Allegro 8 Platform Increases Efficiency of Natural Gas Operations with Physical and Financial Deal Capture and Transportation Management

DALLAS, TX, July 7, 2010 – Allegro Development, a leading provider of energy trading and risk management (ETRM) solutions, announced today that SourceGas has completed the successful deployment of the Allegro 8 platform across its natural gas operations.  Allegro provides SourceGas the ability to capture physical and financial natural gas trades, manage transportation, actualization, and invoicing on a single, integrated solution.

SourceGas is a natural gas local distribution utility headquartered in Lakewood, Colorado, with operations in Arkansas, Colorado, Nebraska, and Wyoming.  The company serves nearly 410,000 customers and operates 17,940 miles of distribution, gathering and transmission pipelines, as well as storage facilities.

“Allegro’s implementation approach was very sound and communication with Allegro was a key to our success.  Project execution was very predictable, and Allegro did a good job throughout the project on staying current, which really helped us manage our budget,” said Michael Catterall, SourceGas’ Director of Enterprise Solutions.  “As a result, we have already experienced a vast improvement in transparency into our overall operations, and are extremely pleased with the consistent and supportable results we’re achieving.”

“The Foundation implementation methodology relies on the most rigorous scope definition process in the industry to deliver highly predictable project execution, and has already built an impressive string of successes”, said John Brown, Vice President of Services at Allegro, “We believe that this approach truly differentiates Allegro. No solution provider in our space offers a more reliable approach to manage the time, scope, and cost of implementation.”

The Allegro 8 implementation involved replacing various legacy applications and spreadsheets with a platform to manage and provide transparency into front, middle and back office business activities.  Among the benefits Allegro brings to SourceGas’ complex natural gas business:

• Comprehensive risk management including real-time Mark-to-Market (MtM) reporting, Profit & Loss, option valuation, and simulation
• Ability to easily capture physical and financial options, and financial swaps
• Monitor counterparty credit, margin and exposure liabilities management, margin call calculations with a reverse margin call if credit tolerance is broken
• Real-time settlement and accurate invoicing
• Improved decision-making with the ability to capture product forecast and costs to determine market and supply positions
• Fully integrated trading and logistics enables accurate calculation of transportation costs and capture of all scheduling and commodity fees
• Ability to create daily short term trades to meet demand

About Allegro Development

Allegro is a global leader in energy trading & risk management solutions for power and gas utilities, refiners, producers, traders, and commodity consumers. With more than 27 years of deep industry expertise, Allegro’s enterprise platform drives profitability and efficiency across front, middle, and back offices, while managing the complex logistics associated with physical commodities.  Allegro provides customers with agile solutions to manage risk across natural gas, power, coal, crude oil, petroleum products, emissions, and other commodity markets, allowing decision makers to hedge and execute with confidence. Headquartered in Dallas, Texas, Allegro has offices in Calgary, Houston, London, Singapore, Sydney, and Zurich, along with a global network of partners.

For further information please contact Christie Lindstrom at media@allegrodev.com or +1.214.237.8117.