RALEIGH, N.C. (May 5, 2011) – Progress Energy [NYSE: PGN] announced first-quarter GAAP earnings of $184 million, or $0.62 per share, compared with GAAP earnings of $190 million, or $0.67 per share, for the same period last year. First-quarter ongoing earnings were $202 million, or $0.69 per share, compared to $213 million, or $0.75 per share, for the same period last year. The significant drivers in ongoing earnings per share were extreme weather in the prior year throughout the company’s service territories and decreased wholesale revenues in Florida, partially offset by lower depreciation and amortization expense in Florida. (See the discussion later in this release for a reconciliation of ongoing earnings per share to GAAP earnings per share.)
“We are on track in meeting our financial goals and our shareholder expectations, even as weather returned to a more normal range from the extreme cold of early 2010,” said Bill Johnson, Progress Energy chairman, president and CEO. “We continue to see modest growth and signs of recovery in the Carolinas and Florida. Meanwhile, we remain focused on operational excellence, cost discipline and managing the business effectively as we move ahead with approvals and integration planning associated with our pending merger with Duke Energy.”
Progress Energy affirms 2011 ongoing earnings guidance of $3.00 to $3.20 per share. The ongoing earnings guidance excludes the impact, if any, from discontinued operations, the effects of certain identified gains and charges and any merger and integration costs from our proposed strategic combination with Duke Energy Corporation (the Merger). Progress Energy is not able to provide a corresponding GAAP equivalent for the 2011 ongoing earnings guidance due to the uncertain nature and amount of these adjustments.