2019 Balanced Funding Plan, Financial Outlook and Capital Plan

On December 13, 2018, we announced the details of our balanced funding plan, financial outlook and capital plan for 2019. The plan outlines strategic measures we are taking to enhance our financial strength and flexibility to fund growth aligned with our focus on Midstream and U.S. Utilities.

"My long-term objective is to drive operational excellence, achieve superior returns on invested capital in our midstream business, and enhance our return across our utilities. My more immediate focus is to de-lever the balance sheet, create financial flexibility, improve our credit metrics and achieve a self-funded capital plan."
Randy Crawford, President and Chief Executive Officer

Our plan has been designed to optimize per share cash flow and earnings growth, enhance the value of our asset footprint and improve our credit metrics. Through a combination of levers, the plan accelerates the de-leveraging of the balance sheet and ensures we are positioned for long-term growth. 

The highlights from our plans include:

  • Solid business outlook with anticipated 2019 normalized earnings before interest, taxes, depreciation and amortization (normalized EBITDA) in the range of $1.2 - $1.3 billion and normalized Funds from Operations (normalized FFO) of $850 - $950 million.
  • Prudent capital allocation of approximately $1.3 billion in 2019 in primarily Midstream and U.S. Utilities projects with strong risk-adjusted returns and near-term contributions to per share normalized FFO and normalized Earnings Per Share (EPS).
  • A comprehensive review of the dividend policy has been completed by the Board of Directors, and approval has been secured to reset the monthly dividend to $0.08 per common share or $0.96 per common share annually, to improve financial strength and ensure greater funding flexibility. This represents a 56 percent reduction.
  • Balanced funding plan designed to maintain an investment grade credit rating.
  • The combination of asset sales, repayment of the bridge facility and securing additional credit facilities will provide AltaGas with ample liquidity and financial flexibility. The balance of the bridge facility is expected to be refinanced with a new US$1.2 billion revolving credit facility by year end.
  • With asset sales of $3.79 billion to-date, the Company intends to complete additional asset sales of approximately $1.5 - $2.0 billion in 2019.

For more on our plans for 2019, read our full news release or join our conference call and webcast. Shortly after the conclusion of the call, a replay will be available commencing at 12:00 p.m. MT (2:00 p.m. ET) on December 13, 2018 by dialing 403-451-9481 or toll free 1-855-859-2056. The passcode is 6694687. The replay will expire at 9:59 p.m. MT (11:59 p.m. ET) on December 20, 2018. The webcast will be archived for one year.


Conference Call and Webcast Details


December 13, 2018


7:00 a.m. MT (9:00 a.m. ET) 

Dial-in: 1-647-427-7450 or toll free at 1-888-231-8191
Webcast: Join the webcast
News Release: Read more
Presentation: View


Webcast and Conference Call Presenters

Photo of Randy

Randy Crawford, our President and Chief Executive Officer, provides an update on our efforts to drive operational excellence and achieve superior returns on invested capital in our midstream business and maximize the return across our utilities.

Randy Crawford

President and Chief Executive Officer




Photo of Tim

Our Executive Vice President and Chief Financial Officer, Tim Watson, provides the details of our balanced funding plan, financial outlook and capital plan for 2019, including the results of our dividend policy review and an update on our asset sale program.

Tim Watson (CFA, ICD.D)

Executive Vice President and Chief Financial Officer





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Slides from the presentation


Find answers to frequently asked investor questions.

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