Algonquin Power & Utilities Corp. Enters an Agreement to Acquire New England Gas Company

 Algonquin Power & Utilities Corp. Enters an Agreement to Acquire New England
                                 Gas Company

PR Newswire

OAKVILLE, ON, Feb. 11, 2013

OAKVILLE, ON, Feb. 11, 2013 /PRNewswire/ - Algonquin Power & Utilities Corp.
("APUC") (TSX: AQN) today announced that an APUC subsidiary entered into an
agreement with The Laclede Group, Inc. ("Laclede") to assume Laclede's rights
to purchase the assets of New England Gas Company ("New England Gas") from an
affiliate of Southern Union Company. New England Gas is a natural gas
distribution utility serving over 50,000 customers in Massachusetts. The
acquisition is subject to certain approvals and conditions, including state
and federal regulatory approval, and is expected to close in the second half
of 2013.

Total consideration for the utility asset purchase is approximately U.S. $74
million, subject to working capital and closing adjustments. The acquisition
will be funded using a targeted 52% equity, 48% debt capital structure and
will include the assumption of $19.5 million of existing debt. Net property,
plant and equipment expected on closing is U.S. $73.9 million, with a 2013
expected earnings before interest, tax, depreciation and amortization multiple
of 7.8x.

"The New England Gas acquisition further expands APUC's footprint in the
eastern United States region and will integrate well with our existing New
England utility operations", commented Ian Robertson, Chief Executive Officer
of APUC. "The acquisition again demonstrates our ability to acquire attractive
utility operations in the United States particularly in supportive regulatory
environments such as Massachusetts."

New England Gas has a capable and experienced work force and APUC's subsidiary
intends to make offers of continuing employment to all current employees of
the utility.

For additional information on the acquisition, please visit
http://investors.algonquinpower.com/mna.aspx?iid=4142273

About Algonquin Power & Utilities Corp.
Algonquin Power & Utilities Corp. owns and operates a diversified $3.0 billion
portfolio of regulated and non-regulated utilities in North America. The
company's regulated utility business provides water, electricity and natural
gas utility services to more than 350,000 customers through its nationwide
portfolio of regulated generation, transmission and distribution utility
systems. The company's non-regulated electric generation subsidiary owns or
has interests in renewable energy and thermal energy facilities representing
more than 1,100 MW of installed capacity. Algonquin delivers continuing growth
through an expanding pipeline of renewable power and clean energy projects,
organic growth within its regulated utilities and the pursuit of accretive
acquisition opportunities. Common shares and preferred shares are traded on
the Toronto Stock Exchange under the symbols AQN and AQN.PR.A respectively.
Visit Algonquin Power and Utilities atwww.AlgonquinPowerandUtilities.comand
follow us on Twitter @AQN_Utilities.

Caution Regarding Forward-Looking Information
Certain statements included in this news release contain information that is
forward-looking within the meaning of certain securities laws, including
information and statements regarding prospective results of operations,
financial position or cash flows. These statements are based on factors or
assumptions that were applied in drawing a conclusion or making a forecast or
projection, including assumptions based on historical trends, current
conditions and expected future developments. Since forward-looking statements
relate to future events and conditions, by their very nature they require
making assumptions and involve inherent risks and uncertainties. APUC cautions
that although it is believed that the assumptions are reasonable in the
circumstances, these risks and uncertainties give rise to the possibility that
actual results may differ materially from the expectations set out in the
forward-looking statements. Material risk factors include those set out in the
management's discussion and analysis section of APUC's most recent annual
report and quarterly report, and APUC's Annual Information Form. Given these
risks, undue reliance should not be placed on these forward-looking
statements, which apply only as of their dates. Other than as specifically
required by law, APUC undertakes no obligation to update any forward-looking
statements or information to reflect new information, subsequent or otherwise.

SOURCE Algonquin Power & Utilities Corp.

Contact:

Contact:
Algonquin Power & Utilities Corp.
Kelly Castledine
Investor Relations
(905) 465-4500
 
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