Alliant earnings soar in Q1 as rate increases take hold

CEDAR RAPIDS - Alliant Energy reported sharply higher earnings in the quarter ending March 31, as rate increases at the company's Iowa and Wisconsin's electric utilities took hold.

Net income for the quarter rose 66.4 percent to $72.2 million from $43.4 million in the first quarter of 2010. Earnings per share rose to 65 cents from 39 cents. Alliant boosted its earnings outlook for the full year to a range of $2.65 to $2.80 per share, up from $2.60 to $2.80 per share.

Company officials said earnings were driven by a $114 million annualized rate increase at Interstate Power & Light that took effect March 10, 2010 and a $8 million annualized rate increase at Wisconsin Power & Light that took effect on Jan. 1.

A transmission rider that was approved for Iowa electric customers also benefitted earnings, allowing the company to pass along rising transmission rates to customers with less delay.

The results included a $5 million impairment charge taken by Alliant on rights acquired to develop a wind farm on properties in Green Lake and Fond du Lac counties in Wisconsin. The company said changes in the State of Wisconsin's regulatory treatment of wind energy made it unlikely the site could be developed.