CORPORATE OVERVIEW Building a Diversified Infrastructure Company. March 2014. Corporate Snapshot Developer, owner & operator of high quality infrastructure assets. Mission & Vision.
Mission & Vision
Our mission is to provide investors with an attractive total return from responsibly managed long-term investments in core infrastructure in Canada & internationally. Our vision is to be a Canadian leader in owning and operating diversified infrastructure businesses that benefit the communities we serve, the people we employ, and our investors.
1 - Market capitalization is based on the closing price of the common shares on March 18, 2014 and includes Class B exchangeable units issued by a subsidiary of CSE.
Notes:* CSE holds a 50% interest in Bristol Water.** CSE holds a 33% interest in Värmevärden.*** CSE’s investment in Chapais consists of a 31.3% interest in one of two classes of preferred shares, a 24.8% interest in Tranche A and B debt, and a 50% interest in Tranche C debt.
Regulated or contractual businesses that provide essential community infrastructure
Includes 50% interest in Bristol Water, a growing regulated utility in the United Kingdom & a 33% interest in Värmevärden, a district heating business in Sweden.
RCV growth over 2010-2015 compared with industry average of 8%
RCV as at March 31, 2013
Size of capital expenditure program for 2010-2015
Heat production capacity
Length of distribution network
Number of communities the business operates in
Power generation facilities with a clean energy profile & long-term contracts, & a pipeline of wind power projects
Includes operating gas-fired, wind, biomass, hydro & solar power generation facilities & a pipeline of contracted wind power projects in Canada.
Net megawatts of installed capacity across Canada
Net capacity of current wind development project pipeline
Number of employees directly engaged in operation & development of power portfolio
…Drinking water for 1.2 million people
…Clean electricity to power about 220,000 households
…Heat distributed within 10 communities with combined population of 170,000
Total Assets2A History of Growth
In $ millions
In $ millions
In $ millions
1 – Excludes internalization costs.2 – Figures presented for 2004 to 2009 reflect Canadian Generally Accepted Accounting Principles (GAAP)3 – Adjusted EBITDA is defined on page 16.
Adjusted EBITDA1 by Country
2013 AFFO1 by Business & Country2,3A History of Diversification
1 – Please refer to slides 16 and 17 for definitions of Adjusted EBITDA and AFFO, respectively.2 - Chart illustrates contribution for the businesses and excludes corporate component.3 – Excludes internalization costs..
Trillions of dollars of investment needed
“Cardinal Power’s consistent, reliable steam and air supply over the past 15 years has allowed our facility to succeed in challenging times.”
- Marc Harcus, Plant Manager, Casco Inc. – Cardinal
“We are indeed fortunate to have Cardinal Power located in our community and continue to find them to be a generous and involved corporate citizen.”
- (Former) Mayor Larry Dishaw, Township of Edwardsburgh/Cardinal
In 2013, the Whitecourt biomass facility was awarded a Certificate of Recognition by Alberta’s provincial government, reflecting high safety standards and programs at the facility.
In 2013, the Cardinal gas cogeneration facility achieved its 17thconsecutive year with no lost-time injuries
High quality, diversified & low risk portfolio of infrastructure businesses providing essential services
Substantial investment in Bristol Water, a perpetual business we expect to generate growing cash flow
Sizable contracted power portfolio, including accretive wind projects
Strong operating performance supports stable, long-term cash flow for shareholders
Our mission is to provide investors with an attractive total return from responsibly managed long-term investments in core infrastructure in Canada & internationally
155 Wellington Street WestSuite 2930Toronto, Ontario M5V 3H1T: 416-649-1300
Notice to Readers:This presentation is not an offer or invitation for the subscription or purchase of or a recommendation of securities. It does not take into account the investment objectives, financial situation and particular needs of any investors. Before making an investment in the Corporation, an investor or prospective investor should consider whether such an investment is appropriate to their particular investment needs, objectives and financial circumstances and consult an investment adviser if necessary.
Michael BernsteinPresident and Chief Executive Officer
Michael SmerdonExecutive Vice President and Chief Financial Officer
Stu MillerExecutive Vice President, General Counsel & Secretary
Jack BittanSenior Vice President, Business Development
Rob RobertiSenior Vice President, Power Generation
Jens EhlersSenior Vice President, Finance
Sarah Borg-OlivierSenior Vice President, Communications