Northeast Storms Going After Utilities (NU, ED, XLU)
The major and very premature snow storm in the Northeast is having at least some impact on power companies and their customers. Reports are all over that more than 2 million (or more) are still out of power in their…
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Northeast Utilities (NYSE: NU) is holding up rather well considering the snow and ice that has knocked out so much electric power in the Northeast. The utility offers electric and gas services to residential, commercial, and industrial customers in Connecticut, New Hampshire, and western Massachusetts.
Consolidated Edison, Inc. (NYSE: ED) offers energy services to residential, commercial, industrial, and government customers in New York, some areas of northern New Jersey and northeastern Pennsylvania.
Utilities Select Sector SPDR (NYSE: XLU) is down 0.17% at $34.95. Northeast Utilities (NYSE: NU) is down 0.7% at $34.34 and Consolidated Edison, Inc. (NYSE: ED) is down only 0.15% at $57.95.
It may be a rather simple matter for utilities in that power providers do carry insurance. The most obvious is that the firms might not have paid for catastrophic interruption of power from snow and ice this early into the fall and winter season when it is technically still hurricane season.
JON C. OGG
Contact [email protected] for any questions or corrections.
Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.
