March 1, 2021

Fortis Raises 5-year Capital Investment Plan To $19.6 Billion; Boosts Dividend – Quick Facts

(RTTNews) – Electric and gas utility Fortis Inc. (FTS.TO) announced Wednesday its new five-year capital investment plan of $19.6 billion for the period 2021 to 2025, up $800 million from the prior year’s plan.

The five-year capital plan includes investments of $5.1 billion at ITC for electric transmission infrastructure, $4.4 billion in natural gas and electric infrastructure at FortisBC, $3.8 billion in transmission, distribution and generation infrastructure at UNS Energy in Arizona.

Consolidated rate base is projected to increase from $30.2 billion in 2020 to $36.4 billion in 2023 and $40.3 billion in 2025, translating into three and five-year compound annual growth rates of 6.5% and 6.0%, respectively.

The Board also declared a 5.8% higher common share dividend of $0.505 per share on the issued and outstanding fully paid common shares of the Corporation, payable on December 1, 2020 to the common Shareholders of Record at the close of business on November 18, 2020.

In addition, the Corporation has extended its targeted average annual dividend per common share growth of approximately 6% to 2025 based on a 2020 annualized dividend of $1.91.

Effective December 1, 2020, the 2% discount offered on common share issuances under the dividend reinvestment plan will be reinstated.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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