Earnings Labs

Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (EDN)

Q2 2019 Earnings Call· Mon, Aug 12, 2019

$25.24

+1.28%

Key Takeaways · AI generated
AI summary not yet generated for this transcript. Generation in progress for older transcripts; check back soon, or browse the full transcript below.

Same-Day

-2.89%

1 Week

-12.07%

1 Month

-12.99%

vs S&P

-17.58%

Transcript

Operator

Operator

Good morning, ladies and gentlemen, and thank you for waiting. At this time, we would like to welcome everyone to Edenor's Second Quarter 2019 Results Conference Call. We would like to inform you that this event is being recorded, and all participants will be in a listen-only mode during the presentation. After the company's remarks are completed, there will be a question-and-answer session. At that time, further instructions will be given. [Operator Instructions]Before proceeding, let me mention that forward-looking statements are based on the beliefs and assumptions of Edenor's management and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to future events and, therefore, depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions, and other operating factors could also affect the future results of Edenor and could cause results to differ materially from those expressed in such forward-looking statements.Now, I'll turn the conference over to Mr. Leandro Montero, CFO of Edenor. Mr. Montero, you may begin your conference.

Leandro Montero

Analyst

Thank you very much. Good morning, everyone, and thanks for showing in our second quarter 2019 earnings conference call. First, we will focus on the main events that recently took place and then briefly review the results of the quarter. As you know, you can always call the members of our team for more details on the results of the period or any doubts you might have.First, and as we disclosed in our last conference call, on May 10, 2018, we executed an agreement for the implementation of the transfer of tariff fixing of the electricity division utility service from the federal government to the province of Buenos Aires and the autonomous city of Buenos Aires, as well as a liability for regularization agreement with the secretary of energy acting on behalf of the national government that's terminating the pending reciprocal claims originated in the 2006-2016 transition period. That we voluntarily dismissed a complaint for the breach of the obligation under the contractual regularization [ph] memorandum of understanding or assessment agreement, as we usually refer to it, agreed to settle debt for work [ph] loans originating in the transition period, and committed our folks to pay users certain penalties and compensation corresponding to such period.Lastly, we undertook to execute investments additional to those committed under the federal tariff review to help improve their reliability and [technical difficulty]. This agreement involves disbursement for an approximate total amount of ARS 7.6 million, including the payment of the generated income tax. In consideration, the federal government partially recognized our claim by fully offsetting outstanding liabilities within the wholesale electricity market for the electricity purchases made during the transition period, as well as the partial settlement of investment loans guaranteed by CAMMESA and the cancellation of penalties collectable by the national treasury, all of…

Leandro Montero

Analyst

Well, thank you very much for joining this conference call, and have a nice day. Bye-bye.

Operator

Operator

Thank you. This concludes today's presentation. You may disconnect your line at this time, and have a nice day.