WASHINGTON--(Business Wire)--Washington Gas Light Co., a wholly-owned subsidiary of WGL
Holdings, Inc., (NYSE:WGL) announced today that the settlement
agreement reached on December 13, 2007, in the pending rate case, has
been approved by the Public Service Commission of the District of
Columbia. The settlement reflects a modest increase in billing rates
for delivery service.
The settlement will increase distribution rates by an annual
amount of $1.4 million and allow the company to continue investing in
vital system maintenance and improvement in the District of Columbia.
It also establishes new depreciation rates and permits deferral and
amortization of costs to achieve Washington Gas's outsourcing
agreement with Accenture. The original request included a $20 million
rate increase. The new rates will be effective for meters read on or
after December 31, 2007.
"We are pleased that we were able to advance the interests of our
customers and investors with this settlement that supports our
commitment to serve customers well, maintain stable rates and sustain
financial strength," said James H. DeGraffenreidt, Jr., Chairman and
Chief Executive Officer of Washington Gas.
As part of the settlement agreement, Washington Gas will freeze
its distribution rates in the District for the next three years,
through January 1, 2011. No further change in distribution rates may
be made prior to October 1, 2011. The settlement withdraws Washington
Gas's application seeking approval of a Performance-Based Rate Plan
that would have allowed investors to share with District customers
earnings that exceed an established target. Also withdrawn was a
proposal to implement a new energy efficiency education program for
District residents.
WGL Holdings, the parent company of Washington Gas, holds a group
of energy-related retail businesses that focus primarily on retail
energy-marketing and commercial heating, ventilating and air
conditioning services.
Additional information about WGL Holdings is available on its Web
site, www.wglholdings.com.
Forward-Looking Statements: Note: This news release and other
statements by us include forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995 with respect
to the outlook for earnings, revenues and other future financial
business performance or strategies and expectations. Forward- looking
statements are typically identified by words such as, but not limited
to, "estimates," "expects," "anticipates," "intends," "believes,"
"plans," and similar expressions, or future or conditional verbs such
as "will," "should," "would," and "could." Although we believe such
forward-looking statements are based on reasonable assumptions, we
cannot give assurance that every objective will be achieved.
Forward-looking statements speak only as of today, and we assume no
duty to update them. Factors that could cause actual results to differ
materially from those expressed or implied include, but are not
limited to, general economic conditions and the factors discussed
under the "Risk Factors" heading in our most recent annual report on
Form 10-K and other documents filed with or furnished to the
Securities and Exchange Commission.
Washington Gas Light Co.
News Media
Eric Grant, 202-624-6091
Cell: 703-408-3962
or
Financial Community
Melissa E. Adams, 202-624-6410
Copyright Business Wire 2007
