Atco Ltd. Class I · TSX:ACO.X
Atco Ltd. Class I — Investor Presentation (June 2020)
12 slides from Atco Ltd. Class I's investor presentation, June 2020
Slide 1: Puerto Rico Electric Transmission & Distribution System Operating & Maintenance Agreement Overview
Puerto Rico Electric Transmission & Distribution System Operating & Maintenance Agreement Overview June 2020 1
Slide 2: Legal Disclaimer
LEGAL DISCLAIMER Statements made by representatives for ATCO Ltd. and Canadian Utilities Limited and information provided in this presentation may be considered forward-looking statements. By their nature, such statements are subject to numerous known and unknown risks and uncertainties and therefor
Slide 3: Puerto Rico Electric T&D Opportunity
Puerto Rico Electric T&D Opportunity In June 2020, the Puerto Rico Public-Private Partnerships Authority (P3A) selected LUMA Energy to manage and modernize Puerto Rico’s electric transmission and distribution (T&D) system 16-year contract to operate the T&D system: → 1-year transition period beginni
Slide 4: Key Contract Terms and Objectives
Key Contract Terms and Objectives Operating and maintenance services contract that leverages CU’s and Quanta’s best- in-class capabilities to deliver significant benefits to the people of Puerto Rico ▪ ~1-year transition period – efficient and effective transition of operations from PREPA to LUMA ▪
Slide 5: Key Contract Terms and Objectives
Key Contract Terms and Objectives Front-End O&M Services Period Transition Period (2021 – 2035) (2020 – 2021) • Preparatory work to • LUMA assumes responsibility for all in-scope operational matters to enable full transition of transform the T&D system into an efficient and modern utility. This oper
Slide 6: Key Financial Contract Terms
Key Financial Contract Terms Front-End Transition Period Compensation Front-End ▪ Fixed Front-End Transition Service Fee of US$60M Transition ▪ Reimbursement of actual costs to provide Front-End Transition Services Service Fee O&M Services Period Compensation ▪ Fixed Fee for each Contract Year (July
Slide 7: Puerto Rico Electric T&D System Overview
Puerto Rico Electric T&D System Overview ▪ One of the largest U.S. public utilities serving nearly 1.5 million customers ▪ PREPA currently owns and operates the T&D system and generation facilities → LUMA will operate T&D system, while PREPA continues to operate generation assets ▪ Network of ~30,00
Slide 8: LUMA Consortium
LUMA Consortium • 50 per cent joint venture owner • Operator of world-class utility businesses delivering safe, reliable and affordable energy to customers • Market capitalization of C$9 bn ✓ Purpose-built utility company • 50 per cent joint venture owner Best-in-class operational and • Industry-lea
Slide 9: Shared Vision for Puerto Rico
Shared Vision for Puerto Rico CUSTOMER CENTRIC PEOPLE, SAFETY AND TRAINING RELIABILITY, RESILIENCY AND AFFORDABILITY COMMITMENT TO THE COMMUNITY 9
Slide 10: Key Organizations LUMA is Working With
Key Organizations LUMA is Working With • Corporation responsible for power • Government agency responsible for Counterparties to O&M Agreement generation and T&D in Puerto Rico administering P3s in Puerto Rico • Counterparty to O&M Agreement • Counterparty to and administrator of • Owner of all asse
Slide 11: Opportunity Highlights
Opportunity Highlights ▪ LUMA has been selected to plan and execute a historic transformation and modernization of the electricity system working with the local workforce, PREPA and other parties to provide significant benefits to the people of Puerto Rico ▪ Long-term contracted cash flows and earni
Slide 12: www.ATCO.com www.canadianutilities.com Tel: 403.292.7500
www.ATCO.com www.canadianutilities.com Tel: 403.292.7500 Investor Relations 5302 Forand Street SW Calgary, Alberta T3E 8B4 Canada [email protected] 12