New Jersey Resources Significantly Increases Fiscal 2014 Net Financial Earnings Guidance

  New Jersey Resources Significantly Increases Fiscal 2014 Net Financial
  Earnings Guidance

         Long-term Earnings Growth Rate Goal Raised to 5 to 9 Percent

            Dividend Growth Rate Goal Increased to 6 to 8 Percent

Business Wire

WALL, N.J. -- March 12, 2014

New Jersey Resources (NYSE:NJR) today announced a significant increase in its
fiscal 2014 net financial earnings (NFE) guidance to a range of $3.90 to $4.10
per basic share, from the previously announced range of $2.75 to $2.95 per
basic share, subject to the risks and uncertainties identified below under
“Forward-Looking Statements.”

The increase in guidance is due to significantly better-than-anticipated
results at NJR Energy Services (NJRES), a leading provider of producer and
physical natural gas services. This winter, demand for natural gas increased
considerably in regions affected by the sustained extreme cold weather across
the United States, especially in the Midwest. During this period of high
demand and volatility, NJRES effectively utilized its strategically located
portfolio of natural gas storage and transportation contracts to meet the
needs of its customers in these regions.

Over the course of the past several years, NJRES has used the changing
dynamics in the natural gas market to restructure its portfolio of storage and
pipeline capacity assets to position the company to serve the growing market
for physical natural gas services.

“Through this challenging winter, our experienced team at NJR Energy Services
skillfully met the increased energy needs of their customers,” said Laurence
M. Downes, chairman and CEO of New Jersey Resources. “The resulting increase
in our earnings allows us to finance our future capital expenditures more
efficiently and further strengthens our balance sheet. In addition to the
better-than-expected results of NJR Energy Services, we continue to forecast
strong year-over-year growth at our core subsidiary, New Jersey Natural Gas.”

As in the past, NJR expects New Jersey Natural Gas (NJNG), the company’s
regulated utility, to be the largest contributor to fiscal 2014 NFE. Steady
growth at NJNG is supported by customer growth in both new construction and
conversion markets, the return of the majority of Sandy-affected customers and
regulatory initiatives that earn current returns, including the company’s
Safety Acceleration and Facility Enhancement (SAFE) infrastructure investment
and its energy-efficiency program, The SAVEGREEN Project^®.

The chart below represents the NFE contributions NJR currently expects from
its businesses in fiscal 2014.

                            Expected Fiscal 2014
Company                     Net Financial Earnings Contribution
New Jersey Natural Gas      45 to 50 percent
NJR Energy Services         35 to 40 percent
NJR Clean Energy Ventures   5 to 15 percent
NJR Midstream               3 to 10 percent
NJR Home Services           2 to 5 percent
                              

  *NJR Increases Long-term Earnings Growth Rate and Dividend Growth Rate
    Goals

Reinvesting the higher-than-expected earnings into the company’s previously
announced capital programs will improve the per-share profitability of those
investments. Accordingly, NJR has raised its average annual long-term
NFE-per-share growth rate goal to a range of 5 to 9 percent from the previous
range of 4 to 7 percent. In addition, the company has increased its annual
dividend growth rate forecast to a range of 6 to 8 percent, up from 5 percent.
NJR’s long-term payout ratio goal remains unchanged at a range of 60 to 65
percent. NJR continues to expect that between 65 and 80 percent of its
long-term earnings will be generated by its regulated businesses.

The chart below represents NJR’s projected long-term earnings contributions
from its businesses beyond fiscal 2014:

Company                     Net Financial Earnings Contribution
New Jersey Natural Gas      60 to 70 percent
NJR Energy Services         5 to 15 percent
NJR Clean Energy Ventures   10 to 20 percent
NJR Midstream               5 to 10 percent
NJR Home Services           2 to 5 percent


Forward-Looking Statements

This news release contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. NJR cautions readers
that the assumptions forming the basis for forward-looking statements include
many factors that are beyond NJR’s ability to control or estimate precisely,
such as estimates of future market conditions and the behavior of other market
participants. Words such as “anticipates,” “estimates,” “expects,” “projects,”
“may,” “will,” “intends,” “plans,” “believes,” “should” and similar
expressions may identify forward-looking information and such forward-looking
statements are made based upon management’s current expectations and beliefs
as of this date concerning future developments and their potential effect upon
NJR. There can be no assurance that future developments will be in accordance
with management’s expectations or that the effect of future developments on
NJR will be those anticipated by management. Forward-looking information in
this release includes, but is not limited to, certain statements regarding
NJR's NFE for fiscal 2014, forecasted contribution of business segments to
fiscal 2014 NFE and to NFE beyond fiscal 2014, NJR’s long-term NFE per share
growth rate goal, NJR’s future dividend growth rate and payout ratio, the
long-term outlook for NJRCEV, diversification of NJRCEV’s strategy, and NJR’s
long-term NFE per share growth rate.

The factors that could cause actual results to differ materially from NJR’s
expectations include, but are not limited to, weather and economic conditions;
demographic changes in the NJNG service territory and their effect on NJNG's
customer growth; volatility of natural gas and other commodity prices and
their impact on NJNG customer usage, NJNG's BGSS incentive programs, NJRES'
operations and on the Company's risk management efforts; changes in rating
agency requirements and/or credit ratings and their effect on availability and
cost of capital to the Company; the impact of volatility in the credit
markets; the ability to comply with debt covenants; the impact to the asset
values and resulting higher costs and funding obligations of NJR's pension and
post employment benefit plans as a result of downturns in the financial
markets, a lower discount rate, and impacts associated with the Patient
Protection and Affordable Care Act; accounting effects and other risks
associated with hedging activities and use of derivatives contracts;
commercial and wholesale credit risks, including the availability of
creditworthy customers and counterparties and liquidity in the wholesale
energy trading market; the ability to obtain governmental approvals and/or
financing for the construction, development and operation of certain
non-regulated energy investments; risks associated with the management of the
Company's joint ventures and partnerships; conditions precedent to the closing
of the acquisition of the Carroll Area wind farm; risks associated with our
investments in renewable energy projects and our investments in an onshore
wind developer, including the availability of regulatory and tax incentives,
logistical risks and potential delays related to construction, permitting,
regulatory approvals and electric grid interconnection, the availability of
viable projects and NJR's eligibility for ITCs and PTCs, the future market for
SRECs and operational risks related to projects in service; timing of
qualifying for ITCs due to delays or failures to complete planned solar energy
projects and the resulting effect on our effective tax rate and earnings;
regulatory approval of NJNG’s planned infrastructure programs;  the level and
rate at which NJNG's costs and expenses (including those related to
restoration efforts resulting from Superstorm Sandy) are incurred and the
extent to which they are allowed to be recovered from customers through the
regulatory process; access to adequate supplies of natural gas and dependence
on third-party storage and transportation facilities for natural gas supply;
operating risks incidental to handling, storing, transporting and providing
customers with natural gas; risks related to our employee workforce, including
a work stoppage; the regulatory and pricing policies of federal and state
regulatory agencies; the possible expiration of the NJNG CIP, the costs of
compliance with the proposed regulatory framework for over-the-counter
derivatives; the costs of compliance with present and future environmental
laws, including potential climate change-related legislation; risks related to
changes in accounting standards; the disallowance of recovery of
environmental-related expenditures and other regulatory changes;
environmental-related and other litigation and other uncertainties; risks
related to cyber-attack of failure of information technology systems; and the
impact of natural disasters, terrorist activities, and other extreme events on
our operations and customers, including any impacts to utility gross margin,
and restoration costs resulting from Superstorm Sandy. The aforementioned
factors are detailed in the “Risk Factors” sections of our Annual Report on
Form 10-Kfiled on November 26, 2013, as filed with the Securities and
Exchange Commission (SEC), which is available on the SEC’s website at sec.gov.
Information included in this release is representative as of today only and
while NJR periodically reassesses material trends and uncertainties affecting
NJR's results of operations and financial condition in connection with its
preparation of management's discussion and analysis of results of operations
and financial condition contained in its Quarterly and Annual Reports filed
with the SEC, NJR does not, by including this statement, assume any obligation
to review or revise any particular forward-looking statement referenced herein
in light of future events.

Non-GAAP Financial Information

This press release includes the non-GAAP measure NFE. As an indicator of the
company’s operating performance, this measure should not be considered an
alternative to, or more meaningful than, operating income as determined in
accordance with GAAP. This information has been provided pursuant to the
requirements of SEC Regulation G.

NFE excludes unrealized gains or losses on derivative instruments related to
the company’s unregulated subsidiaries and certain realized gains and losses
on derivative instruments related to natural gas that has been placed into
storage at NJRES. Volatility associated with the change in value of these
financial and physical commodity contracts is reported in the income statement
in the current period. In order to manage its business, NJR views its results
without the impacts of the unrealized gains and losses, and certain realized
gains and losses, caused by changes in value of these financial instruments
and physical commodity contracts prior to the completion of the planned
transaction because it shows changes in value currently instead of when the
planned transaction ultimately is settled. An annual estimated effective tax
rate is calculated for NFE purposes and any necessary quarterly tax adjustment
is applied to NJRCEV, as such adjustment is related to tax credits generated
by NJRCEV.

Management uses on-GAAP financial measures as supplemental measures to other
GAAP results to provide a more complete understanding of the company’s
performance. Management believes these non-GAAP measures are more reflective
of the company’s business model, provide transparency to investors and enable
period-to-period comparability of financial performance. For a full discussion
of NJR’s non-GAAP financial measures, please see NJR’s most recent Form 10-K,
Item 7 and most recent Form 10-Q, Part I, Item 2.

About New Jersey Resources

New Jersey Resources (NYSE:NJR) is a Fortune 1000 company that provides safe
and reliable natural gas and clean energy services, including transportation,
distribution and asset management. With annual revenues in excess of $2
billion, NJR is comprised of five key businesses:

  *New Jersey Natural Gas is NJR’s principal subsidiary that  operates and
    maintains 7,000 miles of natural gas transportation and distribution
    infrastructure to serve half a million customers in New Jersey’s Monmouth,
    Ocean and parts of Morris and Middlesex counties.
  *NJR Clean Energy Ventures invests in, owns and operates solar and onshore
    wind projects with a total capacity in excess of 61 megawatts, providing
    residential and commercial customers with low-carbon solutions.
  *NJR Energy Services manages a diversified portfolio of natural gas
    transportation and storage assets and provides physical natural gas
    services and customized energy solutions to its customers across North
    America.
  *NJR Midstream serves customers from local distributors and producers to
    electric generators and wholesale marketers through its equity ownership
    in a natural gas storage facility and a transportation pipeline, both of
    which are Federal Energy Regulatory Commission, or FERC-regulated
    investments.
  *NJR Home Services provides heating, central air conditioning, standby
    generators, solar and other indoor and outdoor comfort products to
    residential homes and businesses throughout New Jersey and serves
    approximately 120,000 service contract customers.

NJR and its more than 900 employees are committed to helping customers save
energy and money by promoting conservation and encouraging efficiency through
Conserve to Preserve^® and initiatives such as The SAVEGREEN Project^® and The
Sunlight Advantage^®.

                       For more information about NJR:
                          Visit www.njresources.com.
                     Follow us on Twitter @NJNaturalGas.
                “Like” us on facebook.com/NewJerseyNaturalGas.
      Download our free NJR investor relations app for iPad and iPhone.

Contact:

New Jersey Resources
Media:
Michael Kinney, 732-938-1031
mkinney@njresources.com
or
Investors:
Joanne Fairechio, 732-378-4967
jfairechio@njresources.com
or
Dennis Puma, 732-938-1229
dpuma@njresources.com
 
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