Enbridge Inc. · TSX:ENB
Enbridge — Q1 2012 Earnings Presentation
19 slides from Enbridge's earnings presentation, May 9, 2012
Slide 1: 2012 First Quarter Financial Results
2012 First Quarter Financial Results May 9, 2012 Patrick D. Daniel CEO Al Monaco President J. Richard Bird Executive Vice President, CFO and Corporate Development
Slide 2: Outline
Outline • Overview: Patrick D. Daniel • Project Update: Al Monaco • Financial Results: J. Richard Bird • Question & Answer Period 2
Slide 3: Legal Notice
Legal Notice This presentation includes certain forward looking information (FLI) to provide Enbridge shareholders and potential investors with information about Enbridge and management’s assessment of its future plans and operations, which may not be appropriate for other purposes. FLI is typically
Slide 4: Q1 Financial Results: 14% Growth
Q1 Financial Results “14% Growth” Adjusted Earnings* ($ Millions) 376 Q1 330 Q1 2012 2011 YTD $0.50 $0.44 EPS * Please refer to Non-GAAP Measures disclosure in news release 4
Slide 5: 2012 Adjusted EPS Guidance Range: Firmly on Track
2012 Adjusted EPS* Guidance Range “Firmly on Track” 2012 EPS Guidance Range $1.58 $1.74 • Midpoint = 12% increase over 2011 EPS * Please refer to Non-GAAP Measures disclosure in news release 5
Slide 6: $48 Billion Opportunity Portfolio
$48 Billion Opportunity Portfolio “Increasing Our Success Rate” Enbridge Day (October 2011) Current (May 2012) ENB Secured Projects (2011-2015) ENB Secured Projects $ 8.5 B (2011-2015) Other Identified ENB Other Identified $ 14.0 B Opportunities Risk Adjusted Opportunities (2011-2020) Projects* (201
Slide 7: CEO Transition: Progressing Well
CEO Transition “Progressing Well” • Expected to be complete before year-end • Focus on relationship transfers 7
Slide 8: CEO Transition: Strategic Priorities
CEO Transition “Strategic Priorities” • Safety and reliability of operations • Focus on project execution • Continue to develop new sources of earnings growth • Maintain investment discipline • Financial strength 8
Slide 9: US Gulf Coast Access: $5.2 Billion Initiative
US Gulf Coast Access “$5.2 Billion Initiative” Chicago/ Flanagan # 1. Seaway Pipeline Reversal ($1.4B) 2 # 2. Flanagan South Pipeline ($2.8B) • Enbridge Inc. and Enterprise JV • Enbridge Inc. 100% • Initial capacity 150 kbpd, ultimately 400 kbpd by Q1 ‘13 • Twin Spearhead Pipeline (36-inch pipeline,
Slide 10: Eastern Access: The Next Wave of Capital
Eastern Access “The Next Wave of Capital” Montreal 1 5 Westover Announced and Potential Future Initiatives: Sarnia 2 #1. Expansion of Line 5 (50kbpd) 4 Toledo # 2. Line 9 Reversal to Westover 3 Chicago/ Flanagan # 3. Replacement/Expansion of Line 6B # 4. Line 17 Expansion to Toledo # 5. Access marke
Slide 11: Silver State North Solar Facility
Silver State North Solar Facility “New Solar Platform in the U.S.” Project Information Location Primm, Nevada Capacity (AC) 50 MW Net Purchase Price US$0.2 Billion Term 25-year PPA with NV Energy In-Service Date May 2012 11
Slide 12: Major Projects Update: On Time and On Budget
Major Projects Update “On Time and On Budget” Cost Schedule Project Name In Service Status Cost Indicator ($Billion) Indicator Ahead of Cushing Terminal Expansion Projects $0.2 Various In Construction On Budget Schedule Woodland Pipeline $0.5 Sept 2012 In Construction 7% below Budget On Time PH1 Sep
Slide 13: Continued Strong EPS Growth: 10 'Plus' Percent
Continued Strong EPS Growth “10 ‘Plus’ Percent” $3.00 CTS/Extensions CTS/Extensions $0.00 2010 2015e Note: Adjusted EPS 13
Slide 14: Segmented Earnings Variance
Segmented Earnings* Variance Q1 2012 versus 2011 ($ Millions) Liquids Pipelines + 22 Gas Distribution + 11 Gas Pipelines, Processing and Energy Services -3 Sponsored Investments + 14 Corporate +2 * Adjusted Earnings 14
Slide 15: Q1 2012 Enterprise Wide Funding and Liquidity Actions
Q1 2012 Enterprise Wide Funding and Liquidity Actions ($ MM) Completed: $ Millions Preferred Shares 1,050 MTNs 500 Credit Facility Additions 1,250 In Progress: $ Millions Noverco Share Sale Proceeds Distribution 317 Credit Facility Additions 1,000 15
Slide 16: Funding Requirements Excluding Sponsored Vehicles (2011-2015)
Funding Requirements Excluding Sponsored Vehicles (2011-2015) Maintenance Capital 3.2 Secured Growth Capital 11.8 Risked Growth Capital 8.5 23.5 Cash Flow Net of Dividends (8.8) – (9.0) Net Funding Required 14.6 – 14.8 Debt Equity Total Requirement 11.0 Total Requirement 3.6 – 3.8 2011 – 2015 Maturi
Slide 17: Gulf Coast Access Economics
Gulf Coast Access Economics • Base CTS includes increasing earnings based on conservative throughput growth excluding any market access initiatives – Supports 10% average EPS growth through the middle of the decade – Stronger uplift in second half of decade • Return on $5.2B Gulf Coast Access capita
Slide 18: Q1 Summary
Q1 Summary • 14% EPS growth in Q1; on target for $1.58 - $1.74/share • Substantial increase in secured investment, and more to come • Strong funding position • Confident in achieving 10+% CAAGR in EPS through 2015 • Enhanced post 2015 growth 18
Slide 19: 2012 First Quarter Financial Results Q&A
2012 First Quarter Financial Results May 9, 2012 Q&A