Duke Energy and Progress Energy Moving Forward with Planned Merger
December 16, 2011
CHARLOTTE AND RALEIGH, NC – December 16, 2011 – Below is a statement issued today by Duke Energy and Progress Energy.
“Duke Energy and Progress Energy announced today they remain committed to proceeding with their planned merger.
“The companies’ legal and regulatory teams are currently reviewing the order issued late yesterday by the Federal Energy Regulatory Commission (FERC) related to the agency’s concerns about market power. The companies are planning to submit a revised mitigation proposal as soon as the analysis of the commission’s order is complete and after any required notice to the North Carolina and South Carolina commissions.
“The FERC’s action changes the companies’ timeline for closing the merger. The earliest close date would be in March, but will ultimately depend upon the regulatory approval process. The companies are evaluating the regulatory calendar and will communicate a new target close date for planning purposes in the near future.
“The FERC ruling does not call into question the benefits of the merger. The combination of Duke Energy and Progress Energy will provide clear benefits for our customers, including overall lower corporate costs and $650 million in guaranteed benefits to customers in the Carolinas from the joint dispatch of the utilities’ generation fleets and from power plant fuel savings.”
To date, the companies have received merger-related approvals from, or met the requirements of, the:
- U.S. Department of Justice
- U.S. Nuclear Regulatory Commission
- Federal Communications Commission
- Kentucky Public Service Commission
- Shareholders of both companies
About Duke Energy
Duke Energy is one of the largest electric power holding companies in the United States. Its regulated utility operations serve approximately 4 million customers located in five states in the Southeast and Midwest, representing a population of approximately 12 million people. Its commercial power and international business segments own and operate diverse power generation assets in North America and Latin America, including a growing portfolio of renewable energy assets in the United States. Headquartered in Charlotte, N.C., Duke Energy is a Fortune 500 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at: www.duke-energy.com.
About Progress Energy
Progress Energy (NYSE: PGN), headquartered in Raleigh, N.C., is a Fortune 500 energy company with more than 22,000 megawatts of generation capacity and approximately $10 billion in annual revenues. Progress Energy includes two major electric utilities that serve about 3.1 million customers in the Carolinas and Florida. The company has earned the Edison Electric Institute’s Edison Award, the industry’s highest honor, in recognition of its operational excellence, and was the first utility to receive the prestigious J.D. Power and Associates Founder’s Award for customer service. The company is pursuing a balanced strategy for a secure energy future, which includes aggressive energy-efficiency programs, investments in renewable energy technologies and a state-of-the-art electricity system. Progress Energy celebrated a century of service in 2008. Visit the company’s website at www.progress-energy.com.
