8-K

ENBRIDGE INC 8-K Report (May 9, 2012)

Filed May 9, 2012For Securities:ENBENBMFEBBGFEBRGFEBRZFENBGFENBRFENFFFEBGEFENBFFENBHFENBNFENBOFENBSFEBBNFENNPF

Summary

Enbridge Inc. reported first quarter adjusted earnings of $376 million, or $0.50 per common share, indicating a strong start to 2012 and positioning the company to meet its full-year guidance. The company is making significant investments in growth projects, notably expanding its U.S. Gulf Coast initiative to $5.2 billion, which includes upsizing the Flanagan South Pipeline and twinning the Seaway Crude Pipeline System. This expansion aims to meet growing transportation needs for producers and refiners, enhancing North American energy security. In addition to its core energy infrastructure business, Enbridge is expanding its renewable energy portfolio with the acquisition of the Silver State North Solar Project in Nevada, adding to its nearly 1,000 megawatts of renewable energy interests. The company also continues to bolster its balance sheet, having issued $1.05 billion in preference shares over the past eight months to support its extensive growth projects. Despite a significant $262 million write-down related to regulatory changes in New Brunswick, Enbridge remains focused on delivering strong financial performance and superior returns to investors.

Key Highlights

  • 1First quarter adjusted earnings increased 14% to $376 million ($0.50 per share), on track to meet full-year guidance.
  • 2U.S. Gulf Coast Access initiative investment upsized to $5.2 billion, enhancing capacity from producers to refiners.
  • 3Acquisition of Silver State North Solar Project in Nevada, expanding Enbridge's renewable energy portfolio.
  • 4Issued $1.05 billion in preference shares to strengthen the balance sheet for growth projects.
  • 5Announced CEO transition plan with Al Monaco appointed as President.
  • 6Recognized for sustainability efforts, named one of the Global 100 Most Sustainable Corporations.
  • 7Reported a $262 million write-down related to new rate regulations for Enbridge Gas New Brunswick.

Frequently Asked Questions

Enbridge reported first quarter adjusted earnings of $376 million ($0.50 per common share), a 14% increase compared to the same period last year. GAAP earnings were $264 million, impacted by non-cash mark-to-market losses primarily related to financial derivatives.

Enbridge is significantly expanding its U.S. Gulf Coast Access initiative to $5.2 billion, which includes upsizing the Flanagan South Pipeline and twinning the Seaway Crude Pipeline System. The company is also investing in renewable energy, having acquired the Silver State North Solar Project.

Enbridge has recently issued $1.05 billion in preference shares over the past eight months to strengthen its balance sheet. The company also has significant available liquidity through committed credit facilities, estimated at $7.4 billion at the end of the quarter.

Enbridge recorded a $262 million write-down related to new rate regulations for Enbridge Gas New Brunswick (EGNB). The company has also commenced legal action against the Province of New Brunswick, claiming $650 million in damages.