Enbridge Inc.
TSX : ENB
NYSE : ENB
TSX : ENB.PR.A

Enbridge Inc.

August 02, 2012 07:00 ET

Enbridge Reports Second Quarter Adjusted Earnings of $277 Million or $0.36 Per Common Share

CALGARY, ALBERTA--(Marketwire - Aug. 2, 2012) -

HIGHLIGHTS

(all financial figures are unaudited and in Canadian dollars)

  • Second quarter earnings were $11 million; six month earnings were $275 million including unrealized non-cash mark-to-market losses

  • Second quarter and six months adjusted earnings increased 7% to $277 million and 11% to $653 million, respectively

  • Enbridge announced $3.2 billion of additional Eastern Access and Mainline Expansion projects

  • Seaway Pipeline reversal was completed providing an initial 150,000 barrels per day of crude oil transportation capacity from Cushing, Oklahoma to the United States Gulf Coast

  • Enbridge continued the execution of its financing plan with the issuance of $1.06 billion in preference shares, $0.4 billion in common shares and a unique $0.1 billion "Century" bond with a term of 100 years

  • Silver State North Solar Project and Greenwich Windfarm celebrated grand openings

  • Enbridge responds to the National Transportation Safety Board report on the July 2010 Michigan crude oil release; and to the July 27, 2012 crude oil release in Wisconsin

Enbridge Inc. (TSX:ENB) (NYSE:ENB) - "Over the first half of 2012, Enbridge has continued to deliver steady performance, keeping us on track with our full year adjusted earnings per share guidance range of $1.58 to $1.74," said Patrick D. Daniel, Chief Executive Officer.

2012 results reflected unrealized non-cash mark-to-market accounting impacts related to the comprehensive long-term economic hedging program Enbridge has put in place to mitigate exposures to interest rate variability and foreign exchange, as well as commodity price risks. These kinds of short-term non-cash impacts to reported earnings are a result of Enbridge's hedging program, which the Company believes over the long-term will support reliable cash flows and dividend growth.

In May, Enbridge announced a suite of major additions to its liquids pipelines infrastructure, totaling $3.2 billion. Enbridge has secured commercial support to proceed with additional Eastern Access projects including a 80,000 barrel per day (bpd) expansion of Enbridge's Toledo Pipeline (Line 17) and a re-reversal of Enbridge's 240,000 bpd Line 9B from Westover, Ontario to Montreal, Quebec. Enbridge and Enbridge Energy Partners, L.P. (EEP) also expect to proceed with supporting expansions of the United States mainline system between Flanagan, Illinois and Sarnia, Ontario, and expansion of Line 67 (Alberta Clipper) and Line 61 (Southern Access).

"Our Eastern Access projects complement our previously announced Gulf Coast Access projects in expanding access to new markets in North America for growing production from western Canada and the Bakken," said Mr. Daniel. "These market access projects and the supporting mainline expansions are attractive investment opportunities for Enbridge and EEP. The associated aggregate investment of approximately $8 billion at attractive returns provides substantial support for the extension of our 10% growth rate in adjusted earnings per share through the middle of this decade and beyond."

Mr. Daniel noted that Enbridge's expansion projects will also provide substantial economic benefits to shippers and the local economies in western Canada and the Bakken region in North Dakota where the crude oil is produced, as well as in the midwestern United States and eastern Canada where it will be refined.

"Communities along the routes of these pipelines will also benefit from increased economic activity. Importantly, these initiatives utilize existing energy corridors and pipelines that minimize disruption to the environment and lessen the industry's footprint."

Enbridge and its partner, Enterprise Products Partners, L.P. (Enterprise), marked a significant milestone with oil first flowing May 19, 2012 on the reversed Seaway Pipeline for delivery to the United States Gulf Coast.

"We continue to make excellent progress in establishing a new and much needed corridor from the Chicago area to the United States Gulf Coast refining market," said Mr. Daniel. "With the completion of the first phase of the reversal and expansion of the Seaway Pipeline we've now added 150,000 bpd of new capacity out of the Cushing hub and we expect to ramp this up to 400,000 bpd by the beginning of 2013. Our Flanagan South Pipeline Project and existing Spearhead Pipeline System, combined with the planned twinning of the Seaway Pipeline, will bring total capacity from Chicago to the United States Gulf Coast to approximately 850,000 bpd by mid-2014, with low cost expandability beyond that. This will help to relieve bottlenecks arising from an unprecedented growth outlook for North American oil production, reduce price discounts for producers and further reduce United States dependence on overseas imports."

Over the quarter, Enbridge continued to be active in equity markets and building liquidity in support of the Company's suite of investment opportunities, placing approximately $610 million in preference shares; with a subsequent issue in July raising an additional $450 million. During the quarter, the Company was also successful in issuing 9.83 million common shares for gross proceeds of approximately $400 million.

"In July, confidence in the long-term sustainability of Enbridge's business model was demonstrated by the issuance of a $100 million Century Bond with a 100-year term to maturity through its subsidiary, Enbridge Pipelines Inc., the second Century Bond ever issued by a Canadian corporation," said Mr. Daniel. Also in July, a new US$675 million credit facility was secured by EEP, bringing Enbridge's enterprise wide general purpose credit facilities to $11.8 billion.

In green energy, Enbridge celebrated grand openings at the Silver State North Solar Project (Silver State) in Nevada on May 7, 2012 and at the Greenwich Windfarm in Ontario on June 15, 2012.

"We're pleased to continue to advance our growth strategy in renewable and alternative energy generation, creating environmental benefits while generating stable and reliable cash flows," said Mr. Daniel. "Since 2002, Enbridge has invested nearly $3 billion in its growing North American portfolio of renewable and alternative energy technologies which now includes eight wind farms, four solar projects, a geothermal installation, a hybrid fuel cell and four waste heat recovery facilities."

"Enbridge currently has in place the largest slate of attractive commercially secured growth projects in the history of the Company, supported by a team ready to execute and to lead the Company into the next stage of its development. As we enter the latter half of 2012, we remain confident in our ability to achieve our strategic objectives and to continue to deliver superior results to our shareholders," concluded Mr. Daniel.

In early July, the National Transportation and Safety Board (NTSB) issued a summary of its report on the July 2010 crude oil leak in Michigan, followed shortly after by publication of its final report.

On July 27, 2012, Enbridge confirmed a crude oil release on Line 14, owned by Enbridge Energy, Limited Partnership, a subsidiary of EEP, near Grand Marsh, Wisconsin. Enbridge continues to make significant clean up and restoration progress at the site and is committed to thorough restoration as quickly as possible. Repair of Line 14 is complete; however, the date for Line 14 to return to service is indeterminate at this time. Enbridge will work with the Pipeline and Hazardous Materials Safety Administration (PHMSA) to meet all requirements that must be satisfied prior to the restart of the line and will work with shippers to mitigate the impact of this disruption to the maximum extent possible.

"At the time of the Marshall incident in July 2010, we immediately accepted full responsibility and committed to do whatever it took to make things right in the community, to fully understand what happened, and to do what was necessary to work with all parties to improve procedures and technology so that this wouldn't happen again," said Mr. Daniel. "While we deeply regret the incident on Line 14 this past week, our ability to quickly detect and immediately respond to the leak thus limiting environmental impacts is evidence of our ongoing commitment to implement the learnings from 2010 and the enhancements we've made over the past two years. We will continue to carefully examine the report of the NTSB, as well as the findings from the investigation of the Line 14 leak, to determine whether any further changes are required. We apologize to those affected by the Line 14 incident and we greatly appreciate the patience and cooperation of the affected landowners and the community.

"Operational safety and reliability are our highest priorities," continued Mr. Daniel. "We are humbled by the incidents we have experienced. Under the framework of our comprehensive Operational Risk Management plan, we are applying our learnings, and have set for ourselves the objective of delivering industry leading performance across all of our existing operations. We will design and build our growth projects to meet and exceed the expectations of our stakeholders for the safe and reliable delivery of energy."

SECOND QUARTER 2012 OVERVIEW

For more information on Enbridge's growth projects and operating results, please see the Management's Discussion and Analysis (MD&A) which is filed on SEDAR and EDGAR and also available on the Company's website at www.enbridge.com/InvestorRelations.aspx.

  • Earnings attributable to common shareholders of $11 million for the second quarter of 2012 have decreased compared with the second quarter of 2011 primarily due to the recognition of net unrealized fair value losses on financial derivatives used to risk manage the profitability of forward transportation and storage transactions and revaluation of inventory in Energy Services, as well as foreign exchange and commodity price risks inherent within the Competitive Toll Settlement.
  • Enbridge's second quarter adjusted earnings increased 7% to $277 million as a result of increased contributions from Canadian Mainline and Spearhead Pipeline, which benefited from strong volumes, partially offset by decreased earnings from Enbridge Gas New Brunswick (EGNB) and increased net Corporate segment financing costs.
  • On July 27, 2012, a release of crude oil was detected on Line 14 of EEP's Lakehead System near Grand Marsh, Wisconsin. After detecting a pressure drop on Line 14, Line 14 was immediately shut down and isolated and emergency crews were promptly dispatched. The initial estimate of volume of the oil released was approximately 1,200 barrels. EEP estimates that its costs associated with repair of the pipeline and remediation of this crude oil release will be approximately US$8 million based on currently available information. Despite the efforts EEP has made to ensure the reasonableness of its estimate, changes to the estimated amounts associated with this release are possible as more reliable information becomes available. Enbridge received a Corrective Action Order (CAO) from the Pipeline and Hazardous Materials Safety Administration (PHMSA) on July 30, 2012 and a follow on amendment to the CAO on August 1, 2012 outlining additional requirements that must be satisfied prior to the restart of Line 14. A substantial portion of the additional requirements are consistent with actions already planned and being implemented by Enbridge. Enbridge will review the requirements, adjust its plans as required, and work with PHMSA to satisfy all of the specified requirements on a timely basis. The date for Line 14 to return to service remains indeterminate until such work is further progressed. Enbridge will work with shippers to mitigate impacts to crude oil supply to midwestern United States refineries to the maximum extent possible. Enbridge does not anticipate the financial impact of a period of suspended service on Line 14 will be material.
  • On July 10, 2012, the NTSB discussed the results of its investigation into the Line 6B crude oil release that occurred near Marshall, Michigan in July 2010 and subsequently posted its final report on July 26, 2012. Enbridge and EEP have worked closely and cooperatively with the NTSB throughout its investigation, and are now reviewing the report. Further on July 2, 2012, EEP and Enbridge received a Notice of Probable Violation (NOPV) from the PHMSA regarding this incident, which indicated a US$3.7 million civil penalty. Enbridge has worked closely and cooperatively with all federal and state agencies, including PHMSA, throughout the investigation of the Line 6B accident, and is now reviewing the NOPV in detail.
  • On June 19, 2012, Enbridge confirmed an oil release at its Elk Point oil pumping station on Line 19 (Athabasca Pipeline), approximately 70 kilometres (44 miles) south of Bonnyville, Alberta and approximately 24 kilometres (15 miles) from the town of Elk Point. The release, which occurred June 18, 2012, was largely contained within the pumping station site with no risk to public health or safety. The area was secured and clean-up operations began immediately. Volume estimates of the release are approximately 1,400 barrels. After receiving approval from the Energy Resources Conservation Board (ERCB), Enbridge safely restarted the Elk Point pumping station on June 24, 2012. The ERCB and Enbridge are continuing their investigations as to the cause of the incident which appears to be the failure of a flange gasket.
  • Enbridge and Renewable Energy Systems Canada Inc. (RES Canada), an affiliate of RES Americas, celebrated the grand opening of Enbridge's 99-megawatt (MW) Greenwich Windfarm on June 15, 2012. Located on the northern shore of Lake Superior, the 99 MW project is expected to generate enough clean electricity to meet the needs of about 34,000 households, potentially displacing about 107,000 tonnes of carbon dioxide emissions annually. It is the first wind power facility to be wholly located on Crown land in Ontario. The Greenwich Windfarm delivers energy to the Ontario Power Authority under a Renewable Energy Supply III (RES III) 20-year power purchase agreement. Comprising 43 Siemens SWT-2.3 wind turbines, the project was constructed by RES Canada under a fixed price, turnkey, engineering, procurement and construction agreement.
  • Enbridge and Enterprise announced on May 19, 2012 that the Seaway Pipeline began accepting crude oil at Cushing, Oklahoma for delivery to the United States Gulf Coast. The reversal of the 805-kilometre (500-mile), 30-inch diameter pipeline, which had been in northbound service since 1995, provides North American producers with the infrastructure needed to access more than four million bpd of Gulf Coast refinery demand. The reversal will initially provide 150,000 bpd of capacity, which is expected to increase to more than 400,000 bpd in the first quarter of 2013 with additional modifications and increased pumping capabilities.
  • On May 16, 2012, Enbridge announced it had secured commercial support to proceed with additional Eastern Access projects totaling up to approximately $2.6 billion. The Eastern Access initiative includes an 80,000 bpd expansion of the Toledo Pipeline, a reversal of the 240,000 bpd Line 9B from Westover, Ontario to Montreal, Quebec and the previously announced reversal of Line 9A from Sarnia, Ontario to Westover. Enbridge and EEP also expect to proceed with supporting expansions of the United States mainline system between Flanagan, Illinois and Sarnia, Ontario. The supporting mainline expansions include expansion of the Spearhead North pipeline between Flanagan and Griffith, Indiana, an additional 330,000 barrel tank at Griffith, replacement of additional sections of Line 6B in Indiana and Michigan, as well as the previously announced Line 5 expansion.
  • On May 16, 2012, Enbridge and EEP announced approximately US$0.4 billion of projects to expand capacity of the Lakehead System mainline between its origin near Neche, North Dakota, to its growing terminal hub in Flanagan, Illinois, southwest of Chicago. The current scope of the projects includes expansion of the Alberta Clipper pipeline (Line 67) between the border and Superior, Wisconsin from 450,000 bpd to 570,000 bpd and expansion of the Southern Access pipeline (Line 61) between Superior and Flanagan, Illinois from 400,000 bpd to 560,000 bpd. Both projects require only the addition of pumping horsepower, with no line pipe construction. The scope of the expansions remains under discussion with shippers, which could lead to an upward revision to capacity and cost.
  • Also on May 16, 2012, Enbridge announced an approximately $0.2 billion expansion of the Canadian portion of the Alberta Clipper pipeline (Line 67). The current scope of the project will involve the addition of pumping horsepower sufficient to raise the capacity of the Canadian mainline by 120,000 bpd. The expansion remains subject to National Energy Board approval and to finalization of scope and approval by shippers, which could lead to an upward revision of capacity and cost.
  • On May 7, 2012, Enbridge celebrated the grand opening of the 50-MW Silver State project in Clark County, Nevada. The facility was acquired in March 2012 at an estimated cost of US$0.2 billion. Located 65 kilometers (40 miles) south of Las Vegas, Nevada, Silver State was constructed under a fixed-price engineering, procurement and construction agreement with First Solar. First Solar is providing operations and maintenance services under a long-term contract and the energy output is being delivered to NV Energy, Inc. under a 25-year power purchase agreement.
  • On April 16, 2012, the Government of New Brunswick enacted a final rates and tariffs regulation which set limits on gas distribution rates within the province. Enbridge had advised on March 12, 2012, when the regulation was still in draft form, that it faced a potential write down of a significant portion of the value of its investment in EGNB, the New Brunswick gas distribution utility. With the finalization of the regulation, Enbridge confirmed a write down of $262 million. The impact of this charge was recognized as a subsequent event in the Company's 2011 United States generally accepted accounting principles (U.S. GAAP) consolidated financial statements, which were filed on May 2, 2012.

On April 26, 2012, the Company, Enbridge Energy Distribution Inc. (EEDI) and EGNB, commenced an action against the Province of New Brunswick in the New Brunswick Court of Queen's Bench, claiming damages in the amount of $650 million as a result of the continuing breaches by the province of the General Franchise Agreement it signed with Enbridge in 1999. Additionally, on May 2, 2012, the Company, EEDI and EGNB filed a Notice of Application with the New Brunswick Court of Queen's Bench seeking a declaration from the Court that the rates and tariffs regulation is invalid. The Application was heard by the Court on July 24, 2012, but no decision has yet been released. There is no assurance these actions will be successful or will result in any recovery.

  • Since the end of the first quarter, the Company completed the following financing transactions:
    • On July 18, 2012, Enbridge issued a $100 million Century Bond with a term to maturity of 100 years through its subsidiary, Enbridge Pipelines Inc., the second Century Bond ever issued by a Canadian corporation.
    • On July 17, 2012, Enbridge completed an offering of Cumulative Redeemable Preference Shares, Series N. Due to strong investor demand, the size of the offering was increased to 18 million shares, for aggregate gross proceeds of $450 million.
    • On July 6, 2012, a new US$675 million of credit facility was secured by EEP, bringing Enbridge's enterprise-wide general purpose credit facilities to $11.7 billion.
    • On June 8, 2012, Enbridge completed a public offering of 9.83 million common shares for gross proceeds of approximately $400 million.
    • On May 23, 2012, Enbridge completed an offering of Cumulative Redeemable Preference Shares, Series L. Due to strong investor demand, the size of the offering was increased to 16 million shares, for aggregate gross proceeds of US$400 million.
    • On April 19, 2012, Enbridge announced the completion of the issue of eight million Cumulative Redeemable Preference Shares, Series J for aggregate gross proceeds of US$200 million.

DIVIDEND DECLARATION

On August 1, 2012, the Enbridge Board of Directors declared the following quarterly dividends. All dividends are payable on September 1, 2012 to shareholders of record on August 15, 2012.

Common Shares $ 0.28250
Preference Shares, Series A $ 0.34375
Preference Shares, Series B $ 0.25000
Preference Shares, Series D $ 0.25000
Preference Shares, Series F $ 0.25000
Preference Shares, Series H1 $ 0.42470
Preference Shares, Series J2 US$ 0.36990
Preference Shares, Series L3 US$ 0.27670
  1. This is the first dividend declared for Preference Shares, Series H.
  2. This is the first dividend declared for Preference Shares, Series J.
  3. This is the first dividend declared for Preference Shares, Series L.

CONFERENCE CALL

Enbridge will hold a conference call on Thursday, August 2, 2012 at 9:00 a.m. Eastern Time (7:00 a.m. Mountain Time) to discuss the second quarter 2012 results. Analysts, members of the media and other interested parties can access the call at 617-597-5313 or toll-free at 1-866-362-4666 using the access code of 40728322. The call will be audio webcast live at http://www.enbridge.com/InvestorRelations/Events.aspx. A webcast replay and podcast will be available approximately two hours after the conclusion of the event and a transcript will be posted to the website within 24 hours. The replay at toll-free 1-888-286-8010 or 617-801-6888 (access code 46996724) will be available until August 9, 2012.

The conference call will begin with presentations by the Company's Chief Executive Officer, the President and the Chief Financial Officer, followed by a question and answer period for investment analysts. A question and answer period for members of the media will then immediately follow.

The unaudited interim Consolidated Financial Statements and MD&A, which contain additional notes and disclosures, are available on the Enbridge website at www.enbridge.com/InvestorRelations.aspx.

Enbridge Inc., a Canadian company, is a North American leader in delivering energy and one of the Global 100 Most Sustainable Corporations. As a transporter of energy, Enbridge operates, in Canada and the U.S., the world's longest crude oil and liquids transportation system. The Company also has a significant and growing involvement in the natural gas gathering transmission and midstream businesses, and an increasing involvement in power transmission. As a distributor of energy, Enbridge owns and operates Canada's largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. Enbridge employs more than 7,000 people, primarily in Canada and the U.S., and is ranked as one of Canada's Greenest Employers and one of the Top 100 Companies to Work for in Canada. Enbridge's common shares trade on the Toronto and New York stock exchanges under the symbol ENB. For more information, visit www.enbridge.com. None of the information contained in, or connected to, Enbridge's website is incorporated in or otherwise part of this news release.

Forward-Looking Information

Forward-looking information, or forward-looking statements, have been included in this news release to provide the Company's shareholders and potential investors with information about the Company and its subsidiaries and affiliates, including management's assessment of Enbridge's and its subsidiaries' future plans and operations. This information may not be appropriate for other purposes. Forward-looking statements are typically identified by words such as "anticipate", "expect", "project", "estimate", "forecast", "plan", "intend", "target", "believe" and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information or statements included or incorporated by reference in this document include, but are not limited to, statements with respect to: expected earnings or adjusted earnings; expected earnings or adjusted earnings per share; expected costs related to projects under construction; expected in-service dates for projects under construction; expected capital expenditures; estimated future dividends; and expected costs related to leak remediation and potential insurance recoveries.

Although Enbridge believes that these forward-looking statements are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and readers are cautioned against placing undue reliance on forward-looking statements. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such statements. Material assumptions include assumptions about: the expected supply and demand for crude oil, natural gas and natural gas liquids (NGL); prices of crude oil, natural gas and NGL; expected exchange rates; inflation; interest rates; the availability and price of labour and pipeline construction materials; operational reliability; customer project approvals; maintenance of support and regulatory approvals for the Company's projects; anticipated in-service dates; and weather. Assumptions regarding the expected supply and demand of crude oil, natural gas and NGL, and the prices of these commodities, are material to and underlie all forward-looking statements. These factors are relevant to all forward-looking statements as they may impact current and future levels of demand for the Company's services. Similarly, exchange rates, inflation and interest rates impact the economies and business environments in which the Company operates, may impact levels of demand for the Company's services and cost of inputs, and are therefore inherent in all forward-looking statements. Due to the interdependencies and correlation of these macroeconomic factors, the impact of any one assumption on a forward-looking statement cannot be determined with certainty, particularly with respect to expected earnings or adjusted earnings and associated per share amounts, or estimated future dividends. The most relevant assumptions associated with forward-looking statements on projects under construction, including estimated in-service dates, and expected capital expenditures include: the availability and price of labour and pipeline construction materials; the effects of inflation and foreign exchange rates on labour and material costs; the effects of interest rates on borrowing costs; and the impact of weather and customer and regulatory approvals on construction schedules.

Enbridge's forward-looking statements are subject to risks and uncertainties pertaining to operating performance, regulatory parameters, project approval and support, weather, economic and competitive conditions, exchange rates, interest rates, commodity prices and supply and demand for commodities, including but not limited to those risks and uncertainties discussed in this news release and in the Company's other filings with Canadian and United States securities regulators. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and Enbridge's future course of action depends on management's assessment of all information available at the relevant time. Except to the extent required by law, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made in this news release or otherwise, whether as a result of new information, future events or otherwise. All subsequent forward-looking statements, whether written or oral, attributable to Enbridge or persons acting on the Company's behalf, are expressly qualified in their entirety by these cautionary statements.

Non-GAAP Measures

This news release contains references to adjusted earnings/(loss), which represent earnings or loss attributable to common shareholders adjusted for non-recurring or non-operating factors on both a consolidated and segmented basis. These factors are reconciled and discussed in the financial results sections for the affected business segments. Management believes that the presentation of adjusted earnings/(loss) provides useful information to investors and shareholders as it provides increased transparency and predictive value. Management uses adjusted earnings/(loss) to set targets, assess performance of the Company and set the Company's dividend payout target. Adjusted earnings/(loss) and adjusted earnings/(loss) for each of the segments are not measures that have a standardized meaning prescribed by U.S. GAAP and are not considered GAAP measures; therefore, these measures may not be comparable with similar measures presented by other issuers.

HIGHLIGHTS

Three months ended Six months ended
June 30, June 30,
2012 2011 2012 2011
(unaudited; millions of Canadian dollars, except per share amounts)
Earnings attributable to common shareholders
Liquids Pipelines 119 197 310 333
Gas Distribution 20 40 98 142
Gas Pipelines, Processing and Energy Services (114 ) 77 (225 ) 103
Sponsored Investments 65 64 131 119
Corporate (79 ) (76 ) (39 ) (31 )
11 302 275 666
Earnings per common share1 0.01 0.40 0.36 0.89
Diluted earnings per common share1 0.01 0.40 0.35 0.88
Adjusted earnings2
Liquids Pipelines 152 124 310 260
Gas Distribution 29 38 131 129
Gas Pipelines, Processing and Energy Services 45 42 81 81
Sponsored Investments 60 56 127 109
Corporate (9 ) (2 ) 4 9
277 258 653 588
Adjusted earnings per common share1 0.36 0.34 0.86 0.78
Cash flow data
Cash provided by operating activities 984 696 1,632 1,859
Cash used in investing activities (1,475 ) (839 ) (2,403 ) (1,486 )
Cash provided by/(used in) financing activities 58 130 721 (171 )
Dividends
Common share dividends declared 217 190 438 378
Dividends paid per common share1 0.2825 0.2450 0.5650 0.4900
Shares outstanding (millions)
Weighted average common shares outstanding1 770 752 763 750
Diluted weighted average common shares outstanding1 783 762 775 760
Operating data
Liquids Pipelines - Average deliveries (thousands of barrels per day)
Canadian Mainline3 1,659 1,459 1,673 1,532
Regional Oil Sands System4 298 291 315 310
Spearhead Pipeline 175 57 160 108
Gas Distribution - Enbridge Gas Distribution (EGD)
Volumes (billions of cubic feet) 66 75 227 268
Number of active customers (thousands)5 2,001 1,971 2,001 1,971
Heating degree days6
Actual 416 485 1,906 2,451
Forecast based on normal weather 478 495 2,248 2,297
Gas Pipelines, Processing and Energy Services - Average throughput volume (millions of cubic feet per day)







Alliance Pipeline US 1,536 1,519 1,582 1,601
Vector Pipeline 1,423 1,395 1,588 1,572
Enbridge Offshore Pipelines 1,602 1,732 1,552 1,741
  1. Comparative amounts were restated to reflect two-for-one stock split which was effective May 25, 2011.
  2. Adjusted earnings represent earnings attributable to common shareholders adjusted for non-recurring or non-operating factors. Adjusted earnings and adjusted earnings per common share are non-GAAP measures that do not have any standardized meaning prescribed by GAAP.
  3. Canadian Mainline includes deliveries ex-Gretna, Manitoba which is made up of United States and eastern Canada deliveries originating from western Canada.
  4. Volumes are for the Athabasca mainline and Waupisoo Pipeline and exclude laterals on the Regional Oil Sands System.
  5. Number of active customers is the number of natural gas consuming EGD customers at the end of the period.
  6. Heating degree days is a measure of coldness that is indicative of volumetric requirements for natural gas utilized for heating purposes in EGD's franchise area. It is calculated by accumulating, for the fiscal period, the total number of degrees each day by which the daily mean temperature falls below 18 degrees Celsius. The figures given are those accumulated in the Greater Toronto Area.

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