CenterPoint Energy and Vectren complete merger
Combined company well positioned to advance its vision to lead the nation in delivering energy, service and value
2019-02-01T06:00:00Z

Houston and Evansville, Ind. – Feb. 1, 2019 – CenterPoint Energy, Inc. (NYSE: CNP) and Vectren Corporation (NYSE: VVC) today announced the successful completion of their merger. The combined company, which is named CenterPoint Energy and headquartered in Houston, has regulated electric and natural gas utility businesses in eight states that serve more than 7 million metered customers and a competitive energy businesses' footprint in nearly 40 states.

"Today, we come together as one company. With a greater level of business operations, resources and capabilities, we plan to execute a unified business strategy focused on the safe and reliable delivery of electricity, natural gas and energy-related services," said Scott M. Prochazka, president and chief executive officer of CenterPoint Energy. "It is a time of transformation for our industry, and I believe CenterPoint Energy will be well positioned to deliver traditional energy services with innovative solutions that meet customers' evolving needs and expectations."

With the merger, CenterPoint Energy has assets totaling approximately $29 billion, an enterprise value of $27 billion and approximately 14,000 employees. CenterPoint Energy's businesses include:

  • Electric utility business CenterPoint Energy maintains the wires, poles and electric infrastructure serving 2.4 million metered customers in the greater Houston area and 145,000 customers in Indiana. The company also owns and operates nearly 1,300 megawatts of power generation capacity in Indiana. CenterPoint Energy's Texas electric utility business is headquartered in Houston and its Indiana electric utility business is headquartered in Evansville, Ind.
  • Natural gas utility business – CenterPoint Energy sells and delivers natural gas to 4.5 million homes and businesses in eight states: Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas, including the high-growth areas of Houston and Minneapolis. The company's natural gas utility business is headquartered in Evansville.
  • Competitive energy businesses – CenterPoint Energy's competitive energy businesses include: natural gas marketing and energy-related services; energy efficiency, sustainability and infrastructure modernization solutions; and construction and repair services for pipeline systems, primarily natural gas. The company's competitive energy businesses are led from Houston.

CenterPoint Energy will continue to trade under the ticker symbol "CNP" on the New York Stock Exchange (NYSE) and the Chicago Stock Exchange.

Under the terms of the merger agreement, which was announced on April 23, 2018, Vectren shareholders will receive $72.00, along with a prorated dividend of $0.41145, in cash for each share of Vectren common stock owned as of the close of business on Feb. 1, 2019. Additionally, Vectren common stock, which previously traded under the ticker symbol "VVC," has ceased trading on and was delisted from the NYSE effective today.

"I look forward to watching the newly combined company thrive in this evolving industry," said Carl Chapman, outgoing Vectren chairman, president and chief executive officer. "CenterPoint Energy was the right partner for Vectren and I am confident this merger will have a positive impact on all stakeholders. I sincerely thank the employees and shareholders who have been part of the Vectren journey."

A CenterPoint Energy fact sheet can be found here.

 

CenterPoint Energy

Headquartered in Houston, Texas, CenterPoint Energy, Inc. is an energy delivery company with regulated utility businesses in eight states and a competitive energy businesses footprint in nearly 40 states. Through its electric transmission & distribution, power generation and natural gas distribution businesses, the company serves more than 7 million metered customers primarily in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. CenterPoint Energy's competitive energy businesses include natural gas marketing and energy-related services; energy efficiency, sustainability and infrastructure modernization solutions; and construction and repair services for pipeline systems, primarily natural gas. The company also owns 54.0 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 14,000 employees and nearly $29 billion in assets, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

Forward-Looking Statement

The statements in this press release contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical fact included in this press release are forward-looking statements made in good faith by us and are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995.  When used in this press release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Forward-looking statements include, but are not limited to, statements relating to benefits of the merger, integration plans and expected synergies and anticipated future financial measures and operating performance and results, including estimates for growth and other matters affecting future operations. Each forward-looking statement contained in this press release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) difficulties that may arise in successfully integrating the businesses of CenterPoint Energy and Vectren, which may result in the combined company not operating as efficiently and effectively as anticipated; (2) the ability of the combined company to achieve expected cost savings and synergies or it taking longer than expected for those savings and synergies to materialize; (3) potential unexpected costs or unexpected liabilities associated with the merger; (4) potential differences in the actual credit ratings of CenterPoint Energy, Vectren or their subsidiaries from the companies' anticipated ratings; (5) future regulatory or legislative actions that could adversely affect the combined company; (6) other economic, business or competitive factors that could adversely affect the combined company and (7) other factors discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2017, CenterPoint Energy's Quarterly Report on Form 10-Q for the quarters ended March 31, 2018, June 30, 2018 and September 30, 2018 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

 

 

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Natural gas bills expected to increase compared to last winter

Lawton, OK – Nov. 4, 2021 CenterPoint Energy announced today that its Oklahoma customers may see an increase in their natural gas bills when compared to those last winter, assuming normal winter weather, due primarily to natural gas market conditions. The utility serves about 100,000 customers in the state.

Based on expected natural gas commodity costs and normal winter weather, CenterPoint Energy's Oklahoma customers can expect to pay on average $95 per month this winter during the five-month heating season of November through March. By comparison, last year's average bill amount for the five-month period was about $71 per month.

The actual bill impact will vary by customer depending on the size and age of the home, number of gas appliances, number of people in the household, thermostat settings, levels of insulation and other factors.

According to the Winter Fuels Outlook report issued in October by the U.S. Energy Information Administration: "On average across the United States, we expect prices for all fuels to be higher than in recent winters. Rising wholesale commodity prices for natural gas, crude oil, and petroleum products are being passed through to retail prices. Although we attribute price increases over the past year to several factors, the main reason wholesale prices of natural gas, crude oil and petroleum products have risen is that fuel demand has increased from recent lows faster than production."

As a regulated utility, CenterPoint Energy does not mark up, or profit from, the purchase and sale of natural gas in Oklahoma. Only gas costs actually incurred and approved by the Oklahoma Corporation Commission are recovered from customers. Natural gas is a commodity bought and sold in a national deregulated market and prices fluctuate daily due to supply-and-demand pressures. CenterPoint Energy purchases natural gas on behalf of its customers and then passes those costs on to customers through a gas cost adjustment, which is listed on the bill as "Gas Supply Rate."

"We encourage our customers to prepare now for the winter heating season ahead," said Cindy Westcott, CenterPoint Energy Vice President for Arkansas and Oklahoma. "Whether it's payment assistance options or energy efficiency improvements, we're available to help our customers manage their heating costs. It's also important to remember that, even with higher natural gas prices this winter heating season, bills should still remain lower than customers experienced in the late 2000s when natural gas prices were at record levels nationwide."

CenterPoint Energy offers a number of options to help customers manage their natural gas bills.

  • Average Monthly Billing: Under this billing plan, a customer's monthly bill amounts are evened out across the year to ease the impact of winter payment peaks by spreading the costs over a 12-month period. Customers can enroll for free at www.centerpointenergy.com/averagemonthlybilling or by calling 866-275-5265.
  • Payment Assistance: Any customer who thinks they may have trouble paying their natural gas bill should contact CenterPoint Energy right away to set up a payment plan. Customers should not wait until they receive a disconnection/shut-off notice or their natural gas service has been disconnected. Visit www.centerpointenergy.com/paymentassistance or call CenterPoint Energy customer service at 866-275-5265.
  • Low Income Home Energy Assistance Program (LIHEAP): This federally-funded program helps pay heating costs for income-eligible residential customers. Learn more about the program and how to apply at www.okdhslive.org.
  • Energy efficiency programs and rebates: CenterPoint Energy offers a wide range of energy efficiency tips, appliance rebates and energy-saving tools to help customers lower their natural gas bills. Visit www.centerpointenergy.com/saveenergy.

Forward Looking Statement

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as the expected prices of natural gas and the subsequent impact on customer bills, assumptions regarding winter weather, and any other statements that are not historical facts are forward-looking statements.  Each forward-looking statement contained in this news release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the impact of COVID-19; (2) financial market conditions; (3) general economic conditions; (4) the timing and impact of future regulatory and legislative decisions; (5) effects of competition; (6) weather variations; (7) changes in business plans; and (8) other factors, risks and uncertainties discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

About CenterPoint Energy

As the only investor-owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. As of September 30, 2021, the company owned approximately $37 billion in assets and also owned 53.7 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 9,500 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

Natural gas bills expected to increase compared to last winter

Little Rock, AR – Nov. 4, 2021 CenterPoint Energy announced today that its Arkansas customers may see an increase in their natural gas bills when compared to those last winter, assuming normal winter weather, due primarily to natural gas market conditions. The utility serves about 400,000 residential and business customers in Arkansas.

Based on expected natural gas commodity costs and normal winter weather, CenterPoint Energy's Arkansas customers can expect to pay on average $131 per month this winter during the five-month heating season of November through March. By comparison, last year's average bill amount for the five-month period was about $92 per month.

The actual bill impact will vary by customer depending on the size and age of the home, number of gas appliances, number of people in the household, thermostat settings, levels of insulation and other factors.

According to the Winter Fuels Outlook report issued in October by the U.S. Energy Information Administration: "On average across the United States, we expect prices for all fuels to be higher than in recent winters. Rising wholesale commodity prices for natural gas, crude oil, and petroleum products are being passed through to retail prices. Although we attribute price increases over the past year to several factors, the main reason wholesale prices of natural gas, crude oil and petroleum products have risen is that fuel demand has increased from recent lows faster than production."

As a regulated utility, CenterPoint Energy does not mark up, or profit from, the purchase and sale of natural gas in Arkansas. Only gas costs actually incurred and approved by the Arkansas Public Service Commission are recovered from customers. Natural gas is a commodity bought and sold in a national deregulated market and prices fluctuate daily due to supply-and-demand pressures. CenterPoint Energy purchases natural gas on behalf of its customers and then passes those costs on to customers through a gas cost adjustment, which is listed on the bill as "Gas Supply Rate."

"We encourage our customers to prepare now for the winter heating season ahead," said Cindy Westcott, CenterPoint Energy Vice President for Arkansas and Oklahoma. "Whether it's payment assistance options or energy efficiency improvements, we're available to help our customers manage their heating costs. It's also important to remember that, even with higher natural gas prices this winter heating season, bills should still remain lower than customers experienced in the late 2000s when natural gas prices were at record levels nationwide."

CenterPoint Energy offers a number of options to help customers manage their natural gas bills.

  • Average Monthly Billing: Under this billing plan, a customer's monthly bill amounts are evened out across the year to ease the impact of winter payment peaks by spreading the costs over a 12-month period. Customers can enroll for free at www.centerpointenergy.com/averagemonthlybilling or by calling 800-992-7552.
  • Payment Assistance: Any customer who thinks they may have trouble paying their natural gas bill should contact CenterPoint Energy right away to set up a payment assistance plan. Customers should not wait until they receive a disconnection/shut-off notice or their natural gas service has been disconnected. Visit www.centerpointenergy.com/paymentassistance or call CenterPoint Energy customer service at 800-992-7552.
  • Low Income Home Energy Assistance Program (LIHEAP): This federally-funded program helps pay heating costs for income-eligible residential customers. LIHEAP in Arkansas is operated by a network of 15 Community Action Agencies. Learn more about the program and how to apply at the Arkansas Department of Energy and Environment. Customers can also call CenterPoint Energy customer service at 800-992-7552 to be referred to their local Community Action Agency.
  • Energy Efficiency Programs and Rebates: CenterPoint Energy offers a wide range of energy efficiency tips, appliance rebates and energy-saving tools to help customers lower their natural gas bills. Visit www.centerpointenergy.com/saveenergy.

Forward Looking Statement

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as the expected prices of natural gas and the subsequent impact on customer bills, assumptions regarding winter weather, and any other statements that are not historical facts are forward-looking statements.  Each forward-looking statement contained in this news release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the impact of COVID-19; (2) financial market conditions; (3) general economic conditions; (4) the timing and impact of future regulatory and legislative decisions; (5) effects of competition; (6) weather variations; (7) changes in business plans; and (8) other factors, risks and uncertainties discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

About CenterPoint Energy

As the only investor-owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. As of September 30, 2021, the company owned approximately $37 billion in assets and also owned 53.7 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 9,500 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

CenterPoint Energy reports strong Q3 2021 earnings results

Houston – November 4, 2021 - CenterPoint Energy, Inc. (NYSE: CNP) today reported income available to common shareholders of $195 million, or $0.32 per diluted share, for the third quarter of 2021, compared to income available to common shareholders of $69 million, or $0.13 per diluted share, for the third quarter of 2020.

  • Q3 2021 earnings of $0.32 per diluted share; $0.33 per diluted share on a non-GAAP basis, including results from utility operations of $0.25 per diluted share and $0.08 from midstream investments reported under discontinued operations
  • Raising 2021 non-GAAP Utility EPS guidance (“Utility EPS”) range, for the 3rd time this year, to $1.26 - $1.28
  • Utility EPS guidance range for 2022 raised to $1.36 - $1.38. Reiterating 8% Utility EPS annual growth rate target for 2022 through 2024

On a non-GAAP basis, third quarter 2021 earnings were $0.33 per diluted share, with $0.25 per diluted share from utility operations, and $0.08 per diluted share from midstream investments which is reported under discontinued operations. This compared to $0.29 per diluted share from utility operations and $0.05 per diluted share from midstream investments in the third quarter of 2020. Both quarters included some one-time items. The third quarter of 2020 included a CARES Act benefit and unfavorable COVID-related impacts. Third quarter 2021 results include one-time costs related to our recent board-implemented governance changes and unfavorable weather and usage.

"CenterPoint's year-to-date financial performance in 2021 has been strong," said Dave Lesar, President and Chief Executive Officer of CenterPoint Energy. "We continue to see the benefits of organic growth throughout our service territories combined with capital investments and O&M discipline which together are driving favorable earnings. As a result, we are raising our full year 2021 Utility EPS guidance again this quarter to a range of $1.26-$1.28 per diluted share. This is the 3rd Utility EPS guidance raise this year, demonstrating our confidence in our underlying business. With the latest increase in 2021 Utility EPS guidance, our corresponding expectations for 2022 Utility EPS will now also increase to $1.36 - $1.38 per diluted share."

Lesar added, "At our Analyst Day in September, we increased our 5-year capital plan to over $18 billion dollars and introduced our first ever 10-year capital plan of over $40 billion. This capital investment will be dedicated to safety, reliability, growth and enabling clean energy investments to benefit our customers and our investors. This includes opportunities from the recent legislative session in Texas. The increased level of capital is expected to support an annual Utility EPS growth target of 8% in 2022 through 2024, and the mid to high end of our 6-8% range each year after that through 2030."

We now have 6 quarters of meeting or exceeding expectations, but we believe that there is much more to come. We are demonstrating the pathway to a premium and we hope that you will be on board with us as a shareholder when that happens," said Mr. Lesar.

Earnings Outlook

Given the pending merger between Enable and Energy Transfer, CenterPoint Energy will only be presenting a Utility EPS guidance range for 2021 and 2022 as Enable did not provide 2021 or 2022 guidance during its recent earnings call.

In addition to presenting its financial results in accordance with GAAP, including presentation of income (loss) available to common shareholders and diluted earnings (loss) per share, CenterPoint Energy provides guidance based on non-GAAP income and non-GAAP diluted earnings per share. Generally, a non-GAAP financial measure is a numerical measure of a company's historical or future financial performance that excludes or includes amounts that are not normally excluded or included in the most directly comparable GAAP financial measure.

Management evaluates CenterPoint Energy's financial performance in part based on non-GAAP income and non-GAAP earnings per share. Management believes that presenting these non-GAAP financial measures enhances an investor's understanding of CenterPoint Energy's overall financial performance by providing them with an additional meaningful and relevant comparison of current and anticipated future results across periods. The adjustments made in these non-GAAP financial measures exclude items that Management believes do not most accurately reflect the company's fundamental business performance. These excluded items are reflected in the reconciliation tables of this news release, where applicable. CenterPoint Energy's non-GAAP income and non-GAAP diluted earnings per share measures should be considered as a supplement to, and not as a substitute for, or superior to, income available to common shareholders and diluted earnings per share, which respectively are the most directly comparable GAAP financial measures. These non-GAAP financial measures also may be different than non-GAAP financial measures used by other companies.

Utility EPS Guidance Range

  •  The Utility EPS guidance range includes net income from Electric and Natural Gas segments, as well as after tax Corporate and Other operating income and an allocation of corporate overhead based upon the Utility's relative earnings contribution. Corporate overhead consists primarily of interest expense, preferred stock dividend requirements, and other items directly attributable to the parent along with the associated income taxes.
  • 2021 Utility EPS guidance excludes:
    • Earnings or losses from the change in value of ZENS and related securities
    • Certain expenses associated with Vectren merger integration
    • Earnings and losses associated with the ownership and disposal of midstream common and preferred units (including amounts reported in discontinued operations), net gain  associated with the consummation of the pending merger between Enable and Energy Transfer, a corresponding amount of debt related to midstream common and preferred units, and an allocation of associated corporate overhead
    • Cost associated with the early extinguishment of debt
    • Gain and impact, including related expenses, associated with pending gas LDC sales
  • 2022 Utility EPS guidance excludes:
    • Earnings or losses from the change in value of ZENS and related securities
    • Income and expense related to ownership and disposal of Energy Transfer units, a corresponding amount of debt related to the units and an allocation of associated corporate overhead

To the extent the pending gas LDC sales or the pending merger between Enable and Energy Transfer do not occur in 2021, 2022 Utility EPS guidance will exclude the impacts associated with those items as referenced in the 2021 Utility guidance above.

In providing this guidance, CenterPoint Energy does not consider the items noted above and other potential impacts such as changes in accounting standards, impairments or other unusual items, which could have a material impact on GAAP reported results for the applicable guidance period. The 2021 and 2022 Utility EPS guidance ranges also consider assumptions for certain significant variables that may impact earnings, such as customer growth and usage including normal weather, throughput, recovery of capital invested, effective tax rates, financing activities and related interest rates, and regulatory and judicial proceedings. In addition, the 2021 and 2022 Utility EPS guidance ranges assume the timing of pending gas LDC sales, the timing of pending merger between Enable and Energy Transfer, and the timing of our planned disposition of the Energy Transfer common units and preferred units that we expect to receive as part of the merger between Enable and Energy Transfer. To the extent actual results deviate from these assumptions, the 2021 and 2022 Utility EPS guidance ranges may not be met or the projected annual Utility EPS growth rate may change. CenterPoint Energy is unable to present a quantitative reconciliation of forward-looking non-GAAP diluted earnings per share because changes in the value of ZENS and related securities, future impairments, and other unusual items are not estimable and are difficult to predict due to various factors outside of management's control.

Filing of Form 10-Q for CenterPoint Energy, Inc.

Today, CenterPoint Energy, Inc. filed with the Securities and Exchange Commission (SEC) its Quarterly Report on Form 10-Q for the quarter ended September 30, 2021. A copy of that report is available on the company's website, under the Investors section. Investors and others should note that we may announce material information using SEC filings, press releases, public conference calls, webcasts, and the Investor Relations page of our website.  In the future, we will continue to use these channels to distribute material information about the company and to communicate important information about the company, key personnel, corporate initiatives, regulatory updates and other matters.  Information that we post on our website could be deemed material; therefore we encourage investors, the media, our customers, business partners and others interested in our company to review the information we post on our website.

Webcast of Earnings Conference Call

CenterPoint Energy's management will host an earnings conference call on Thursday, November 4, 2021, at 7:00 a.m. Central time/8:00 a.m. Eastern time. Interested parties may listen to a live audio broadcast of the conference call on the company's website under the Investors section. A replay of the call can be accessed approximately two hours after the completion of the call and will be archived on the website for at least one year.

About CenterPoint Energy, Inc.

As the only investor owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. As of September 30, 2021, the company owned approximately $37 billion in assets and also owned 53.7 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 9,500 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

Forward-looking Statements

This news release includes, and the earnings conference call will include, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release or on the earnings conference call regarding capital investments, the reopening of the economy, rate base growth and our ability to achieve it, the impacts of the February 2021 winter storm event on our business and service territories and the recovery and timing of recovery of gas costs in connection with the winter storm event, future earnings and guidance, including long-term growth rate, dividends and dividend growth rate, operations and maintenance expense reductions, financing plans (including future equity issuances and credit metrics), and future financial performance and results of operations, including with respect to regulatory actions, the expected closing of, or proceeds from the pending merger between Enable and Energy Transfer (including our planned exit from midstream) or the pending sale of our Arkansas and Oklahoma gas LDC businesses, our ability to exit our Midstream Investments reportable segment, customer rate affordability, value creation, opportunities and expectations, ESG strategy, including transition to Net-Zero, and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release or discussed on the earnings conference call speaks only as of the date of this release or the earnings conference call.

Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include, but are not limited to, risks and uncertainties relating to: (1) CenterPoint Energy's or Enable's potential business strategies and strategic initiatives, restructurings, joint ventures and acquisitions or dispositions of assets or businesses, including the pending sale of our Natural Gas businesses in Arkansas and Oklahoma, which may not be completed or result in the benefits anticipated by CenterPoint Energy, the pending merger between Enable and Energy Transfer, which may not be completed or result in the benefits anticipated by CenterPoint Energy or Enable, and our planned exit from our Midstream Investments reportable segment, which may not be completed or result in the benefits anticipated by CenterPoint Energy; (2) industrial, commercial and residential growth in CenterPoint Energy's service territories and changes in market demand; (3) CenterPoint Energy's ability to fund and invest planned capital, and timely and appropriate rate actions that allow recovery of costs and a reasonable return on investment, including costs associated with the February 2021 winter storm event; (4) the performance of Enable, the amount of cash distributions CenterPoint Energy receives from Enable, and the value of CenterPoint Energy's interest in Enable; (5) the integration of the businesses acquired in the merger with Vectren Corporation (Vectren), including the integration of technology systems, and the ability to realize additional benefits and commercial opportunities from the merger; (6) financial market and general economic conditions, including access to debt and equity capital and the effect on sales, prices and costs;  (7) actions by credit rating agencies, including any potential downgrades to credit ratings; (8) the timing and impact of regulatory proceedings and actions and legal proceedings, including those related to the February 2021 winter storm event; (9) legislative decisions, including tax and developments related to the environment such as global climate change, air emissions, carbon, waste water discharges and the handling of coal combustion residuals, among others, and CenterPoint Energy's net-zero targets; (10) the impact of the COVID-19 pandemic; (11) the recording of impairment charges, including any impairments related to CenterPoint Energy's investment in Enable; (12) weather variations and CenterPoint Energy's ability to mitigate weather impacts, including impacts from the February 2021 winter storm event; (13) changes in business plans; (14) CenterPoint Energy's ability to execute on its initiatives, targets and goals, including its Net Zero emission goals and operations and maintenance goals; and (15) other factors discussed in CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021, and CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, including in the "Risk Factors" and "Cautionary Statement Regarding Forward-Looking Information" sections of such reports, and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

CenterPoint Energy seeks to limit bill impact on Minnesota customers with proposal to stabilize rates

Minneapolis – Nov. 1, 2021 – CenterPoint Energy (NYSE: CNP) today filed an application with the Minnesota Public Utilities Commission (PUC) requesting an adjustment to distribution charges for the company's natural gas business in Minnesota. Known as a rate case, the proposed adjustment would help the utility comply with required federal regulations and invest in the continued safety and reliability of its approximately 14,000-mile pipeline system that delivers energy to more than 890,000 residential and business customers in Minnesota. 

CenterPoint Energy is the largest natural gas utility in Minnesota.

Separately, CenterPoint Energy also filed today a rate stabilization plan to resolve the rate case and limit the bill impact on customers while still providing the utility with adequate revenues to meet federal requirements and invest in its Minnesota infrastructure.

"Our customers and communities benefit from the investments we make to ensure the safety and reliability of our natural gas distribution system," said Christe Singleton, CenterPoint Energy's Vice President-Minnesota Gas. "Although we believe our full rate request is warranted, we're offering a scaled-down plan in recognition of the burdens experienced by many of our customers due to the COVID-19 pandemic and inflation, including higher energy prices."

 Singleton added: "As a regulated utility, we don't benefit from higher natural gas costs. The price we pay for the natural gas is the same price our customers pay, with no mark-up or profit. Both the rate case and rate stabilization plan are based on the need to maintain a safe, reliable system that delivers the essential energy our customers count on every day, especially the coldest days."

The full rate case requests an increase of about 6.5%, or $67.1 million per year. This requested increase would add about $4.05 to a typical residential customer's monthly bill. The rate stabilization plan lowers this increase to 3.9%, or $39.7 million per year – with a monthly bill impact of about $2.83 for a typical residential customer.

In addition, the rate stabilization plan would extend the cost recovery period for the Feb. 2021 natural gas price spike. As approved by the PUC, a surcharge has been added to customers' monthly bills for 27 months from Sept. 2021 through Nov. 2023. The utility is proposing a longer, 63-month cost recovery period to ease the impact on customers by reducing the average monthly surcharge from $11.66 to $4.60.

In recent rate cases, CenterPoint Energy was ultimately able to negotiate settlement agreements, but only after a lengthy regulatory process. In this new rate case, CenterPoint Energy is offering the rate stabilization plan upfront to expedite the process to achieve a reasonable outcome for both the utility and its customers.

CenterPoint Energy is asking the PUC to review and approve the rate stabilization plan by the end of this year, allowing new rates to take effect on January 1, 2022. If that does not happen, the rate case proceedings may continue into early 2023 and a proposed interim rate increase of 5.1% would take effect on Jan. 1, 2022, while the rate case is pending.

More details about the rate case and the rate stabilization plan can be found at CenterPointEnergy.com/RateCase.

Forward Looking Statement

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as the impact of the proposed rate adjustments on customer bills, the projected impact to customers, the PUC approval process for the rate case or rate stabilization plan and approval thereof, proposed investment of increased rates, the performance and expected benefits of various investments and compliance with federal regulations, and any other statements that are not historical facts are forward-looking statements.  Each forward-looking statement contained in this news release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the impact of COVID-19; (2) financial market conditions; (3) general economic conditions; (4) the timing and impact of future regulatory and legislative decisions; (5) effects of competition; (6) weather variations; (7) changes in business plans; and (8) other factors, risks and uncertainties discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021 and June 30, 2021 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

About CenterPoint Energy

As the only investor-owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. As of June 30, 2021, the company owned approximately $36 billion in assets and also owned 53.7 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 9,500 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

CenterPoint Energy receives approval for 400 megawatts of renewable energy serving southwestern Indiana

EVANSVILLE, Ind., Oct. 27, 2021 - CenterPoint Energy, Inc. (NYSE: CNP) today announced its Indiana-based electric and natural gas business, CenterPoint Energy Indiana South, received approval from the Indiana Utility Regulatory Commission to acquire a 300-megawatt (MW) solar array, as well as enter into a power purchase agreement (PPA) for an additional 100 MWs of solar energy as part of the company's long-term electric generation transition plan.

CenterPoint Energy entered into an agreement with Arevon Energy Management, the company that will build the utility-owned project in Posey County, Ind. The agreement required approval by the Commission.  Arevon Energy Management and energy company Tenaska are co-developing the project. CenterPoint Energy will also purchase additional solar power from Clēnera, which is developing a solar project in Warrick County, Ind., under a 25-year contract.

Together, the approval of these renewable energy projects solidifies the next component of CenterPoint Energy's long-term electric generation transition plan, meeting stakeholder sustainability goals, and implementing the most economic path forward as outlined in the company's Integrated Resource Plan. The continued build out of renewable resources is reflective of CenterPoint Energy's commitment to renewable resources and its net-zero carbon by 2035 emissions goals. More information on the company's net-zero goals can be found at www.sustainability.centerpointenergy.com

"We're pleased to receive regulatory approval to move forward with these significant renewable resources, which will serve our local electric customers, providing a cost-effective, stable energy option," said Steve Greenley, Senior Vice President, Indiana Electric Operations for CenterPoint Energy. "We look forward to the continued work with these companies to bring the Posey County solar array to fruition and provide additional clean energy to our customers through the Warrick County PPA."  

Construction of the solar project with Arevon Energy Management is scheduled to be in service by 2023. The initial construction phase will require establishing a sub-station to interconnect with CenterPoint Energy's power grid. The solar array is anticipated to generate enough power to meet the needs of more than 50,000 households per year, while also helping large customers achieve their individual sustainability goals.

Clēnera projects its solar array will be in service by 2023. CenterPoint Energy's PPA entitles it to 100 MW of the array, which will generate enough power to meet the needs of more than 18,500 homes per year.

Programs and services are operated under the brand CenterPoint Energy by Southern Indiana Gas and Electric Company d/b/a CenterPoint Energy Indiana South. 

Forward Looking Statement
This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as CenterPoint Energy's long-term electric generation transition plan and expected timing, benefits and generation mix resulting therefrom, expected timing of completion and power to be generated from the solar projects related to the solar array and PPA, the ability to meet CenterPoint Energy's net zero goals on the timeline indicated, and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the impact of COVID-19; (2) financial market conditions; (3) general economic conditions; (4) the timing and impact of future regulatory and legislative decisions; (5) effects of competition; (6) weather variations; (7) changes in business plans; (8) growth in CenterPoint Energy's service territory and changes in market demand; (9) CenterPoint Energy's ability to execute on operations initiatives, targets and goals; and (10) other factors, risks and uncertainties discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2020, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021 and June 30, 2021 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.

About CenterPoint Energy
As the only investor-owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. As of June 30, 2021, the company owned approximately $36 billion in assets and also owned 53.7 percent of the common units representing limited partner interests in Enable Midstream Partners, LP, a publicly traded master limited partnership that owns, operates and develops strategically located natural gas and crude oil infrastructure assets. With approximately 9,500 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.

For more information, contact
Media Relations
Media.Relations@CenterPointEnergy.com

 

SOURCE CenterPoint Energy, Inc.