Reliant Energy ( RRI) slashed its 2006 guidance Monday, citing lower natural gas prices and the unusually warm winter. The power generator expects to lose $89 million from continuing operations before taxes in the full year. On Feb. 8, the company pegged the loss at $62 million. Reliant expects to produce earnings before interest, taxes, depreciation and amortization of $740 million, down from the Feb. 8 estimate of $1.1 billion. Adjusted EBITDA for 2006 should be $457 million, not the $570 million it previously estimated. "The revised outlook uses forward natural gas prices as of March 8, which reflects a decline of approximately $3 per million British thermal units from the previous outlook," the company said. "Additionally, temperatures in January and February were unseasonably warm in the Northeast, where many of the company's power plants are located." The stock closed at $10.19 Friday.