Fortis Inc.

Last updated
Fortis Inc.
Company type Public
Industry Electricity generation & distribution, Natural Gas Distribution
Founded1987;38 years ago (1987)
FounderAngus Bruneau
Headquarters St. John's, Newfoundland and Labrador, Canada
Key people
David Hutchens, President & CEO
ProductsElectricity, Natural Gas
RevenueIncrease2.svg CA$11.517 billion [1]  (2023)
Increase2.svg CA$3.084 billion [1]  (2023)
Increase2.svg CA$1.710 billion [1]  (2023)
Total assets Increase2.svg CA$65.920 billion [1]  (2023)
Total equity Increase2.svg CA$21.505 billion [1]  (2023)
Number of employees
9,600 [1]
Website www.fortisinc.com

Fortis Inc. is a St. John's, Newfoundland and Labrador-based international diversified electric utility holding company. It operates in Canada, the United States, Central America, and the Caribbean. In 2015, it earned CA$6.7 billion. [2]

Contents

Fortis was formed in 1987, when shareholders of the regulated transmission and distribution utility Newfoundland Light & Power Co. voted to form a separate holding company. NL&P shares were exchanged for Fortis shares on a one-to-one basis, with the regulated NL&P becoming a 100% owned subsidiary.

Expansion

The company expanded into Western Canada in 2003 with its purchase of Aquila, Inc.'s Canadian assets, formerly owned by TransAlta, Canada's largest publicly traded utility. As a result of this acquisition, Fortis became one of Alberta's major regulated electrical distribution companies, serving 415,000 Albertans in 2005. ATCO Electric is Alberta's other regulated distribution company. Also as a result of the 2003 acquisition, Fortis owns regulated generation, transmission, and distribution assets in British Columbia.

In 2007, Fortis acquired Terasen Gas from Kinder Morgan, which had sold the BC gas utility as a non-strategic asset included in its 2005 acquisition of Terasen Inc.

In addition to its regulated Canadian assets, Fortis also owns unregulated assets in Ontario, British Columbia, and Newfoundland. The majority of its unregulated business consists of hydroelectric generating plants. [3]

Fortis' interests in the Caribbean include a 67% interest in Belize Electricity Limited (BEL) and a 95% interest in Belize Electric Co. Ltd. The Belize Association of Non-Government Organisations took Fortis to the Judicial Committee of the Privy Council in 2003 to have a new environmental assessment of the Chalillo Dam on the Macal River which was a hydroelectricity development project. Ecologists were concerned over the future of species such as the scarlet macaw, the tapir and the black howler monkey as the project would flood 10 km2 of rainforest in Belize. Celebrities such as Harrison Ford and Cameron Diaz supported a movement to stop this dam. Fortis and the Government of Belize supported the project. [4] [5]

On May 30, 2011, it was announced that Fortis has plans to acquire Central Vermont Public Service, an electric utility in the US state of Vermont, for US$700 million, pending stockholder and regulatory approval; this acquisition would be Fortis' first utility acquisition in the United States. [6] Gaz Métro offered a higher price and acquired CVPS. [7]

On February 21, 2012, CH Energy Group (a holding company for Central Hudson Gas & Electric, an upstate New York utility), announced a pending acquisition by Fortis valued at $1.5 billion. [8] On June 27, 2013, Fortis Inc. closed on its acquisition of CHG.

In 2013, Fortis announced its acquisition of UNS Energy, an Arizona utility company. [9]

On February 9, 2016, Fortis announced an agreement to acquire ITC Holdings Corp., the largest independent transmission utility in the United States, for US$11.3 billion in cash and stock. [10]

Owns and Operates

Fortis currently owns the following regulated utilities:

Fortis also operates three non-regulated companies:

See also

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References

  1. 1 2 3 4 5 6 "2023 Annual Report" (PDF). Retrieved November 27, 2024.
  2. ↑ Dec 8, Castanet Staff-; Story: 183120, 2016 / 10:59 am |. "FortisBC bill going up - Kelowna News". www.castanet.net. Retrieved 2020-11-29.{{cite web}}: CS1 maint: numeric names: authors list (link)
  3. ↑ Fortis Annual Report 2005
  4. ↑ Toronto Star December 10, 2003 pg. E01 retrieved via Ebbsco July 20, 2006
  5. ↑ Privy Council approves Belize dam Archived 2006-09-24 at the Wayback Machine - January 31, 2004: CaribbeanNetNews.com
  6. ↑ "Fortis press release: "Fortis Inc. To Acquire Central Vermont Public Service Corporation For US$700 Million", May 30, 2011" (PDF). Archived from the original (PDF) on July 26, 2011. Retrieved May 31, 2011.
  7. ↑ Ahmed, Azam (2011-07-12). "Gaz Metro Bests Fortis to Buy Vermont Utility". DealBook. Retrieved 2020-11-29.
  8. ↑ CH Energy Group press release: "CH Energy Group, Inc. to be Acquired by Fortis Inc. In Agreement Valued at U.S. $1.5 Billion" Retrieved February 21, 2012.
  9. ↑ Canadian Utility Buys UNS Energy of Arizona for $2.5 Billion
  10. ↑ "Fortis Inc. To Acquire ITC Holdings Corp. For US$11.3 billion". Business Wire. 2016-02-09. Retrieved 2016-02-25.
  11. ↑ "Company Profile | FortisOntario Inc". fortisontario.com. Archived from the original on 2020-09-24. Retrieved 2020-11-29.
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