Slide 1: Supplemental Slides Third Quarter 2018 Earnings
Supplemental Slides Third Quarter 2018 Earnings November 1, 2018
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws. Investors and prospective investors should understand that many factors govern whether any forward-looking statement contained herein will be or can be realized. Any one of
Slide 3: Key Takeaways – Third Quarter 2018
Key Takeaways – Third Quarter 2018 • Results in line with annual guidance range ▪ Non-GAAP net operating earnings per share (NOEPS)* of $0.10 versus $0.07 in 2017 ▪ On track to deliver NOEPS of $1.26 to $1.32 and complete $1.7 to $1.8 billion of utility infrastructure investments in 2018 ▪ Projected
Slide 4: Third Quarter 2018 Financial Highlights
Third Quarter 2018 Financial Highlights Non-GAAP* 2018 2017 Change Net Operating Earnings Available to Common $35.3 $23.3 $12.0 Shareholders ($M) Net Operating Earnings Per Share $0.10 $0.07 $0.03 GAAP 2018 2017 Change Net Income (Loss) Available to Common ($345.1) $14.0 ($359.1) Shareholders($M) Ea
Slide 5: Financial Highlights - Consolidated (Non-GAAP)
Third Quarter 2018 Financial Highlights - Consolidated (Non-GAAP)* Three Months Ended Sept 30 Nine Months Ended Sept 30 (In millions, except per share amounts) 2018 2017 Change 2018 2017 Change Operating Revenues $ 883.6 $ 920.2 $ 3,630.9 $ 3,543.4 Cost of Sales (excluding depreciation and amortizat
Slide 6: Financial Highlights - Gas Distribution (Non-GAAP)
Third Quarter 2018 Financial Highlights - Gas Distribution (Non-GAAP)* Three Months Ended Sept 30 Nine Months Ended Sept 30 (In millions) 2018 2017 Change 2018 2017 Change Operating Revenues $ 422.6 $ 435.2 $ 2,353.3 $ 2,181.0 Cost of Sales (excluding depreciation and amortization) 85.7 94.6 875.1 6
Slide 7: Financial Highlights - Electric (Non-GAAP)
Third Quarter 2018 Financial Highlights - Electric (Non-GAAP)* Three Months Ended Sept 30 Nine Months Ended Sept 30 (In millions) 2018 2017 Change 2018 2017 Change Operating Revenues $ 464.3 $ 488.6 $ 1,287.4 $ 1,372.7 Cost of Sales (excluding depreciation and amortization) 136.3 139.0 384.6 400.9 N
Slide 8: NiSource Debt and Credit Profile
NiSource Debt and Credit Profile • Current debt level: ~$8.8B as of September 30, 2018 ▪ ~$7.0B of long-term debt ◦ Weighted average maturity ~19 years ◦ Weighted average interest rate of 4.6% • Solid liquidity position ▪ ~$1.1B in net available liquidity as of September 30, 2018* ▪ ~$2.2B of commit
Slide 9: Financing Plan Update
Financing Plan Update NiSource Financing Plan 2017 2018 2019/2020 ($ in Millions) Actual Estimated Estimated Equity Common Equity Block ~$600 None None Planned Issuance (Issued 5/4/18) $200 - $300 $200 - $300 ATM (At-The-Market) $315 (YTD $170) (Annually) $35 - $60 ESPP/401K/Other $61 $35 - $60 (Ann
Slide 10: Gas Distribution Operations - Third Quarter 2018
Gas Distribution Operations - Third Quarter 2018 • Significant progress on regulatory initiatives inclusive of the impacts of federal tax reform across states • Ongoing infrastructure modernization on track and delivering customer value, including enhanced system safety, reliability and environmenta
Slide 11: Electric Operations - Third Quarter 2018
Electric Operations - Third Quarter 2018 • Continued execution of seven-year ~$1.25B electric system modernization program • 2018 Integrated Resource Plan submitted Oct. 31, 2018 • 2018 Base Rate Case filed Oct. 31, 2018 • Construction continues on environmental upgrades for Michigan City, R.M. Scha
Slide 12: Greater Lawrence Incident - Total Current Estimated Costs and Expenses
Greater Lawrence Incident - Total Current Estimated Costs and Expenses • Capital Expenditures (Total Current Estimate = $135M - $165M) ▪ 'Gas Ready' Restoration - accelerated infrastructure modernization investment to replace impacted distribution system • Additional Incident Related Expenses • Thir
Slide 13: Appendix
Appendix: Third Quarter 2018 Earnings
Slide 14: Capital Expenditures
Capital Expenditures Investments Deliver Customer Value, Enhance System Safety and Reliability Estimated $1.7B - $1.8B $1.6B - $1.8B Recovery Period Annually Within 0-3 Months 16% 16% (Customer Growth/ Transmission) Within 0-12 Months (Modernization/ Environmental) 60% 59% Periodic Rate Cases (Maint
Slide 15: Liquidity and Debt Detail as of Third Quarter 2018 ($M)
Liquidity and Debt Detail as of Third Quarter 2018 ($M) Actual Current Liquidity Maturity 9/30/2018 Revolving Credit Facility $1,850 Nov. 28, 2021 Accounts Receivable Programs* 265 Less: Drawn on Credit Facility — Commercial Paper 746 Accounts Receivable Programs Utilized 265 L/C's Outstanding Under
Slide 16: Gas Distribution Operations Infrastructure Programs
Gas Distribution Operations Infrastructure Programs Estimated Base Case Year-End Total Modernization Recovery Annual Company Authorized 2017 Rate Identified Program Mechanism ROE Base Investments Modernization Investments Program Columbia Not Specified $2.5B ~$4.1B ~$3.4B $220M - $270M Tracked Gas o
Slide 17: Electric Operations Investment Programs
Electric Operations Investment Programs Infrastructure Investment Programs/Projects Estimated Identified Recovery Program/Project Program/Project Annual Investments Mechanism Length Investment Infrastructure ~$4.2B ~$135M - $235M Tracked 20+ Years Modernization Environmental ~$0.4B ~$10M - $90M Trac
Slide 18: Regulatory Update
Regulatory Update 2018 Rate Case and Program/Project Activity Company/Filing Summary Timeline Pending Approval Filed: 10/31/2018 NIPSCO Electric - Base Rate Case Requested Increase: $21.4M Order Expected: 3Q19 Filed: 8/28/2018 Columbia Gas of Virginia - Base Rate Case Requested Increase: $22.2M Orde
Slide 19: Infrastructure Investment Details
Infrastructure Investment Details Incremental Infrastructure Investments Recovery Recovery Company Filing Mechanism Investment Investment Effective Date Period Amount Date FY 2016 ~$236M Feb 2017 May 2017 Columbia Gas of Infrastructure Replacement Ohio Program (IRP) FY 2017 ~$207M Feb 2018 May 2018