ITC Holdings Unveils New Five-Year Capital Plan; Initiates 2011 Earnings Per Share and Capital Expenditure Guidance and Reaffirms 2010 Guidance

Sep 27, 2010

NOVI, Mich., Sept 27, 2010 /PRNewswire via COMTEX News Network/ -- ITC Holdings Corp. (NYSE: ITC) today announced its new five-year capital investment plan of approximately $3.9 billion, as a part of a broader strategic update. The new five-year plan, for the period of 2011 to 2015, reflects expected investments of approximately $2.57 billion in ITC's base operating companies, including expected transmission investments associated with generator interconnections, and approximately $1.36 billion in development projects.

The five-year capital investment plan is projected to increase ITC's consolidated rate base from approximately $2.6 billion at the end of 2010 to approximately $4.9 billion at the end of 2015. This increase in projected rate base is expected to result in compound annual growth in earnings per share in the range of 15 - 17 percent over this period.

"ITC's new five-year capital plan reflects our on-going commitment to investment in new transmission infrastructure to improve the overall reliability and performance of the grid for the benefit of our customers," said Joseph L. Welch, chairman, president and CEO of ITC. "Our capital investments also create value for our shareholders and serve to establish a foundation for sustainable long-term growth. We remain optimistic regarding our ability to execute on these plans given the significant need for transmission infrastructure projects that continues to exist and the increasingly supportive regulatory environment in the U.S."

ITC also provided initial earnings per share and capital expenditure guidance for 2011. For 2011, management expects diluted earnings per share in the range of $3.20 to $3.30. 2011 capital expenditures are expected to be approximately $560 to $640 million, including $60 to $75 million, $155 to $170 million, $225 to $250 million, and $120 to $145 million, for ITCTransmission, METC, ITC Midwest and ITC Great Plains, respectively.

The midpoint of the 2011 earnings guidance range represents an increase of approximately 19 percent compared to the midpoint of the current 2010 earnings guidance range, which is $2.70 to $2.75 per share.

For more information please see the webcast of ITC's analyst day held at the New York Stock Exchange today available on our website at https://www.itc-holdings.com/itc/about-us/fixed-income-investors.

About ITC Holdings Corp.

ITC Holdings Corp. (NYSE: ITC) invests in the electricity transmission grid to improve electric reliability, expand access to markets, lower the overall cost of delivered energy and allow new generating resources to interconnect to its transmission systems. The largest independent electricity transmission company in the country, ITC operates high-voltage transmission systems in Michigan's Lower Peninsula and portions of Iowa, Minnesota, Illinois, Missouri and Kansas, serving a combined peak load in excess of 25,000 megawatts through its regulated operating subsidiaries, ITCTransmission, Michigan Electric Transmission Company (METC), ITC Midwest and ITC Great Plains. ITC also focuses on new areas where significant transmission system improvements are needed through ITC Grid Development and its subsidiaries. For more information, please visit: https://www.itc-holdings.com. (itc-ITC)

Safe Harbor Statement

This press release contains certain statements that describe our management's beliefs concerning future business conditions, plans and prospects, growth opportunities and the outlook for our business and the electricity transmission industry based upon information currently available. Such statements are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. Wherever possible, we have identified these forward-looking statements by words such as "will," "may," "anticipates", "believes", "intends", "estimates", "expects", "projects" and similar phrases. These forward-looking statements are based upon assumptions our management believes are reasonable. Such forward looking statements are subject to risks and uncertainties which could cause our actual results, performance and achievements to differ materially from those expressed in, or implied by, these statements, including, among others, the risks and uncertainties disclosed in our annual report on Form 10-K and our quarterly reports on Form 10-Q filed with the Securities and Exchange Commission from time to time.

Because our forward-looking statements are based on estimates and assumptions that are subject to significant business, economic and competitive uncertainties, many of which are beyond our control or are subject to change, actual results could be materially different and any or all of our forward-looking statements may turn out to be wrong. Forward-looking statements speak only as of the date made and can be affected by assumptions we might make or by known or unknown risks and uncertainties. Many factors mentioned in our discussion in this release and in our annual and quarterly reports will be important in determining future results. Consequently, we cannot assure you that our expectations or forecasts expressed in such forward-looking statements will be achieved. Actual future results may vary materially. Except as required by law, we undertake no obligation to publicly update any of our forward-looking or other statements, whether as a result of new information, future events, or otherwise.

SOURCE ITC Holdings Corp.

Copyright (C) 2010 PR Newswire. All rights reserved