11 Jun 2010

Lower earnings tipped by Mighty River

10:02 am on 11 June 2010

Mighty River Power says its full year earnings are now likely to come in at the lower range of its forecast due to the impact of the drought.

Lake Taupo was at its lowest level in more than 80 years and was only 7cm above the 1.4 metre minimum level required for hydro generation to work.

As a result, Mighty River says its earnings for the year to the end of June are likely to be at the lower end of its previous forecast of $315 - $350 million .

Last year the company made a record $445 million, after high lake levels coincided with high wholesale prices in the winter of 2008.