8-K

ENBRIDGE INC 8-K Report (May 6, 2015)

Filed May 6, 2015For Securities:ENBENBMFEBBGFEBRGFEBRZFENBGFENBRFENFFFEBGEFENBFFENBHFENBNFENBOFENBSFEBBNFENNPF

Summary

Enbridge Inc. (ENB) reported its first quarter 2015 financial results on May 6, 2015. The company announced adjusted earnings of $468 million, or $0.56 per common share, compared to $492 million, or $0.60 per common share, in the first quarter of 2014. While overall adjusted earnings saw a slight decrease, the company highlighted strong asset performance and the successful execution of its growth capital program. A significant development announced was Enbridge's formal proposal to transfer the majority of its Canadian Liquids Pipelines business and certain renewable energy assets to Enbridge Income Fund. This strategic move is expected to provide low-cost funding for its substantial growth capital program and is projected to be accretive to adjusted earnings per share. The company also announced an increase in its quarterly common share dividend by 33% over the past year, reflecting confidence in its financial performance and commitment to shareholder returns.

Key Highlights

  • 1Enbridge reported first quarter 2015 adjusted earnings of $468 million ($0.56 per common share), slightly down from $492 million ($0.60 per common share) in Q1 2014.
  • 2A first quarter loss of $383 million was reported, primarily due to net unrealized non-cash mark-to-market losses.
  • 3The expansion of the Canadian Mainline system (Edmonton to Hardisty) was placed into service in April.
  • 4Enbridge proposed a significant restructuring to transfer its Canadian Liquids Pipelines business and certain renewable assets to Enbridge Income Fund, expected to close mid-2015.
  • 5The company announced a plan to optimize its Regional Oil Sands System expansions, expected to reduce project costs.
  • 6Enbridge will build, own, and operate the Stampede Oil Pipeline in the Gulf of Mexico.
  • 7The quarterly common share dividend was increased by 33% over the prior year, reaching an annual rate of $1.86 per share.

Frequently Asked Questions

Enbridge reported adjusted earnings of $468 million, or $0.56 per common share, for the three months ended March 31, 2015.

Enbridge delivered a formal proposal to transfer its Canadian Liquids Pipelines business and certain renewable energy assets to Enbridge Income Fund. This transaction is expected to provide low-cost funding for growth projects and is anticipated to close by mid-2015.

Yes, effective March 1, 2015, Enbridge's quarterly common share dividend was increased by 33% over the last year to an annual rate of $1.86 per share.

Key growth projects include the Edmonton to Hardisty Expansion (now in service), the Sandpiper Pipeline Project (seeking regulatory approval), the reversal and expansion of Line 9B (mechanically complete), and the optimization of the Regional Oil Sands System.