text: ALLETE reports 2009 earnings (NYSE:ALE)
  ALLETE reports 2009 earnings
  Results in line with previously-stated guidance
  ALLETE, Inc. (NYSE: ALE) today reported 2009 earnings of $1.89 per share, compared with 2008 earnings of $2.82 per share. Net income was $61 million on operating revenue of $759.1 million in 2009, versus net income of $82.5 million and operating revenue of $801 million in 2008. ALLETE's 2009 financial results reflected a $4.9 million, or 15 cent per share, after-tax charge for the 2008 portion of electric customer refunds from a prior rate case. Excluding that charge, ALLETE's 2009 earnings were $2.04 per share.
  "The financial picture for ALLETE in 2009 was negatively impacted by the economic downturn and by regulatory outcomes that were less than favorable to us," said Don Shippar, ALLETE's Chairman and Chief Executive Officer.
  Regulated Operations recorded net income of $65.9 million during the year, $2 million less than in 2008. Higher electric rates did not offset the combination of increased expenses, the 2008 portion of customer refunds, and lower kilowatt-hour sales. Due to the region's sluggish economy, sales of electricity to residential, municipal, commercial and industrial customers all declined from 2008 to 2009.
  Kilowatt-hour sales to other power suppliers, however, more than doubled from 2008 to 2009 as Minnesota Power sold a portion of the electricity not used by its industrial customers.
  ALLETE recorded higher income from its investment in the American Transmission Company due to an investment balance that climbed to $88.4 million at the end of 2009.
  Net income in the Investments and Other segment fell by $19.5 million compared to 2008. Year-over-year comparison in this segment was also affected by $9.6 million in tax benefits and a gain on the sale of securities in 2008 that did not reoccur in 2009. ALLETE Properties recorded a net loss of $4.7 million in 2009 versus net income of $1.8 million the previous year as Florida real estate market conditions remained weak throughout the year.
  Common stock shares issued by the company during the year to fund ALLETE's regulated utility capital investment program diluted earnings by 19 cents per share in 2009.
  Shippar said he expects ALLETE earnings for the full year 2010 to be within a range of $2.05 and $2.35 per share.
  "We're encouraged by an improved outlook for our industrial customers and we expect to achieve acceptable regulatory outcomes in 2010," he said. Shippar also noted that a new industrial customer, Mesabi Nugget, is now in operation and that the company's investment balance in the American Transmission Company will grow in 2010.