El Paso Corporation (EP)

[NovoMira]

UPDATE 1-El Paso sees 2008 earnings below Wall Street view

Thu Jan 24, 2008 8:47am EST
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NEW YORK, Jan 24 (Reuters) - Natural gas producer and pipeline company El Paso Corp (EP.N:) on Thursday forecast 2008 earnings from continuing operations below the average Wall Street estimate.

The company said it expects earnings of $1.00 to $1.10 per share. Analysts' average forecast is $1.14, according to Reuters Estimates.

Cash flow from operations is expected to be $2.1 billion to $2.3 billion. It expects to spend $3.4 billion on its capital program, El Paso said. "As we move into 2008, for the first time in many years El Paso has visible, multiyear growth in both of our core businesses," said Chief Executive Doug Foshee in a statement.

From 2007 to 2012, El Paso is targeting compound annual growth between 6 percent to 8 percent for its pipeline unit's earnings before interest and taxes (EBIT) and targeting production growth of 8 percent to 12 percent for its exploration and production unit.