News

AltaGas Services Inc. Announces Completion of Reorganization into an Income Trust

May 01, 2004


CALGARY--(CCNMatthews - May 1) - AltaGas Services Inc. ("AltaGas") announced 
today the successful completion of the reorganization of its business into 
AltaGas Income Trust. AltaGas securityholders voted 99.9% in favour of the 
resolution approving the Plan of Arrangement to effect the reorganization at 
a special meeting of securityholders on April 29, 2004. The reorganization 
was approved by the Court of Queen's Bench of Alberta on April 30, 2004. The 
reorganization pursuant to the Plan of Arrangement was effected on May 1, 
2004.

Pursuant to the Plan of Arrangement, AltaGas Income Trust currently has 
approximately 33.7 million Trust Units issued and outstanding. In addition, 
under the Plan of Arrangement eligible AltaGas securityholders also received 
a total of 12.2 million limited partnership units ("Exchangeable Securities") 
that are exchangeable into Trust Units on a one-for-one basis. Elections by 
eligible securityholders for Exchangeable Securities were for less than the 
maximum number that were available under the Plan of Arrangement. Accordingly 
no pro rating of Exchangeable Securities was required.

AltaGas Income Trust will commence monthly distributions on June 15, 2004 to 
holders of Trust Units of record on May 25, 2004. The amount of the 
distribution on that date will be $0.15 for each Trust Unit and each 
Exchangeable Security. Subject to receipt of approvals from the Toronto Stock 
Exchange and the fulfillment of certain requirements of that exchange, the 
Trust Units will trade on the Toronto Stock Exchange under the symbol of 
"ALA.UN". It is anticipated that trading under the new symbol will begin on 
or about May 5, 2004. Prior to the commencement of trading of the Trust 
Units, the Common Shares of AltaGas will continue to trade on the Toronto 
Stock Exchange under the symbol ALA.

AltaGas moves energy from its source to the end user, adding value through 
the process. AltaGas has over $900 million of assets and a market 
capitalization of over $900 million. Its steadily expanding asset base today 
includes natural gas gathering and processing facilities, interests in ethane 
and natural gas liquids extraction plants, and transmission pipelines. 
AltaGas distributes natural gas to Alberta customers through AltaGas 
Utilities Inc., to customers in the Northwest Territories through the Ikhil 
Gas Project and is distributing natural gas in Nova Scotia through its 
interest in Heritage Gas Limited. AltaGas provides energy services to 
customers, including marketing of natural gas and natural gas liquids and 
sale of power from its power purchase arrangements.

When used in this press release, the words "anticipate", "estimate", and 
similar expressions are intended to identify forward-looking statements. Such 
statements are subject to certain risks, uncertainties and assumptions that 
could cause actual results to differ materially from those contemplated in 
the forward looking statements. These risks and uncertainties include 
operating performance, regulatory and environmental issues, weather and 
economic conditions, competition and financing availability. For additional 
information on these and other factors see the disclosure documents filed by 
AltaGas with Canadian securities regulators available on the Internet on the 
Canadian System for Electronic Document Analysis and Retrieval (SEDAR) 
website at www.sedar.com. AltaGas disclaims any intention or obligation to 
update or revise any forward looking information whether as a result of new 
information or future event.

 


Media
Dennis Dawson
(403) 691-7534
Email: dennis_dawson@altagas.ca


or


Investment Community
Marilyn Pfaefflin
(403) 691-7540
Email: marilyn_pfaefflin@altagas.ca
Website: www.altagas.ca