Pepco Holdings Reports First-Quarter Results, Conference Call Scheduled
Friday, April 25, 2003
For Immediate Release
Pepco Holdings, Inc. (PHI) (NYSE: POM) announced a first-quarter 2003consolidated loss of $24.9 million, or 15 cents per share, on operatingrevenue of $1.9 billion. These results include the net unfavorable impactof $31.1 million, or 19 cents per share, due to Conectiv Energy''s cancellationof a contract with General Electric for the delivery of four combustionturbines (CTs) and $27 million, or 16 cents per share, in net tradinglosses prior to the cessation of proprietary trading. Conectiv Energycancelled the CT order due to uncertainty in the energy markets and currenthigh level of capacity reserves within PJM. PHI previously announced thatit was halting proprietary trading after experiencing a net $20 millionloss in February due to unprecedented volatility in natural gas prices.In 2002, Potomac Electric Power Company (Pepco) reported first-quarterconsolidated earnings of $23.3 million, or 22 cents per share, on operatingrevenue of $499.2 million.
PHI was formed to effect Pepco''s acquisition of Conectiv, which occurredon Aug. 1, 2002. The 2003 quarterly financial results include PHI andits subsidiaries operating results for the full three months. The 2002quarter includes only the results of Pepco and its pre-merger subsidiaries,as previously reported by Pepco. Comparisons to the first-quarter 2002results are not meaningful since under purchase accounting rules, Conectiv''sresults of operations are not included.
CONFERENCE CALL FOR INVESTORS
PHI will host a conference call to discuss first-quarter results latertoday at 3 p.m. EDT. Individual investors, members of the news media andother interested parties may access the conference call "live"on the Internet at http://www.pepcoholdings.com/investors or by telephoneat (212) 271-4505. A taped on-demand replay of the conference call willalso be available for seven days following the call. To hear the replay,call (800) 633-8284 or (402) 977-9140 and enter access code 21141584.An audio archive also will be available on the PHI Web site.
Pepco Holdings, Inc. is a diversified energy company with headquartersin Washington, D.C. Its principal operations consist of Pepco and ConectivPower Delivery, which deliver 50,000 gigawatt-hours of power to more than1.8 million customers in Washington, Delaware, Maryland, New Jersey andVirginia. PHI engages in regulated utility operations by delivering electricityand natural gas, and provides competitive energy and energy products andservices to residential and commercial customers.
Please click here for the SelectedFinancial Information. (.pdf document)
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Forward-Looking Statements: Except for historical statements and discussions,the statements in this news release constitute "forward-looking statements"within the meaning of federal securities law. These statements containmanagement''s beliefs based on information currently available to managementand on various assumptions concerning future events. Forward-looking statementsare not a guarantee of future performance or events. They are subjectto a number of uncertainties and other factors, many of which are outsidethe company''s control. Factors that could cause actual results to differmaterially from those in the forward-looking statements herein includegeneral economic, business and financing conditions; availability andcost of capital; changes in laws, regulations or regulatory policies;weather conditions; competition; governmental actions; and other presentlyunknown or unforeseen factors. These uncertainties and factors could causeactual results to differ materially from such statements. PHI disclaimsany intention or obligation to update or revise any forward-looking statements,whether as a result of new information, future events or otherwise. Thisinformation is presented solely to provide additional information to furtherunderstand the results and prospects of PHI.
