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July 26, 2007

Stocks dive for CEG, other power companies

ceg.png A few days ago Constellation Energy Group, parent of Baltimore Gas & Electric, traded over $98 -- an alltime high. But news of a billion-dollar settlement in Illinois with Exelon and Ameren, both utility holding companies, has pushed power stocks down, says Steven Rountos of Talon Capital, which invests in energy stocks. Constellation is down $3 this morning to $88 on the Illinois news and on today's story in The Sun that the Maryland Public Service Commission has issued subpoenas to Constellation, seeking evidence on how much profit Constellation is making on plants once owned by BGE. Investors are worried that Maryland regulators will get a substantial chunk of cash out of Constellation to give back to BGE customers -- something Maryland has been unable to do so far.

Posted by Jay Hancock at 10:48 AM | | Comments (0)
Categories: BGE/electricity
        

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About Jay Hancock
Jay Hancock has been a financial columnist for The Baltimore Sun since 2001. He has also been The Baltimore Sun's diplomatic correspondent in Washington and its chief economics writer. Before moving to Baltimore in 1994 he worked for The Virginian-Pilot of Norfolk and The Daily Press of Newport News.

His columns appear Wednesdays and Fridays.
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