Great Plains Energy acquires Aquila

Great Plains Energy, a public utility holding company, has acquired Aquila, an integrated electric and natural gas utility. Aquila's Missouri electric utility business will operate under the brand name of Great Plains Energy's subsidiary, KCP&L.

Savings resulting from the integration of KCP&L and Aquila operations are expected to generate approximately $198 million of customer savings by 2013, and $547 million by 2017. These savings will be passed on to customers and will help reduce future rate increases.

With the addition of Aquila's 300,000 Missouri electric utility customers in adjacent service territories, the companies will provide electric service to approximately 800,000 residential and business customers in 47 counties in the states of Missouri and Kansas. Customers will reportedly experience seamless service during the integration of Aquila and KCP&L.

In connection with the transaction, KCP&L hired approximately 900 Aquila employees, raising the number of employees at KCP&L to nearly 3,100.

Michael Chesser, chairman and CEO of Great Plains Energy, said: "Today is an important day for our region. Our acquisition of Aquila will create significant savings for both Aquila and KCP&L customers. In today's rising cost environment, this transaction is just one part of our plan to maintain affordable energy prices for the customers and communities we serve."

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