Dynegy sells plants for $1 billion, 2Q loss widens

[August 10, 2009]  NEW YORK (AP) -- Power company Dynegy says it will sell eight existing plants and one project to former development partner LS Power Associates for just under $1.03 billion in cash, plus shares of stock.

Dynegy also reported Monday a 27 percent drop in second-quarter profit on asset impairment charges and lower energy prices. The company says it is starting a four-year cost-reduction plan.

Second-quarter losses widened to $345 million, or 41 cents per share, compared with $272 million, or 32 cents per share, in losses. But revenue rose 53 percent to $493 million from $322 million.

[Associated Press]

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.