PPL Corporation Reports Revised 2011 Earnings Due to Favorable Supreme Court Decision on Montana Streambed Case

PPL Corporation PPL on Monday (2/27) announced increased fourth-quarter and year-end 2011 earnings compared with the results previously reported on Feb. 10, 2012, due to a favorable U.S. Supreme Court decision affecting the company's hydroelectric generation operations in Montana. The Supreme Court on Feb. 22 unanimously overturned a previous Montana state Supreme Court decision requiring PPL Montana to pay rent for the use, in its hydroelectric operations, of riverbeds under portions of three rivers in Montana. Reflecting the court's decision, PPL has reversed a loss accrual of $89 million pre-tax, or $53 million after-tax. PPL's revised 2011 reported earnings were $1.495 billion, or $2.70 per share, as compared with the previously announced totals of $1.442 billion, or $2.61 per share. Excluding special items, PPL's revised 2011 earnings from ongoing operations were $1.509 billion, or $2.73 per share, as compared with the previously announced totals of $1.504 billion, or $2.72 per share. For the fourth quarter of 2011, PPL's revised reported earnings were $454 million, or $0.78 per share, as compared with the previously announced totals of $401 million, or $0.69 per share. Excluding special items, PPL's revised 2011 fourth-quarter earnings from ongoing operations were $410 million, or $0.71 per share, as compared with the previously announced totals of $405 million, or $0.70 per share. PPL is maintaining the existing 2012 earnings forecast range of $2.15 per share to $2.45 per share, with a midpoint of $2.30 per share.