Sempra Energy Reports Higher Second-Quarter 2010 Earnings (USA)

Sempra Energy today reported second-quarter 2010 earnings of $222 million, or $0.89 per diluted share, up from earnings of $198 million, or $0.80 per diluted share, in 2009.

Second-quarter 2009 earnings included a charge of $64 million, or $0.26 per diluted share, for an asset write-off at Sempra Pipelines & Storage.

Sempra Energy’s earnings for the first six months of 2010 were $328 million, or $1.31 per diluted share, compared with $514 million, or $2.09 per diluted share, in 2009.

First-quarter 2010 earnings included a charge of $96 million after tax, or $0.38 per diluted share, for a proposed energy-crisis litigation settlement.

“Our core businesses performed well in the quarter,” said Donald E. Felsinger, chairman and chief executive officer of Sempra Energy.

“Last month, we completed our transaction with J.P. Morgan to sell a major portion of our commodities joint venture – the first step in our exit from that business.

Our proceeds from the sale and other distributions will be approximately $1 billion.

Additionally, last month, San Diego Gas & Electric reached a significant milestone with receipt of the final major regulatory approval for its Sunrise Powerlink transmission line.

This project will increase electric grid reliability and create a new pathway for clean, renewable energy.”

Sempra Energy also announced that the company will begin a $500 million accelerated share-repurchase program later this quarter.

Sempra LNG

Sempra LNG’s earnings in the second quarter 2010 were $13 million, compared with a loss of $12 million in the second quarter 2009, due to higher earnings from operations.

In the third quarter last year, Sempra LNG’s Louisiana receipt terminal began operations and a major supply contract commenced for the company’s Mexican receipt terminal.

In the first half of 2010, Sempra LNG earned $45 million, compared with a loss of $19 million in the first half of 2009.

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Source: Sempra Energy, August 11, 2010;