Chesterton Tribune

 

 

NiSource posts $2Q net loss of $18.5M

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By KEVIN NEVERS

NiSource Inc. is reporting a net loss of $18.5 million or 5 cents per share for the second quarter of 2020, compared to a net income in the year-ago period of $283.1 million or 76 cents per share.

“2020 is a transitional year for NiSource,” President and CEO Joe Hamrock said in a statement released today. “As we mitigate the impacts of the COVID-19 pandemic, and complete the sale of Columbia Gas of Massachusetts, we continue to execute on our strong core growth plan while re-positioning for enhanced execution in our key focus areas. We continue to invest in our asset modernization and safety enhancement programs while advancing our transition to renewable generation. To build on these transformational efforts, we have accelerated the initiative to align our capabilities and cost structure designed to ensure optimal performance as we execute on the significant opportunities in the NiSource business plan.”

COVID-19

“NiSource continues to see modest commercial and industrial load impacts due to COVID-19, which are partially offset by increases in residential load,” the company said. “Cost savings and other measures have been implemented to mitigate these negative impacts on revenues. The company expects to continue to manage these impacts and update investors in future quarters. Despite challenges related to the pandemic, NiSource continues to expect to make $1.7 to $1.8 billion in capital investments in 2020.”

Columbia Gas of Massachusetts

Early in July, NiSource and Eversource Energy filed a joint petition with the Massachusetts Department of Public Utilities seeking approval of the sale of NiSource subsidiary Columbia Gas of Massachusetts to Everlast, as part of a settlement agreement related to the disastrous series of natural-gas explosions which shook three communities north of Boston in September 2018.

That agreement required NiSource to pay $56 million, in lieu of penalties, into an Energy Relief Fund to “settle and resolve these pending matters” as well as to sell Columbia Gas of Massachusetts.

NiSource was reporting, for the first six months of 2020, a $346.6 million loss due to the re-classification of Columbia Gas of Massachusetts’ assets as held for sale.

That transaction remains on track for regulatory approval in the third quarter, with closing targeted shortly thereafter.

2Q Operating Income by Segment

-- Gas distribution: $1.7 million ($379 million year-ago).

-- Electric: $86.9 million ($85.7 million year-ago).

-- Corporate & other: $3.1 million (loss of $1.2 million year-ago).

-- Total: $91.7 million ($463.5 million year-ago).

 

Posted 8/5/2020

 

 
 
 
 

 

 

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