Before we begin the presentation, I’d like to direct your attention to the Safe-Harbor statement regarding forward-looking statements. This is an SEC requirement for financial statements, and simply states that we cannot guarantee forward-looking financial results but this is our best estimate to-date. In addition, there is a Regulation G reconciliation for EBITDA in the appendix along with projected capital expenditures.
I will now turn the call over to Pete Delaney for his opening comments. Pete?
Thank you, Todd. Good morning, everyone, and welcome to our call. For the first quarter of 2012 we reported earnings of $0.38 per share compared to $0.25. In 2011 with higher margins and earnings at utility end Enogex. The increase of Enogex was driven by the investments associated with volume growth, particularly in the processing business.Processing volumes grew 20% quarter-over-quarter highlighting Enogex expansion liquids rich basins of Western Oklahoma and the Texas Panhandle. Enogex also benefited from insurance proceeds associated with the Cox City plant fire discussed on previous call. On the utility side, primary earnings drivers are investments in the Crossroads wind farm and transmission that benefits both customers and shareholders. While the first quarter results show continued progress in several fronts, the pending Oklahoma rate case is one of those. As you recall, key differences between our request and the interveners are the ROE requested and the recovery of O&M expenses outside the test year. We’re still waiting on the ALJ decision that while not binding on the Oklahoma Commission, does in our opinion influence decision making. We had expected that report would have been issued by this time. We may have underestimated however, the impact of the States cut backs to the Commissions’ budget. Meanwhile, we’re hopeful that within a short period of time an ALJ report will be issued. We will be working to bring this case to a conclusion and we will keep you posted as events unfold.
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