Joining the rather large list of third quarter 2000 earningssuccess stories, Williams reported net income that was more thanquadruple the figure for the same period last year. Its profitsrose to $121.1 million ($0.27 per share) from $28.1 million ($0.06per share).

“The earnings growth is being driven largely by our electricpower marketing and trading business, the benefit of higher energycommodity prices and greater productive capacity fueled by thecontinuing investment in the growth of our company,” said CEO KeithE. Bailey.

The company’s energy services segment showed the greatestprofit, $311.5 million compared to 155.2 million in 3Q99. Thegrowth was attributed to a $133.2 million increase in energymarketing and trading business. Williams also pointed to anincrease in natural gas liquids margins and volumes, and highernatural gas production prices.

Williams’ gas pipeline segment also improved on last year’sthird quarter due primarily to earnings contribution from jointventure investments made since the third quarter of 1999 and highertransportation and storage revenues. The segments profit rose to$153.4 million from $142.7 million.

Communications continued to lose money as it absorbs the ongoingcosts of building and staffing the new broadband network company.The division recorded a $119.9 million loss, compared with a lossof $81.7 million.

“While all projections can miss their mark due to any number offactors, we remain confident that 2000 will end up being a banneryear due to our increased productive capacity, solid operatingperformance and generally favorable market conditions,” Baileysaid. “We expect our energy businesses during this quarter tocontinue to produce year-over-year improvement in recurringresults.”

Alex Steis

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