Monday, May 09, 2005

Duke, Cinergy to Merge

It's been a busy morning, so I haven't had time for the usual Monday news clips, but I had to make time for this very important announcement just off the wire:

Cinergy (CIN) and Duke Energy (DUK) today announced they have entered into a definitive merger agreement to create an energy company with approximately $36 billion in market capitalization and 5.4 million retail customers.

The merger, which was unanimously approved by both companies' boards of directors, will create a combined energy company with assets totaling more than $70 billion.

The combined company, to be named Duke Energy Corporation, will have approximately $27 billion in annual revenues and $1.9 billion in annual net income (combined figures as of Dec. 31, 2004). It will own and/or operate approximately 54,000 megawatts of electric generation domestically and internationally -- relying on a diverse fuel mix of nuclear, coal, natural gas and hydroelectric power to meet customers' needs.

More later.

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3 comments:

Norris McDonald said...

Wow. This is BIG news. Two of my favorite companies are getting married. I hope I at least get an invite to the reception. I'll bet there will be plenty of shrimp, half shells, crab meat, vino and other assorted goodies.

Does anyone have a convenient list of their combined nuclear plants? Wow again. The utility industry moves fast in some areas. What are the implications here?

Kelly L. Taylor said...

Norris,
Their combined nuclear capacity is the same as Duke's nuclear capacity alone.
"Cinergy is one of the largest non-nuclear electric suppliers in the U.S...." OK, make that 'was!'

http://www.cinergy.com/About_Cinergy_Corp/Corporate_Overview/default_corporate_fact_sheet.asp

Kelly

Kelly L. Taylor said...
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