Financial Results By Lines Of Business

South Carolina Electric & Gas Company:

South Carolina Electric & Gas Company (SCE&G), SCANA’s principal subsidiary, reported earnings in the first quarter of 2009 of $62 million, or $.51 per share, compared to $60 million, or $.51 per share, in the year-ago quarter. These breakeven results are due primarily to lower operating and maintenance expenses and favorable weather in the company’s electric service territory, which offset the negative impact of lower natural gas margins, lower industrial and off-system electric margins and dilution. At March 31, 2009, SCE&G was serving around 652,000 electric customers and around 309,000 natural gas customers, up 1.4% and 1.3%, respectively, from the same time in 2008.

PSNC Energy:

PSNC Energy, SCANA’s retail natural gas subsidiary headquartered in Gastonia, North Carolina, reported earnings of $30 million, or $.25 per share, in the first quarter of 2009, compared to $28 million, or $.24 per share, in the first quarter of 2008. The slight improvement was driven by the implementation of new rates effective in November 2008. At March 31, 2009, PSNC Energy was serving around 469,000 natural gas customers, an increase of 1.8% over the last twelve months.

SCANA Energy:

SCANA Energy, the company’s retail natural gas marketing business in Georgia, reported earnings of $22 million, or $.18 per share, in the first quarter of 2009, compared to $22 million, or $.19 per share, in the first quarter of 2008. This decline in earnings per share is due primarily to dilution. At March 31, 2009, SCANA Energy was serving around 465,000 customers in Georgia, maintaining its position as the second largest natural gas marketer in the state.

Carolina Gas Transmission:

Carolina Gas Transmission Corporation reported earnings in the first quarter of 2009 of $2 million, or $.02 per share, unchanged compared to the first quarter of 2008.

Corporate and Other Non-Regulated SCANA’s corporate and other businesses, which include SCANA Communications, ServiceCare, SCANA Energy Marketing and the holding company, reported a loss of $3 million, or $.02 per share in the first quarter of 2009, unchanged compared to the first quarter of 2008.

2009 Earnings Outlook:

The company affirms its previous guidance that 2009 earnings will be in the range of $2.65 to $2.95 per share. This estimate assumes normal weather for the remainder of the year in the company’s electric and natural gas service areas and excludes any potential impacts from changes in accounting principles and certain gains or losses from investing activities, litigation, and sales of assets. Other factors and risks that could impact future earnings are discussed in the company’s filings with the Securities and Exchange Commission and below under the Safe Harbor Statement. The company expects an average annual earnings growth rate of 4 to 6% over the next 3 to 5 years.