Nov. 2, 2009 (PR Newswire) -- CHARLOTTE, N.C., Nov. 2 /PRNewswire-FirstCall/ -- Charlotte based Piedmont Natural Gas (NYSE: PNY) is initiating its earnings guidance for the fiscal year ending October 31, 2010 in the range of $1.90 to $2.00 per diluted share.

The guidance for fiscal year 2010 reflects:

    --  A one time gain of $0.42 per share on the previously announced sale of
one-half of the Company's 30% ownership interest in SouthStar Energy
Services (SouthStar) to AGL Resources.  The transaction is scheduled to
close on January 1, 2010,

    --  Earnings sharing from SouthStar in the Company's first fiscal quarter at
the current rate of approximately 25%.  The remainder of the fiscal year
would reflect the new ownership and earnings sharing arrangement of 15%,

    --  Margin growth from gross customer additions of 1.3% in the Company's
North Carolina, South Carolina and Tennessee service areas,

    --  A $1.1 million annual margin increase effective November 1, 2009
pursuant to a settlement agreement filed in the Company's 2009 South
Carolina Rate Stabilization Act proceeding,

    --  The continuation of the Company's business process improvement programs
offset by approximately $2.0 million in expenses related to a corporate
repositioning program to update the Company's brand, internet web site
and associated sales and marketing communication channels for its
customers, shareholders and the public, and an estimated $2.5 million
increase in pension expense under FAS 87,

    --  Utility capital expenditures of $195.4 million, including $46.3 million
for pipeline infrastructure to serve two gas-fired power generation
projects in North Carolina that were deferred from last year's capital
program at the request of the customers.  No capital expenditures will
be made in fiscal year 2010 related to the Company's deferred Robeson
LNG storage project.  Capital expenditures for the recently announced
$85 million Wayne County project with Progress Energy will not affect
capital expenditures until fiscal years 2011 and 2012,

    --  A common stock repurchase program to permanently reduce shares
outstanding by one million shares.