Inc. is available online at www.integrysgroup.com.
SOURCE Integrys Energy Group, Inc.