SAN DIEGO, March 27, 2006 (PRIMEZONE) -- Sempra Generation, a subsidiary of Sempra Energy (NYSE:SRE), has agreed to sell its energy services group to Honeywell Building Solutions, a business unit of Honeywell (NYSE:HON).
No terms of the transaction were disclosed.
Sempra Generation's energy services group provides energy-performance contracting solutions for federal, state and local government facilities, hospitals and healthcare facilities, colleges and universities, and other commercial entities. These services enable customers to lower their energy and operational expenses by improving efficiencies or generating alternative power. This group also designs, develops and manages construction of energy efficient facilities. The organization has offices in Albany, N.Y., Los Angeles and Houston.
"This sale completes two objectives for Sempra Generation," said Michael R. Niggli, president of Sempra Generation. "It puts our energy-services business under the auspices of a well-respected, international company that specializes in performance contracting and allows Sempra Generation to concentrate on the efficient operation of its existing power plant assets."
Sempra Generation anticipates the transaction will be concluded early in the second quarter of 2006.
Honeywell Building Solutions is a global provider of integrated building management and control systems, and is a global leader in the energy services industry, helping organizations conserve energy, optimize facilities and equipment, and improve security.
Honeywell International is a $28 billion diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; automotive products; turbochargers; and specialty materials. Based in Morris Township, N.J., Honeywell's shares are traded on the New York, London, Chicago and Pacific Stock Exchanges. It is one of the 30 stocks that make up the Dow Jones Industrial Average and is also a component of the Standard & Poor's 500 Index. For additional information, please visit www.honeywell.com.
Sempra Generation operates and maintains power generation facilities for competitive markets. Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company with 2005 revenues of $11.7 billion. The Sempra Energy companies' 14,000 employees serve more than 29 million consumers in the United States, Europe, Canada, Mexico, South America and Asia.
This press release contains statements that are not historical fact and constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When the company uses words like "believes," "expects," "anticipates," "intends," "plans," "estimates," "may," "would," "should" or similar expressions, or when the company discusses its strategy or plans, the company is making forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking statements. Forward-looking statements are necessarily based upon various assumptions involving judgments with respect to the future and other risks, including, among others: local, regional, national and international economic, competitive, political, legislative and regulatory conditions and developments; actions by the California Public Utilities Commission, the California State Legislature, the California Department of Water Resources, the Federal Energy Regulatory Commission and other regulatory bodies in the United States and other countries; capital markets conditions, inflation rates, interest rates and exchange rates; energy and trading markets, including the timing and extent of changes in commodity prices; the availability of natural gas; weather conditions and conservation efforts; war and terrorist attacks; business, regulatory, environmental, and legal decisions and requirements; the status of deregulation of retail natural gas and electricity delivery; the timing and success of business development efforts; the resolution of litigation; and other uncertainties, all of which are difficult to predict and many of which are beyond the control of the company. These risks and uncertainties are further discussed in the company's reports filed with the Securities and Exchange Commission that are available through the EDGAR system without charge at its Web site, www.sec.gov and on the company's Web site, www.sempra.com.
Sempra Generation is not the same company as the utilities, SDG&E or SoCalGas, and is not regulated by the California Public Utilities Commission.