Fortis Inc. · TSX:FTS
Fortis — Shareholder Meeting (May 2019)
29 slides from Fortis's shareholder meeting presentation, May 2, 2019
Slide 1: Welcome to the Fortis Annual Meeting
Welcome to the Fortis Annual Meeting May 2, 2019
Slide 2: Douglas Haughey, Chair of the Board
Douglas Haughey Chair of the Board
Slide 3: Barry Perry, President and Chief Executive Officer
Barry Perry President and Chief Executive Officer
Slide 4: Executive Team
EXECUTIVE TEAM Barry Perry Jim Laurito President and CEO EVP, Business Development Jocelyn Perry Phonse Delaney EVP, Chief Financial Officer EVP, Chief Information Officer Jim Reid Gary Smith EVP, Chief Legal Officer & EVP, Eastern Canadian & Caribbean Corporate Secretary Operations Nora Duke David
Slide 5: Fortis Operating Companies President & CEO Group
FORTIS OPERATING COMPANIES PRESIDENT & CEO GROUP Peter Alteen, Newfoundland Power Richard Hew, Caribbean Utilities Linda Apsey, ITC Holdings David Hutchens, UNS Energy Roger Dall’Antonia, FortisBC Mike Mosher, FortisAlberta Charlie Freni, Central Hudson Eddinton Powell, Fortis Turks and Caicos John
Slide 6: Forward Looking Information
FORWARD LOOKING INFORMATION Fortis includes "forward-looking information" in this presentation within the meaning of applicable Canadian securities laws and "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, collectively referred to as "forw
Slide 7: Our growth strategy creates long-term shareholder value
Our growth strategy creates long-term shareholder value
Slide 8: 2018 Capital Investment Program Largest to Date At $3.2 Billion
2018 Capital Investment Program Largest to Date At $3.2 Billion
Slide 9: Five-year Capital Investment Plan of $17.3 Billion
Five-year Capital Investment Plan of $17.3 Billion
Slide 10: A Geographically Diverse Energy Delivery Company That Is Nearly 100% Regulated
A Geographically Diverse Energy Delivery Company That Is Nearly 100% Regulated
Slide 11: 45 Years of Dividend Growth
45 YEARS OF DIVIDEND GROWTH ‘73 ‘18
Slide 12: Jocelyn Perry, Executive Vice President, Chief Financial Officer
Jocelyn Perry Executive Vice President Chief Financial Officer
Slide 13: Focused on Growing Your Company
FOCUSED ON GROWING YOUR COMPANY $1,066 M $2.51 $2.47 $1,027 M 12% 4% 12% 2% 2017 2018 2017 2018 ADJUSTED COMMON ADJUSTED EARNINGS (1) (1) EQUITY EARNINGS PER COMMON SHARE (1) Adjusted Common Equity Earnings and Adjusted Earnings Per Common Share are Non-US GAAP Financial Measures. A reconciliation t
Slide 14: Focused on Growing Your Company
FOCUSED ON GROWING YOUR COMPANY $316 M $0.74 $297 M 6% 6% $0.70 Q1 2018 Q1 2019 Q1 2018 Q1 2019 ADJUSTED COMMON ADJUSTED EARNINGS (1) EQUITY EARNINGS PER COMMON SHARE (1) (1) Adjusted Common Equity Earnings and Adjusted Earnings Per Common Share are Non-US GAAP Financial Measures. A reconciliation t
Slide 15: Rating Agencies Rank Fortis Business Risk Profile as Excellent/Strong
RATING AGENCIES RANK FORTIS 1 BUSINESS RISK PROFILE AS EXCELLENT/STRONG A- / BBB+ 2019-2023 Plan Supports 2 BBB (high) CFO/Debt ≥ 11% Improved Holdco Debt / Baa3 Total Debt 1 S&P ranks business risk profile as excellent and both DBRS and Moody’s ranks it as strong. 2 In March 2019, S&P affirmed the
Slide 16: Natural Gas Infrastructure Upgrades at FortisBC
Natural Gas Infrastructure Upgrades at FortisBC
Slide 17: Wataynikaneyap Power Achieves Significant Milestones
Wataynikaneyap Power Achieves Significant Milestones
Slide 18: Ensuring A Strong, Reliable Grid at ITC
Ensuring A Strong, Reliable Grid at ITC
Slide 19: Tucson Electric Power Poised to Meet Ambitious Renewable Energy Targets
Tucson Electric Power Poised to Meet Ambitious Renewable Energy Targets
Slide 20: Sustainability
SUSTAINABILITY
Slide 21: Focused on Executing the Five-Year Capital Investment Plan
FOCUSED ON EXECUTING THE FIVE-YEAR CAPITAL INVESTMENT PLAN $17.3 20% Increase Billion FIVE-YEAR CAPITAL INVESTMENT PLAN
Slide 22: Fortis Utilities Are Local Champions
Fortis Utilities Are Local Champions
Slide 23: Average Annualized Total Shareholder Returns
AVERAGE ANNUALIZED TOTAL SHAREHOLDER RETURNS 1-Year 5-Year 18.1% 13.6% 8.1% 5.4% 13.9% 7.5% Fortis S&P/TSX Composite Index S&P/TSX Capped Utilities Index Note: For the period ending March 31, 2019.
Slide 24: Average Annualized Total Shareholder Returns
AVERAGE ANNUALIZED TOTAL SHAREHOLDER RETURNS 10-Year 20-Year 12.5% 12.9% 8.1% 9.5% 7.2% 10.2% 9.1% Fortis S&P/TSX Composite Index S&P/TSX Capped Utilities Index Note: For the period ending March 31, 2019.
Slide 25: The Power
| THE POWER
Slide 26: Appendix
Appendix
Slide 27: Quarterly Adjusted Earnings Reconciliation
QUARTERLY ADJUSTED EARNINGS RECONCILIATION Non-US GAAP Reconciliation ($millions, except as indicated) Q1 2019 Q1 2018 Q1 2017 Net Earnings Attributable to Common Equity Shareholders 311 323 294 Adjusting Items: Unrealized loss (gain) on mark-to-market of derivatives(1) 5 4 (6) Consolidated state in
Slide 28: Annual Adjusted Earnings Reconciliation
ANNUAL ADJUSTED EARNINGS RECONCILIATION Non-US GAAP Reconciliation ($millions, as indicated) 2018 2017 Net Earnings Attributable to Common Equity Shareholders 1,100 963 Adjusting Items: U.S. tax reform(1) - 146 Unrealized loss (gain) on mark-to-market of derivatives(2) 10 (26) Consolidated state inc
Slide 29: Footnotes to Annual Adjusted Earnings Reconciliation
ANNUAL ADJUSTED EARNINGS RECONCILIATION Footnotes to Annual Adjusted Earnings Reconciliation (1) One-time remeasurement of deferred income tax assets and liabilities resulting from U.S. tax reform (ITC - $91 million, UNS Energy - $5 million, Central Hudson - $2 million, and Corporate and Other - $48