SAN DIEGO, Feb. 22, 2005 (PRIMEZONE) -- The board of directors of Sempra Energy (NYSE:SRE) today announced that the company has raised its quarterly dividend payable on shares of its common stock 16 percent to 29 cents per share ($1.16 annualized rate). The new dividend is payable April 15, 2005, to shareholders of record on March 24, 2005.
The dividend change is the first for Sempra Energy since 2000. Previously, the quarterly dividend was 25 cents per share ($1.00 annualized rate).
"Since Sempra Energy's formation in 1998, we have succeeded in our growth strategy, with earnings growth averaging more than 20 percent annually," said Stephen L. Baum, chairman and chief executive officer. "Based upon the continued solid performance of our competitive energy businesses and California utilities, coupled with our positive outlook for the future, our board of directors has determined that this is an opportune time to raise the dividend. We can accomplish this dividend increase while delivering on our future growth plans and maintaining our strong, investment-grade credit ratings."
Given the company's current financial outlook, Baum said he expects that the dividend can be increased 3 percent to 4 percent annually in the future.
In related news, regular quarterly preferred dividends have been declared by Pacific Enterprises, a subsidiary of Sempra Energy, as follows:
Pacific Enterprises:
$4.36 Preferred $1.09 per share
$4.40 Preferred $1.10 per share
$4.50 Preferred $1.125 per share
$4.75 Preferred (2 Series) $1.1875 per share
Each of the preferred dividends is payable on April 15, 2005, to shareholders of record on March 24, 2004.
Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company with 2003 revenues of $7.9 billion. The Sempra Energy companies' 13,000 employees serve more than 10 million customers in the United States, Europe, Canada, Mexico, South America and Asia.
This presentation 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; and other uncertainties, all of which are difficult to predict and many of which are beyond the company's control. 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.