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Northeast Utilities Cuts Outlook

Meredith Derby

Northeast Utilities(NU Quote) lowered its 2002 earnings outlook, citing losses in its energy businesses.

The company expects to earn $1.10 to $1.30 a share, down from its original expectation of $1.40 to $1.65 a share. The company earned $1.29 a share in 2001.

Northeast said energy-business losses accounted for $31 million in the first half of 2002, and that it expects to lose between $20 million and $30 million more in the second half of the year. Unpredictable energy prices have affected Northeast's competitive energy marketing subsidiary, Select Energy, and have contributed to the expected weaker results.

The company will release its results on Oct. 21.