Nov. 3--Northeast Utilities' earnings took a hit in the third quarter, but company officials say future earnings will keep pace with projections for the end of the year.

Earnings dipped $7.9 million to $64.8 million this year from $72.7 million in the third quarter of 2008, according to a report from the Hartford-based company. That's about 10 cents a share, from 47 cents in the third quarter of last year to 37 cents for the same period this year.

In Connecticut, NU is the parent company of Connecticut Light & Power and Yankee Gas Services Co. It also owns the Public Service Co. of New Hampshire and Western Massachusetts Electric Co.

Despite the decline, Charles W. Shivery, NU's chairman, president and chief executive officer, said in a statement that recent third-quarter earnings "were consistent with our expectations and we continue to be comfortable with our full-year projection of $1.80 to $1.90 per share."

The overall earnings decline was precipitated by the economic downturn and milder summer weather, Shivery said. Benefits also failed to materialize as a result of the resolution of various income tax matters and market-to-market gains in the company's competitive businesses, he said.

The company also is projecting 2010 earnings will reach between $1.80 and $2 a share, based on expected earnings for distribution and generation, transmission, competitive businesses within the company and parent company expenses.

NU is continuing to invest substantially this year and through 2014 in transmission improvements for projects dubbed the New England East-West Solutions, which affects Connecticut and Massachusetts and reaches as far as New Hampshire and Quebec.

Through 2014, capital expenditures are projected at $6.4 billion. That figure includes about $960 million this year and another $1.1 billion in 2010, the company said.

Through 2014, as long as its transmission projects move ahead as planned, the company is forecasting a 6 to 9 percent growth rate, using a $1.59 per share 2007 earnings figure as a base. The forecast also assumes regulators "will allow the company to achieve a fair return" on its invested shareholder equity, the firm said.

At CL&P, distribution earned $11.4 million in the third quarter, about $12.1 less than the $23.5 million earned during that period last year, due in part to uncollectible balances, as well as higher pension, depreciation, interest expense and a higher effective tax rate for 2009, the company said.

Yankee Gas lost $4.5 million this quarter, compared with $2.3 million in the third quarter of 2008, NU said. Part of the reason, according to the company, was a $2.9 million after-tax expense connected with uncollectible balances. Despite that, sales were up 5.8 percent in the third quarter, compared with last year at this time.

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