Washington Gas Light Co. develops and distributes natural gas. Its regulated utility segments include operating a safe and reliable natural gas distribution system, having sufficient natural gas supplies to meet customer demands, being competitive with other sources of energy such as electricity, fuel oil and propane, having access to sources of liquidity, recovering the costs and expenses of this business in the rates charged to customers and earning a fair, just and reasonable rate of return on invested capital. The company was founded in 1848 and is headquartered in Washington, DC.
The ownership and operation of Washington Gas’ business is subject to hazards of transporting, storing, and marketing hydrocarbon products.
Leaks, mechanical problems, incidents or other operational issues could affect public safety and the reliability of Washington Gas’ distribution system, which could materially affect Washington Gas’ results of operations, financial condition and cash flows.
Washington Gas may be unable to obtain an adequate supply of gas to satisfy present and future customer demand and it may be unable to secure the necessary transportation or storage capacity to deliver or acquire the volume of gas necessary to meet its current obligations or growth demands.
Cyberattacks, including cyberterrorism or other information technology security breaches, or information security or technology failures may disrupt our business operations, increase our costs, lead to the disclosure of confidential information, and damage our reputation.
Washington Gas may encounter unexpected difficulties or costs in meeting commitments made under various orders and agreements associated with regulatory approvals for the Merger.
The merger of WGL with AltaGas may not achieve its anticipated results, and WGL, including Washington Gas, may be unable to integrate the operations in the manner expected.
Washington Gas may incur unexpected costs in connection with the Merger.
WGL and AltaGas may become targets of securities class action suits and derivative suits, which could result in substantial costs and divert management attention and resources.
As an indirect, wholly-owned subsidiary of AltaGas, Washington Gas is dependent on AltaGas for certain services under a services agreement. Loss of such services, if any, could have a material impact on Washington Gas’ business, financial condition, results of operations and cash flows.
As an indirect, wholly-owned subsidiary of AltaGas, Washington Gas is affected by AltaGas' strategic decisions and performance.
Washington Gas may be unable to access capital or the cost of capital may significantly increase.
A decline in the local economy in which Washington Gas operates may reduce net revenue growth and reduce future earnings and cash flows.
We are exposed to counterparty and contract-related risks that could adversely affect our results of operations, cash flows and financial condition.
Our risk management strategies and related hedging activities may not be effective in managing risks and may cause increased volatility in our earnings and may result in costs and losses for which rate recovery may be disallowed.
Rules implementing the derivatives transaction provisions of the Dodd-Frank Act could have an adverse impact on our ability to hedge risks associated with our business.
Failure of our service providers could negatively impact our business, results of operations and financial condition.
Failure of the Company’s internal controls and procedures for financial reporting could adversely affect investor confidence and expose the Company to additional risks.
Natural disasters and catastrophic events, including terrorist acts, may adversely affect our business.
Washington Gas may be unable to retain key management and to attract and compensate sufficient skilled employees and contractors to meet its needs in field operations and construction activities.
Washington Gas’ business and financial condition could be adversely impacted by strikes or work stoppages by its unionized employees.
The cost of providing retirement plan benefits to eligible current and former employees is subject to changes in the performance of investments, demographics, and other factors and assumptions. These changes may have a material adverse effect on us.
Changes in the regulatory environment or unfavorable rate regulation may restrict or delay Washington Gas’ ability to earn a reasonable rate of return on its capital invested to provide utility service and to recover fully its operating costs.
Climate change concerns and the movement for carbon neutral energy sources pose challenges to the Company’s operating model.
Changes in the relative prices of alternative forms of energy may weaken the competitive position of Washington Gas’ delivery service, which could reduce growth in natural gas customers, reduce the volume of natural gas delivered and negatively affect Washington Gas’ cash flows and earnings.
Washington Gas is subject to physical and financial risks associated with climate change.
Our business, earnings and cash requirements are highly weather sensitive and seasonal.
Certain legacy operations of the Company have exposed it to potential liabilities in connection with environmental remediation efforts.
Washington Gas is subject to various legal proceedings and management cannot predict the outcome of such proceedings.
Changes to government fiscal and trade policies could adversely affect Washington Gas’ strategic decisions and operating performance.
Washington Gas may face regulatory and financial risks related to pipeline safety legislation.
Changes in taxation and the ability to quantify such changes could adversely affect our financial results.