Atmos Energy is planning a complete rebranding of TXU Gas Co. on Feb. 1. The Texas utility company, its customers’ bills, employees’ uniforms, vehicles, buildings, forms, stationery, pipeline markers and website will all will have the new name Atmos Energy. “We want the transition for TXU Gas customers to be smooth and transparent,” said Atmos CEO Robert W. Best. “We purposively have delayed making major changes to ensure stability in the operations and to prepare for rebranding the business under our own name.” Atmos completed its purchase of TXU Gas and began serving customers on Oct. 1, 2004. The transaction made Atmos Energy the largest gas distribution company in the nation, serving about 3.1 million utility customers in more than 1,500 communities in 12 states . TXU Gas’ operations include service to 1.5 million utility customers in the Dallas-Fort Worth Metroplex and 550 other communities across northern Texas. The company also operates one of the largest intrastate natural gas pipelines in the state.

Dynegy completed its purchase of ExRes SHC Inc., the parent company of Sithe Energies Inc. and Sithe Independence LP, from Exelon Corp. The puchase includes the 1,021 MW combined-cycle Independence power generation facility in Scriba, NY, four gas-fired merchant facilities in New York and four hydroelectric generation facilities in Pennsylvania. It also includes a 750 MW firm capacity sales agreement with Con Edison through 2014 that will provide Dynegy with annual cash receipts of $100 million. Power tolling and financial swaps between Sithe and another Dynegy subsidiary have become intercompany agreements, eliminating the financial impact of these contracts, Dynegy said. Dynegy is paying $135 million in cash and will assume $919 million in project debt, most of which will be funded with proceeds from the long-term capacity sales contract with Con Edison. “The completion of this transaction provides multiple strategic and financial benefits for Dynegy, including the addition of new generation capacity in an attractive U.S. region where the company has a strong, existing presence and the mitigation of a legacy tolling agreement that minimizes corporate cash outflows,” said Dynegy CEO Bruce A. Williamson. “In addition, the debt obligations associated with the acquisition are largely covered by a long-term capacity contract with an investment-grade counterparty, enabling Dynegy to maintain its disciplined focus on capital expenditures that are in the best interest of our shareholders.” The assets increase Dynegy’s net generating capacity in the Northeast to more than 3,000 MW.

CenterPoint Energy, which serves about five million natural gas customers in Texas, Arkansas, Louisiana, Mississippi and Oklahoma, said Tuesday residential customers may expect to see gas bills fall as much as 15%, or about $7.65, in the next few weeks as part of a gas cost adjustment. The drop in prices is based on a monthly usage of 4 Mcf of gas. Customers who use 10 Mcf will save about 17%, or about $20 a month, CenterPoint said. CenterPoint last lowered its gas costs in August 2002. There were two rate increases last year. “This is a good time to pass along savings to our customers since gas usage is higher at this time of year due to heating needs,” said Georgianna Nichols, president of Houston gas operations for CenterPoint. She said the adjustment reflects fluctuations that the company pays in the marketplace for gas.

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