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SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15 (d) of the
Securities Exchange Act of 1934
Date of Report: March 24, 1999
Providence Energy Corporation
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(Exact name of registrant as specified in its charter)
Rhode Island 001-10032 05-0389170
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(State of incorporation (Commission (IRS Employer
or organization) File Number) Identification No.)
100 Weybosset Street, Providence, Rhode Island 02903
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number: (401) 272-5040
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N/A
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(Former name or former address, if changed since last report)
Providence Energy Corporation ("Corporation") and its subsidiaries and
their representatives may, from time to time, make written or oral statements,
including statements contained in the Corporation's filings with the Securities
and Exchange Commission and in its annual report to shareholders, including its
Form 10-K for the fiscal year ended September 30, 1998, which constitute or
contain "forward-looking" information as that term is defined in the private
Securities Litigation Reform Act of 1995.
All statements other than the financial statements and other statements
of historical facts included in this Form 8-K regarding the Corporation's
financial position and strategic initiatives and addressing industry
developments are forward-looking statements. Where, in any forward-looking
statement, the Corporation or its management, expresses an expectation or belief
as to future results, such expectation or belief is expressed in good faith and
believed to have a reasonable basis, but there can be no assurance that the
statement of expectation or belief will result or be achieved or accomplished.
Factors which could cause actual results to differ materially from those stated
in the forward-looking statements may include,
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but are not limited to, general and specific economic, financial and business
conditions; federal and state regulatory, legislative and judicial developments
which affect the Corporation or significant groups of its customers; the impact
of competition on the Corporation's revenues; fluctuations in weather from
normal levels; changes in development and operating costs; the availability and
cost of natural gas; the availability and terms of capital; exposure to
environmental liabilities; the costs and effects of unanticipated legal
proceedings; the successful implementation and achievement of internal
performance goals; the impact of unusual items resulting from ongoing
evaluations of business strategies and asset valuations; and changes in business
strategy.
Item 5. OTHER EVENTS.
The Providence Gas Company ("ProvGas") and the Rhode Island Division of Public
Utilities and Carriers (the "Division") have reached agreement for recovery of
exogenous changes which allows ProvGas to recover $2.45 million. Currently, the
Rhode Island Public Utilities Commission is reviewing the exogeneous change
agreement to ensure consistency with the terms of Energize RI.
ProvGas sought recovery for two exogenous changes that significantly decreased
revenues: (1) severe warmer-than-normal temperatures; and (2) significantly
lower-than-expected non-firm margins. The impact of warmer-than-normal in FY98
was $4.0 million. Further, the level of relative market pricing of natural gas
versus alternative fuels, primarily oil prices, resulted in a non-firm margin
shortfall of $1.6 million in FY98.
ProvGas, a subsidiary of Providence Energy Corporation, is Rhode Island's
largest natural gas distribution company, serving more than 160,000 homes and
businesses in 25 Rhode Island cities and towns.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PROVIDENCE ENERGY CORPORATION
JAMES H. DODGE
By: /s/ James H. Dodge
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Chairman of the Board, President and
Chief Executive Officer
Date: March 24, 1999
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