Financial

As a further fallout from Enron Corp.’s financial collapse, three Democratic senators from the West Coast plan to introduce legislation in Congress today to step up the regulatory oversight of the energy markets to ensure full disclosure of all energy transactions.

Planalytics Inc. announced that Citizens Gas & Coke Utility has renewed its contract for Planalytics Gas Buyer(SM), a financial risk management tool for purchasing and hedging natural gas. “Planalytics Gas Buyer is a key part of our risk management strategy,” said Lindsay Lindgren, vice president of Gas Operations for Citizens Gas & Coke Utility. “The Gas Buyer’s year-ahead analysis of gas prices helps us sort through the day-to-day market volatility and bring increased price stability to our 262,000 customers.” The company’s Gas Buyer provides daily buying, selling or hedging actions designed to reduce risk and take advantage of opportunities presented by weather-driven effects on gas prices. The web-based tool combines long- range weather intelligence, weekly storage data, inventory change forecasts, real-time NYMEX futures contract pricing and advanced neural network technologies into an engine that determines if natural gas for any of the next twelve months is currently overvalued or undervalued. Planalytics said it is hosting a live Planalytics Gas Buyer web cast from 3:30 to 4:00 p.m. EST on Feb. 12 to show how its product works. The web cast can be accessed at www.planalytics.com/energy. Indianapolis, IN-based Citizens Gas & Coke Utility provides energy services to more than 262,000 residential, commercial, and industrial customers in Marion County, IN.

As the tentacles of the Enron Corp. financial calamity spread into all corners of the federal government last week, FERC Chairman Pat Wood and Commission Nora M. Brownell disputed reports that Enron Chairman Kenneth Lay played a major role in getting them appointed to the Commission last year.

As the tentacles of the Enron Corp. financial calamity spread into all corners of the federal government last week, FERC Chairman Pat Wood and Commission Nora M. Brownell disputed reports that Enron Chairman Kenneth Lay played a major role in getting them appointed to the Commission last year.

Duke Energy missed analysts earnings estimates for the fourth quarter and full year, posting earnings per share (EPS) of 35 cents and $2.64, respectively, compared to average Wall Street consensus estimates of 45 cents for the fourth quarter and $2.74 for the year. In 4Q2000, the company posted EPS of 47 cents and for the full year it posted $2.10. Lower commodity prices hindered growth in Duke’s field services operations and mild weather hurt results from the company’s North Carolina utility company. Based on the results, Credit Suisse First Boston analyst Curt Launer said he was lowering expectations for this year from $2.85 to $2.75/share. Duke’s stock price was down nearly 3% by mid-day on Thursday after its announcement. However, Duke’s marketing and merchant power operations performed well and are expected to showed continued strong growth this year. In addition, the company is buying Canadian pipeline giant Westcoast Energy. “Despite all of the turbulence in the industry, it was our best year ever,” said CEO Richard Priory, noting a 26% increase in ongoing earnings per share before special charges in 2001. Non-recurring items, however, brought earnings per share gains down to only 2.5%, and the company’s fourth quarter was particularly difficult with diluted earnings per share after special items down 26% to 28 cents. Priory said the company’s balanced energy portfolio led to full-year improvements. Marketing and trading operations, merchant power and Duke’s other unregulated businesses showed earnings growth of 127%. Before special items, the company posted record earnings of $2.64/share compared to $2.10 in 2000, but short of the $2.74 average of analysts’ estimates. Including non-recurring items, Duke posted $2.45/share in 2001 compared to $2.39 in 2000. Net income for the year rose to $1.9 billion from $1.8 billion in 2000. Revenues for 2001 grew 21% to $60 billion. Fourth quarter net income fell to $225 million from $284 million.

As energy companies come under continuing pressure to improve financial performance, despite volatile price swings in the oil and gas markets, technology is the crucial key in reducing costs and improving margins for both the upstream and downstream markets, according to a new study prepared by Cambridge Energy Research Associates (CERA) and Sun Microsystems.

As energy companies come under continuing pressure to improve financial performance, despite volatile price swings in the oil and gas markets, technology is the crucial key in reducing costs and improving margins for both the upstream and downstream markets, according to a new study prepared by Cambridge Energy Research Associates (CERA) and Sun Microsystems.

Volumes and transactions have soared on IntercontinentalExchange (ICE), as Enron’s financial troubles have mounted causing credit concerns for counterparties on its online trading system, EnronOnline. ICE reported record volumes in the second week of November.

Volumes and transactions have soared on IntercontinentalExchange (ICE), as Enron’s financial troubles have mounted causing credit concerns for counterparties on its online trading system, EnronOnline. ICE reported record volumes last week in its strongest weekly performance in its 13-month history.