Fortis Raking In The Bucks

News Release

FortisBC recently released its 2004 third quarter results, reporting higher earnings versus the same quarter last year.

"Earnings for the third quarter were $4.6 million, compared to
$2.6 million for the same quarter last year. Year-to-date earnings were $11.2 million, compared to $11.5 million for the same period last year," explained Philip Hughes, President and CEO of FortisBC. "Earnings were higher in the third quarter primarily due to increased electricity revenue as well as lower interest expense, partially offset by an increase in operating expenses as compared to the same period last year."

Last week, FortisBC filed its 2005 General Rate Application with the
British Columbia Utilities Commission (BCUC), in which it requested approval
to spend over $120 million on capital expenditures to meet customer growth and improve reliability. FortisBC expects a ruling from the BCUC by mid-2005.

FortisBC also announced yesterday that it had closed its first public
debenture offering in the aggregate principal amount of $140 million and that it had affected the conversion of $100 million of previously existing senior secured debentures to senior unsecured debentures. "This long-term financing will help bring rate stability to our customers going forward by securing ten year funding at a reasonable interest rate," said Hughes.