Parent

Energy East Corp., parent of New York State Electric & Gas,offered to buy Connecticut Energy Corp. (CNE) for $617 millionFriday, paving the way for the combined utility to add 160,000 newgas customers and at the same time continuing to shrink the numberof pure gas utilities. The board of directors for each company hasagreed to the deal.

FERC last week put off a final ruling on the troubled merger ofAllegheny Energy and DQE Inc., parent of Duquesne Light, until thepartners decide how they want to resolve some serious competitiveconcerns. The Commission gave them the option of divesting DQE’s570-MW Cheswick Generating Station or proceeding to hearing ontheir own mitigation measures, which include relinquishing controlof the Cheswick output on a short-term basis and joining theMidwest independent system operator (ISO).

After three months operating as MarketSpan Corp., the companyformed by the merger of Brooklyn Union Gas parent KeySpan Energyand Long Island Lighting and Power, has decided to change its nameto KeySpan Energy. CEO Robert B. Catell said the decision was madebecause of KeySpan’s superior name recognition in its serviceterritory. The company will trade on the New York Stock Exchangeunder the symbol KSE.

After three months operating as MarketSpan Corp., the companyformed by the merger of Brooklyn Union Gas parent KeySpan Energyand Long Island Lighting and Power, has decided to change its nameto KeySpan Energy. CEO Robert B. Catell said the decision was madebecause of KeySpan’s superior name recognition in its serviceterritory. The company will trade on the New York Stock Exchangeunder the symbol KSE.

AGL Resources Inc., parent of Atlanta Gas Light (AGL) posted anet loss of $1.2 million for the third quarter ended June 30,compared with a gain of $1.4 million for the year-earlier quarter.

NUI Corp., parent company of six eastern gas local distributioncompanies, announced a restructuring plan designed to streamlinethe company in preparation for a more competitive marketplace. Theplan includes greater emphasis on nonregulated business operationsand a voluntary early retirement program offered to 88 of its 1,161employees, including four members of NUI’s executive managementteam, among them Lyle Motley, president of the company’s southerndivision. Further downsizing is expected once the companydetermines where it can achieve greater efficiencies in its effortto generate higher revenues from its nonregulated businesses.

Confident parent companies Enova and Pacific Enterprises are inthe home stretch for final merger approval by the Securities andExchange Commission, Sempra Energy announced a deal with a nationaltelecommunications marketer, The Furst Group, Inc., that shows it’srapidly expanding in the nonregulated energy and communicationsservices arena.

AGL Resources, parent of LDC Atlanta Gas Light, said Atlanta GasLight Services will be the name of its non-regulated marketingaffiliate when competition begins in Georgia. Not everyone is happywith the choice.