AGL Resources Acquires NiSource's Retail Services Business

Thu Jan 31, 2013 4:30pm EST

* Reuters is not responsible for the content in this press release.

For best results when printing this announcement, please click on the link below:

http://pdf.reuters.com/htmlnews/8knews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20130131:nHUGcVn8


Acquisition doubles AGL Resources' retail services business;
NiSource to use proceeds to support ongoing infrastructure investments

Atlanta & Merrillville, Ind., January 31, 2013 - AGL Resources Inc. (NYSE: GAS) announced today
that it has acquired certain assets from NiSource Inc.'s (NYSE: NI) retail services business,
which provides warranty protection solutions and energy efficiency leasing solutions for
residential and small business utility customers. 

AGL Resources' acquisition of these assets, including approximately 500,000 existing customer
plans, will expand its footprint to offer products such as appliance repair and line protection
plans to customers in Indiana, Massachusetts, Ohio, Pennsylvania, and Kentucky. 

"This acquisition almost doubles the size of our retail services business and strengthens our
competitive position in this space," said John W. Somerhalder II, chairman, president and chief
executive officer of AGL Resources. "Our solid track record in the retail services business, as
well as our utility expertise, will allow for a successful integration of these business units,"
he continued.

"This transaction further enhances NiSource's strategic focus on core regulated utility and
pipeline operations and provides customers with the industry-leading retail services offered by
AGL Resources," NiSource president and chief executive officer Robert C. Skaggs Jr. said. "It also
aligns with NiSource's commitment to build shareholder value, as we intend to use the proceeds to
support strategic infrastructure investment opportunities benefitting our communities, customers
and other key stakeholders." 

NiSource's retail services businesses acquired by AGL Resources include:

*Service programs in Indiana under the ESP brand;
*Service programs under the Columbia Retail Services and Service Protection Group brands in Ohio,
Pennsylvania and Kentucky; and
*Service and appliance leasing programs in Massachusetts under the Guardian Care brand.

These brands will join AGL Resources' retail services companies that, together with the company's
retail energy brands, comprise its Retail Operations segment. AGL Resources' Retail Operations
segment will now market natural gas and related home services in more than 10 states. 
"We are committed to providing a seamless transition for customers previously served by NiSource's
retail services business and look forward to continuing to offer these customers innovative and
value-driven products," said Robin Boren, president, Retail Services, AGL Resources.

AGL Resources expects the transaction to be accretive to 2013 diluted earnings per share. Proceeds
from the sale of $120 million, plus working capital and less customary transaction and closing
costs, will be used to support NiSource's core infrastructure investment business strategy. 

Evercore Partners acted as the exclusive financial advisor to NiSource on this transaction.

Forward-Looking Statements
This news release includes forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Those statements include statements regarding the intent, plans, belief or current
expectations of NiSource, AGL Resources and their respective management. Although NiSource and AGL
Resources believe that their expectations are based on reasonable assumptions, they can give no
assurance that their goals will be achieved. Readers are cautioned that the forward-looking
statements in this release are not guarantees of future performance and involve a number of risks
and uncertainties, and that actual results could differ materially from those indicated by such
forward-looking statements and that past performance may not be indicative of future performance.
Important factors that could cause actual results to differ materially from those indicated by
such forward-looking statements include, but are not limited to, the matters set forth in the
"Risk Factors" Section and the narrative regarding forward-looking statements in NiSource's and
AGL Resources' respective Forms 10-K and subsequent filings on Forms 10-Q, many of which are risks
beyond the control of NiSource and AGL Resources. Forward-looking statements contained in this
press release include, without limitation, the quotes from John W. Somerhalder II, Robert C.
Skaggs Jr. and Robin Boren, statements regarding the ability of AGL Resources to successfully
integrate and grow the acquired assets and how such assets will affect its 2013 diluted earnings
per share and NiSource's use of the proceeds. Forward-looking statements are only as of the date
they are made, and NiSource and AGL Resources do not undertake to update these statements to
reflect subsequent changes. 

About AGL Resources
AGL Resources (NYSE: GAS) is an Atlanta-based energy services holding company with operations in
natural gas distribution, retail operations, wholesale services, midstream operations and cargo
shipping. As the nation's largest natural gas-only distributor based on customer count, AGL
Resources serves approximately 4.5 million utility customers through its regulated distribution
subsidiaries in seven states. The company also serves more than one million retail customers
through its SouthStar Energy Services joint venture and Nicor National, which market natural gas
and related home services. Other non-utility businesses include asset management for natural gas
wholesale customers through Sequent Energy Management, ownership and operation of natural gas
storage facilities, and ownership of Tropical Shipping, one of the largest containerized cargo
carriers serving the Bahamas and Caribbean region. AGL Resources is a member of the S&P 500 Index.
For more information, visit www.aglresources.com http://www.aglresources.com/ . 

About NiSource
NiSource Inc. (NYSE: NI), based in Merrillville, Ind., is a Fortune 500 company engaged in natural
gas transmission, storage and distribution, as well as electric generation, transmission and
distribution. NiSource operating companies deliver energy to 3.8 million customers located within
the high-demand energy corridor stretching from the Gulf Coast through the Midwest to New England.
Information about NiSource and its subsidiaries is available via the Internet at www.nisource.com
http://www.nisource.com/ . NI-F

###

Contacts: 

Financial
AGL Resources 
Sarah Stashak 
Director, Investor Relations 
Office: 219-647-5688 
Cell: 404-895-7634 
sstashak@aglresources.com mailto:sstashak@aglresources.com 

NiSource 
Randy Hulen
Managing Director, Investor Relations
Office: 404-584-4577 
Cell: 219-644-7574
rghulen@nisource.com mailto:rghulen@nisource.com 

Media
AGL Resources 
Annette Martinez 
Director, External Relations 
Office: 630-388-2781 
Cell: 630-918-2321 
amartinez@aglresources.com mailto:amartinez@aglresources.com 

NiSource
Mike Banas
Communications Manager
Office: 219-647-5581
Cell: 312-730-7329
mbanas@nisource.com mailto:mbanas@nisource.com


---------------------------------------------------------------------------------------------------

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.

The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.

Source: AGL Resources via Thomson Reuters ONE


HUG#1674824

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.