A few weeks after I bail for a small profit on concerns that ELON has not signed another major deal, we get this just before earnings:
>>SAN JOSE, Calif.--(BUSINESS WIRE)--July 14, 2003--Echelon Corporation (Nasdaq:ELON - News), the creator of the LonWorks® device networking platform for networking everyday devices to each other and the Internet, announced today that it is working with Continuon Netbeheer, a leading Dutch utility grid operator and subsidiary of the Dutch utility Nuon, to examine the deployment of Echelon's Networked Energy Services (NES) system within Continuon's service territory. Echelon's NES system is a low cost, standards-based device networking infrastructure embedded within a utility's distribution network that enables a broad set of energy services that can dramatically lower operating costs, improve service quality, and increase customer loyalty and satisfaction. With over 2.7 million electricity customers, Nuon is one of the leading electric utilities in the Netherlands.
"We believe that Echelon's NES system could contribute to our ambition to become one of the leading grid operators in Europe," said Paul Corton, CEO of Continuon Netbeheer. "When the pilot leads to overall implementation, Echelon's NES system will not only be able to improve our efficiency and lower our costs to the benefit of our shareholders, but also improve our quality, reliability, and responsiveness to the benefit of our customers."
The project announced today is an expansion of a small technology trial begun in late 2002. This next phase, pre-deployment pilot, is designed to implement the complete end-to-end infrastructure of a full deployment, with connectivity from intelligent meters through to Continuon's information systems and business processes, but on a limited scale. Planning, implementation, and integration are expected to occur throughout the balance of 2003 with initial meter installations beginning late this year. Assuming that the system performs as expected and that Continuon receives all necessary financial and regulatory approvals, some of which are outside of both parties' direct control, full deployment throughout Continuon's territory would be targeted to begin in early 2005.
"We are very pleased to announce this project," said Ken Oshman, Echelon's chairman and CEO. "While we still have many tasks to accomplish before a full rollout throughout Continuon's territory can begin, we have been working with Continuon for some time now and are confident that the NES system will deliver on its promise of a wide array of services delivered over a single, open, extensible infrastructure that will enable Continuon to cut costs and increase quality in almost all of their operational areas."
By embedding intelligence and communications capability within highly functional smart digital electricity meters, Echelon's NES platform can enable utilities to realize cost savings and revenue enhancements in metering, operations, customer services, and other areas. It enables a comprehensive set of energy services, including two-way automated meter reading; time-of-use & real-time pricing; prepayment without card; remote physical disconnect and reconnect; distribution system asset optimization; outage detection and restoration management; blackout and brownout elimination; comprehensive revenue protection; real-time direct load control, and more.
About Continuon Netbeheer
Continuon Netbeheer is an independent Dutch grid operator and responsible for the management of the power and gas grid of Dutch utility Nuon. The company also takes responsibility for distribution and transport of power and gas to other energy producers or buyers. Continuon Netbeheer is fully owned by Nuon, a leading energy company supplying products and services to almost three million customers both within and outside the Netherlands. Nuon is an acknowledged leader in renewable energy. It aims to achieve balanced growth for all stakeholders: shareholders, employees, customers and for the environment and society as a whole. In 2002, operating revenues totaled EUR 4.7 billion. Nuon employs over 10,000 people. Its principal shareholders are Dutch provinces and local authorities. Further information regarding Nuon can be found at nuon.com. <<
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Stock is nearing 18. Congrats to those who have held.
Cheers, Tuck |
