For Immediate Release
Energy West, Incorporated Initiates Monthly Dividend
Great Falls, Mont., November 29, 2007/PRNewswire – First Call/ - ENERGY
WEST, INCORPORATED (NASDAQ: EWST), a natural gas and energy marketing company,
announced today that it is instituting monthly dividend payments on shares
of its common stock. The first monthly dividend of $0.054 per share
will be payable on December 28, 2007 to shareholders of record as of the close
of business on December 10, 2007. On an annualized basis, the December
dividend yields a rate of return of 4.7% based on the $13.82 closing price
of the Company’s common stock on November 28, 2007.
The Company restored quarterly cash dividends to its shareholders in October 2005. Since being reinstituted, the dividend rate has increased 300%. Prior to the cessation of dividends in June 2003, the Company had declared 171 consecutive dividend payments since 1944 and dividends had been increased in each year since 1977.
Richard M. Osborne, Chairman and Chief Executive Officer, stated “We are making this change from quarterly to monthly payments because we believe it enables Energy West to better address the needs of our shareholders. A large number of our current shareholders are individual investors who should benefit from a more frequent payment of a dividend.”
About Energy West
Energy West, Incorporated distributes and sells natural gas to end-use residential,
commercial, and industrial customers. It distributes approximately 8.4 billion
cubic feet of natural gas to approximately 35,000 customers through regulated
and unregulated utilities operating in and around Great Falls and West Yellowstone,
in Montana, and Cody in Wyoming and Elkin in North Carolina. The Company
markets approximately 2.5 billion cubic feet of natural gas to commercial and
industrial customers in Montana and Wyoming on an unregulated basis. The
Company also has an ownership interest in 165 natural gas producing wells and
gas gathering assets. In addition, the Company owns the Shoshone interstate
and the Glacier gathering pipelines located in Montana and Wyoming. The
Company’s Montana public utility was originally incorporated in 1909
and is headquartered in Great Falls, Montana.
Safe Harbor Regarding Forward-Looking Statements
Energy West is including the following cautionary statement in the release to make applicable and to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 for any forward-looking statements made by, or on behalf of Energy West. Forward-looking statements are all statements other than statements of historical fact, including without limitation those that are identified by the use of the words “anticipates,” “estimates,” “expects,” “intends,” “plans,” “predicts,” and similar expressions. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those expressed. Factors that may affect forward-looking statements and the Company’s business generally include but are not limited risks associated with contracts accounted for as derivatives, changes in the utility regulatory environment, wholesale and retail competition, weather conditions, litigation risk and various other matters, many of which are beyond Energy West’s control, the risk factors and cautionary statements made in the Company’s public filings with the Securities and Exchange Commission, and other factors that the Company is currently unable to identify or quantify, but may exist in the future. Energy West expressly undertakes no obligation to update or revise any forward-looking statement contained herein to reflect any change in Energy West’s expectations with regard thereto or any change in events, conditions, or circumstances on which any such statement is based.
Further, preparation of financial statements requires Energy West’s management to make significant estimates. The deferred tax asset, valuation allowance and related extraordinary gain require a significant amount of judgment. Under federal tax laws, the estimate is based on projected future tax deductions, future taxable income, estimated limitations, the valuation allowance, and other assumptions. It is possible that this estimate could change and the change could be material.
For additional information or clarification respecting Energy West, please contact: James W. Garrett, President and Chief Operating Officer at 1-440-205-1987.
Our toll-free number is 1-800-570-5688. Our web address is www.energywest.com. Our address is P.O. Box 2229, Great Falls, MT 59403-2229.