In 2011, Kewaunee had a loss of -$39Mn in net income, which D[ominion] excluded from operating earnings. Following a roll-off of the above market PPA at the end of ’13, we had projected that earnings would fall by another ~$65Mn driving negative FCF and minimal EBITDA. We agree that the economics of Kewaunee were uniquely challenged given its small size and regionally depressed power prices.That's a conclusion that pretty much reinforces what Dominion had to say earlier today.
Monday, October 22, 2012
UBS just published a research note concerning Dominion's decision to close and decommission the Kewaunee Power Station: