LG&E Energy Corp. Emphasizes Transformation in the Utility Industry

LG&E Energy Corp.'s Chairman Roger W. Hale emphasized the company's need for transformation to maintain its leadership position in the rapidly changing utility industry at the annual meeting of shareholders. The company has made significant strides in recent years, including reaching new milestones in customer satisfaction, earnings, business growth, and industry leadership. However, Hale cautioned that the pace of change in the industry would require the company to undergo a complete transformation to remain competitive.

Key Takeaways:

LG&E Energy Corp. has achieved a five-year compounded annual growth rate of 7.5 percent, nearly three times the average growth rate of the industry during the past five years.
The company has earned its highest marks ever from customers for high quality services and has developed creative products and services for customers.
LG&E Energy's proposal to competitively price access to its transmission services has become a model for a new federal plan to open transmission systems nationwide to full competition.
The company's non-utility group operates 15 power plants in eight states and is developing power projects in Argentina and Spain.
LG&E Energy has achieved a $100 million earnings milestone, with total shareholder return exceeding major, overall market, and utility stock indices.

Statistics:

7.5 percent: LG&E Energy's five-year compounded annual growth rate.
15: Number of power plants operated by the company's non-utility group in eight states.
$100 million: LG&E Energy's earnings milestone.
8: Number of states where the company's non-utility group operates power plants.
1994: The year in which LG&E Energy achieved its highest marks ever from customers for high-quality services.

Sources:

PRNewswire, "LG&E Energy Corp. Announces Annual Meeting Results", April 25, 1995
LG&E Energy Energy Corp., "Annual Report 1994"
US Department of Energy, "Transmission Pricing Policy"