A number of people were laid off at Calgary-based ATCO last week, Calgary’s Business has learned.
When asked about the layoffs, the company would not confirm how many people were affected but gave the following statement on the “reductions.”
“We continue to face strong economic headwinds in Alberta and prospects for growth are not materializing. We are trying to remain competitive in this environment, while continuing to provide our customers with competitive costs for service. It’s not easy, but we must face the reality of the situation, and unfortunately that has had an impact on some great employees and the people of this province,” stated an email from company spokesperson Spencer Forgo.
The company recently unveiled its new state-of-the-art office campus off of Crowchild Trail near Mount Royal University.
On its website, the company says it has about 7,000 employees and assets of $22 billion. It says it’s a diversified global corporation delivering service excellence and innovative business solutions in structures and logistics (workforce housing, innovative modular facilities, construction, site support services, and logistics and operations management); electricity (electricity generation, transmission, and distribution); pipelines and liquids (natural gas transmission, distribution and infrastructure development, energy storage, and industrial water solutions); and retail energy (electricity and natural gas retail sales).
In late April, the company announced first-quarter adjusted earnings for 2018 of $99 million, or $0.87 per share, compared to $116 million, or $1.01 per share, in the first quarter of 2017.
“Lower earnings in the company’s utility businesses were mainly due to rate rebasing under Alberta’s regulated model, partially offset by higher earnings from Alberta PowerLine,” it said.
ATCO invested $772 million in capital growth projects in the first quarter of 2018, of which 98 per cent was invested in assets that earn a return under a regulated business model or are under commercially secured long-term contracts, said the company.
“In the period 2018 to 2020, ATCO expects to invest an additional $4.5 billion in regulated utility and commercially secured capital growth projects. This capital investment is expected to contribute significant earnings and cash flow, and create long-term value for share owners,” it added.
Respected business writer Mario Toneguzzi is a veteran Calgary-based journalist who worked for 35 years for the Calgary Herald in various capacities, including 12 years as a senior business writer.
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