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Almost two weeks after Williams and Duke Energy announced they wereacquiring The Coastal Corp.’s yet-to-be-built 744-mile GulfstreamNatural Gas System (pipeline), Coastal reported that it has enteredinto a $310 million purchase agreement with Berg Steel Pipe tomanufacture and deliver almost all of the steel piping needed forconstruction (see Daily GPI, Nov. 20).

MCN Energy reported a third-quarter loss of $24.9 million or$0.28 per share compared with a net loss of $23.2 million or $0.27per share, in 3Q99. Both periods were affected by unusual items, aswell as recently adopted accounting treatment of non-regulatedstorage activities. Before unusual items and costs related to thecompany’s proposed merger with DTE Energy, the loss totaled $17.4million or $0.19 per share, and compared with $19.4 million or$0.22/share in 3Q99. Gas distribution reported a third-quarteroperating and joint venture loss of $11.8 million, which includes a$9.7 million pre-tax charge related to the decision to sell itsheating, ventilation and air conditioning business, as well as $1.8million of merger-related costs. Pipelines and processing hadoperating and joint venture income of $5.4 million. Electricpower’s operating and joint venture income was $0.9 million, downfrom $6.6 million in the 1999 third quarter due to asset salesrequired to complete MCN’s pending merger with DTE. Energymarketing reported an operating and joint venture loss of $3.4million. Exploration and production had operating income of $4million. MCN’s largest subsidiary is Michigan Consolidated Gas, agas utility serving 1.2 million customers in Michigan.

If you were among those amazed by the virtual hailstorm ofmergers and acquisitions in the power and utility sector this year,PricewaterhouseCoopers warns, you haven’t seen anything yet.According to an M&A forecast by the Transaction Services groupwithin the firm, the “once sleepy and over-regulated [energy]industry” is the key M&A segment to watch in 2001.

If you were among those amazed by the virtual hailstorm ofmergers and acquisitions in the power and utility sector this year,PricewaterhouseCoopers warns you haven’t seen anything yet.According to an M&A forecast by the Transaction Services groupwithin the firm, the “once sleepy and over-regulated [energy]industry” is the key M&A segment to watch in 2001.

Rosemead, CA-based Edison International and its SouthernCalifornia Edison utility were hit with a $2.4 billion securitiesfraud class action federal lawsuit last Monday, alleging thecompanies’ violated parts of the federal securities law by bookingas revenue in the second and third quarters more than $2.3 billionin summer wholesale power costs that have yet to be collected.

Rosemead, CA-based Edison International and its SouthernCalifornia Edison utility were hit with a $2.4 billion securitiesfraud class action federal lawsuit Monday, alleging the companies’violated parts of the federal securities law by booking as revenuein the second and third quarters more than $2.3 billion in summerwholesale power costs that have yet to be collected.

“It looked like the screen and cash were in a race to see whichone could go downhill farthest and fastest.” A marketer’s commentaccurately summed up a day that more than ever indicated the bloomis quickly coming off this year’s price rose. Double-digit declinesdominated Thursday, with most exceeding 30 cents, and many GulfCoast and Midcontinent pipes experienced sub-$5 territory for thefirst time in months.

Electric restructuring is almost a reality for Ohio consumersstatewide as American Electric Power’s (AEP) transition plan andMonongahela Power’s plan were approved by the Public UtilitiesCommission of Ohio. AEP’s and Monongahela’s Ohio customers will nowjoin the customers of the other three utilities in enjoying thefreedom of choosing their electricity supplier, with servicestarting as early as Jan. 1.

Almost a year after Plains Resources and its subsidiary, PlainsAll American Pipeline L.P., were allegedly involved in”unauthorized trading,” the companies announced yesterday that theyhave reached an agreement in principle for the settlement of twoclass action securities suits. The companies have agreed to payaffected shareholders a total of $29.5 million plus interest forthe unauthorized trading loss disclosed in November 1999.