Breaking News


Southern Sees $278 Million Charge on Added Kemper Costs

Southern Co. said additional cost overruns at its proposed coal-gasification plant in Mississippi will result in a $278 million charge to its second-quarter earnings.

Costs for the Kemper power plant increased 13 percent to $3.87 billion from an April estimate of $3.42 billion, the Atlanta-based company said today in a filing with the U.S. Securities and Exchange Commission. Southern can’t recover any costs that exceed $2.88 billion under a settlement it reached with Mississippi regulators earlier this year.

Southern may see additional construction costs or delays with its Kemper plant, the company said in the filing. The company, which is scheduled to report earnings tomorrow, plans to meet a scheduled in-service date of May 2014 for the plant.

To contact the reporter on this story: Mark Chediak in San Francisco at

To contact the editor responsible for this story: Susan Warren at

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.