Income Investors Take A Look At Atlantic Power Corp gw2 gold 7F

Income Investors Take A Look At Atlantic Power CorpWith memories of 2008 fresh and worries of European credit contagion surging, it's no wonder investors discount companies with perceived transaction risk.That's certainly true of Atlantic Power Corp (TSX: ATP, NYSE: AT), which is raising debt and equity capital to fund a 300-megawatt wind plant in Oklahoma.The plant is on track for startup in November, selling all output under a 20-year contract to utility OGE Energy Corp (NYSE: OGE). Atlantic has temporarily funded the deal--and related construction expenses under a CAD290 million construction loan and a CAD20 million credit line.Permanent financing will include the CAD130 million sale of convertible debentures (upsized from CAD125 million) and the sale of 6 million shares of stock.Until the plant is running and paid for, this utility stock will face no shortage of skeptics wow gold. That's evident from the neutral-to-bearish analyst sentiment, which is no doubt also influenced by the drop in wholesale power market prices in North America.There's also the matter of running the Capital Power assets for a full year, and Florida power sales contracts up for renewal in a couple years.On the plus side, CEO Barry Welch has affirmed that selling prices for 85 percent of the company's output are locked in. And though management is sticking to conservative full-year payout ratio guidance of 92 percent to 97 percent Acheter Des PO, the 55 percent posted for the first quarter is a good start toward beating that.The upshot is this undervalued stock looks cheap again gw2 gold.Disclosure: I have no positions in any stocks mentioned wow po, and no plans to initiate any positions within the next 72 hours.Themes: long-ideasStocks: OGE, ATThe good with Atlantic Power is that they have only one coal plant which is a small percentage of their total power generation capacity. $25 par value with 4.85% coupon. It trades at about $13 wow gold ideal.70. So the yield on current price is about 8.8%Any thoughts on why this would not be a more secure dividend then the common? I understand the common has some upside potential . but it also has downside potential if the dividend is reduced. Would appreciate any thoughts.
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