Dynegy Q2 2009 Net Loss Widens

Published: 10-Aug-2009

By: Staff Writer Staff Writer Staff Writer

Dynegy has announced that the adjusted EBITDA for the second quarter 2009 was $125m, compared to $184m for the second quarter 2008. The firm has said that the decrease is largely related to lower realized prices period-over-period, partially offset by higher production volumes from the company’s Midwest and Northeast combined-cycle units.

It has also reported a net loss of $345m for the second quarter 2009, compared to a net loss of $272m for the second quarter 2008. The firm has said that the increased net loss in the second quarter 2009 was primarily driven by asset impairment charges and lower realized power prices period-over-period, partially offset by lower mark-to-market losses.

Bruce Williamson, chairman, president and CEO of Dynegy, said: "Like many other energy companies, Dynegy’s second quarter financial results continued to be impacted by the overall decline of US energy prices. However, for the second consecutive quarter, lower power prices were partially offset by stronger production volumes attributed to our Midwest and Northeast combined-cycle natural gas facilities – namely our Casco Bay, Independence, Kendall and Ontelaunee units. This points to the benefits of fleet diversification, which we achieve by having a geographic presence in three U.S. regions and a range of fuel and dispatch types.

"This diverse approach helps cushion us from regional weather and market impacts that may limit the run-times of certain units, while allowing other plants to capitalize on available market opportunities."

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