Uil Co. Ltd. · KRX:049520
Uil — Q1 2010 Earnings Presentation
17 slides from Uil's earnings presentation, May 3, 2010
Slide 1: 1Q 2010 Earnings Conference Call
EXHIBIT 99.1 1Q 2010 Earnings Conference Call May 4, 2010 - transforming investment into future value 1 1Q ’10 Earnings
Slide 2: Important Note to Investors
Important Note to Investors Certain statements contained herein, regarding matters that are not historical facts, are forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995). These include statements regarding management’s intentions, plans, beliefs, expectati
Slide 3: 1Q 2010 Financial Results - Summary
1Q 2010 Financial Results - Summary 1Q ’10 consolidated earnings of $16.1 million, or $0.53 per share, compared to $12.0 million, or $0.48 per share, in 1Q ’09 Ø Net income grew 34%, an increase of $0.05 per share compared to the 1Q ‘09; in spite of $0.10 per share earnings dilution from May ‘09 equ
Slide 4: 1Q 2010 Financial Results
1Q 2010 Financial Results Quarter Ended March 31, 2010 2009 Difference UI Distribution, CTA* and Other $ 9.9 $ 6.8 $ 3.1 Transmission 6.7 6.1 0.6 Total UI Net Income $ 16.6 $ 12.9 $ 3.7 UIL Corporate (0.5) (0.9) 0.4 Total Net Income $ 16.1 $ 12.0 $ 4.1 Average Shares Outstanding - Basic 30.0 25.2 4.
Slide 5: 1Q '10 Earnings Details Compared to the Same Period in '09
1Q ‘10 Earnings Details Compared to the Same Period in ‘09 Distribution, CTA & Other Quarter Ended March 31, 2010 Ø Decoupling adjustment net of acceleration of previously approved ‘10 rate increase Favorable/(Unfavorable) (In Operating Millions) Ø Increases in UI’s distribution rates revenuestrue-u
Slide 6: Solid Liquidity Position Enabling Future Growth
Solid Liquidity Position Enabling Future Growth Ø No plans to issue additional equity in 2010 Ø Unrestricted cash and temporary investments of $11.4M as of 3/31/10 Ø $162M available under $175M short-term credit facility as of 3/31/10 Ø DPUC approved financing plan for up to $275M incremental debt d
Slide 7: Debt Maturity and Liquidity Details
Debt Maturity and Liquidity Details Solid liquidity position enabling future CapEx plans Debt maturity schedule as of 3/31/10 ($M) Liquidity outlook Ø UIL & UI have a $175M joint credit facility due 12/22/11 ($50M of limit available for UIL) » Short-term borrowings outstanding under this facility we
Slide 8: Increased 2010 EPS Guidance as of May 4, 2010
Increased 2010 EPS Guidance as of May 4, 2010 Approximate 2010 Net Income * 2010 EPS The United Illuminating Company Distribution, CTA & Other $31 - $33 $1.02 - $1.09 Transmission 26 - 28 0.85 - 0.93 GenConn 2-3 0.07 - 0.09 Total UI $59 - $63 $1.98 - $2.10 Corporate (3) - (2) (0.09) - (0.05) Total U
Slide 9: 2010 Outlook
2010 Outlook Connecticut’s economy Ø Unemployment remains below national average » Non-seasonally adjusted rate as of 4/16/10: 9.3% CT // 10.2% national Ø CT job losses are now easing » State added 6,400 jobs in 1Q ‘10 Our outlook Ø Expect slight to modest economic growth in our service territory in
Slide 10: 2010 Regulatory Update
2010 Regulatory Update Ø Distribution rate increase effective 1/1/10 » Incremental $19.4M over 2009 plus additional $21.6M for ’09 & ’10 pension cash recovery » $2.4M to the bottom line in equity return Ø Decoupling analysis for the 2009 rate year ending 2/3/10 was filed with the department on 4/1/1
Slide 11: 2010 Regulatory Update - cont.
2010 Regulatory Update - cont. Ø Generic ROE proceeding (DN 09-10-06) » Comments from interested parties filed » Interrogatories issued on 4/22/10 » Hearings set for end of June » Final decision expected mid October Ø New DPUC commissioner - Anna Ficeto - effective 2/24/10 » Former Chief Legal Couns
Slide 12: Financing
Ø 50/50 debt/equity Financing Status UI Equity Bridge Loan Ø $121.5M in total à $114.4M drawn as of 3/31/10 » $57M due 6/1/10 with Devon in-service » $64.5M due 6/1/11 with Middletown in-service Ø Devon Plant NRG Equity Bridge Loan Ø Middletown Plant Ø $121.5M in total » Construction underway GenCon
Slide 13: GenConn Energy - Current View of Progress
GenConn Energy - Current View of Progress Devon In-service June 2010 Middletown In-service June 2011 Construction site photos as of the March timeframe. 13 1Q ’10 Earnings
Slide 14: 2010 Capital Expenditure Forecast Update
2010 Capital Expenditure Forecast Update Full 10-year Capex Plan Refresh .... coming Mid 2010 Current ’10 Estimate of $272M Changes from Previous Estimate Previous ’10 Estimate of $295M Ø Distribution » Core Support spending moved out to future years 4UI’s central facility peak construction shift fr
Slide 15: Investment Highlights
Investment Highlights Ø Virtually 100% regulated Progressive pure-play Ø Long history of National 1st quartile reliability performance electric utility Ø 20 year leader in Conservation & Load Management programs Ø Smart Grid - ahead of the curve Ø $1.7 billion 10-year capital expenditure program Hig
Slide 16: Q&A
Q&A 16 1Q ’10 Earnings
Slide 17: Slide 17