TransAlta posts loss on pension funding

Tue Apr 23, 2013 8:41am EDT
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(Reuters) - Canadian power generation company TransAlta Corp (TA.TO: Quote) reported a first-quarter loss, hurt in part by a one-time charge related to pension funding obligations.

The company posted a loss of C$11 million, or 4 Canadian cents per share, in the first quarter, compared with a profit of C$88 million, or 39 Canadian cents per share, a year earlier.

Revenue fell 16 percent to C$540 million (about $526 million).

The quarterly loss was also due to de-designation of hedges as the company recognized gain for contracts settled at the end of the first quarter of 2013 during the year-ago period.

Comparable earnings fell to 12 Canadian cents per share from 20 Canadian cents per share a year earlier.

Funds from operations for the company -- which generates power from coal, natural gas, hydro, wind and geothermal sources -- rose 2 percent to C$192 million.

TransAlta, which has plants in Canada, the United States and Australia, said it does not expect the outage at its Keephills facility in Alberta on March 5 to have a material financial impact.

Shares of the Calgary-based company closed at C$14.06 on the Toronto Stock Exchange on Monday.

(Reporting by Shounak Dasgupta in Bangalore)