AGL Resources announces sale of Compass Energy
ATLANTA, May 2, 2013 -- AGL Resources Inc. (NYSE: GAS) today announced that it has closed on the sale of Compass Energy Services, Inc. and its wholly-owned subsidiary (collectively "Compass"), a non-regulated retail natural gas business supplying commercial and industrial customers, to a wholly owned subsidiary of Integrys Energy Services, Inc. AGL Resources acquired Compass in October 2007 and has operated the business as part of its wholesale services segment.
AGL Resources received an initial cash payment of $12 million plus estimated working capital at closing. Under the terms of the purchase and sale agreement, AGL Resources will be eligible to receive additional cash consideration of up to $8 million (but no less than $3 million), based upon the financial performance of Compass over the next five years. AGL Resources expects to report a pre-tax gain on the sale of Compass of approximately $9 million to $11 million during the second quarter of 2013, with an estimated diluted earnings per share impact of $0.05 to $0.06.
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 approximately 600,000 retail energy customers and approximately 1.2 million customer service contracts 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.
Certain expectations and projections regarding our future performance referenced in this press release, in other reports or statements we file with the SEC or otherwise release to the public, and on our website, are forward-looking statements. Senior officers and other employees may also make verbal statements to analysts, investors, regulators, the media and others that are forward-looking. Forward-looking statements involve matters that are not historical facts, such as statements regarding our future operations, prospects, strategies, financial condition, economic performance (including growth and earnings), industry conditions and demand for our products and services. Because these statements involve anticipated events or conditions, forward-looking statements often include words such as "anticipate," "assume," "believe," "can," "could," "estimate," "expect," "forecast," "future," "goal," "indicate," "intend," "may," "outlook," "plan," "potential," "predict," "project," "seek," "should," "target," "would," or similar expressions. Forward-looking statements contained in this press release include, without limitation, the expected pre-tax gain on the sale of Compass and the estimated diluted earnings per share impact.
Director, Investor Relations
Office: (404) 584-4577
Cell: (404) 433-9248
Director, External Relations
Office: (630) 388-2781
Cell: (630) 918-2321
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
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