Direct Benefits

TransAlta’s direct economic impacts can be measured with traditional financial indicators, such as dividends, employee costs, taxes paid and what we spend in supplier goods and services. These measures show how different stakeholder groups benefit economically from our operations and activities.

Customers

The bulk of our power is sold to three large customer groups — utilities (60 per cent), government entities (25 per cent) and industrial customers (10 per cent) — with the balance going to various other companies. By providing these customers with a reliable, cost-effective supply of electricity and heat, we contribute to their ongoing business success. In 2004, we produced 54,560 gigawatt hours, three per cent more power than in 2003.

Investors and founders

Through pension funds, mutual funds and direct investments, Canadians invest in companies like TransAlta. Our shareholders include many thousands of senior citizens, who are attracted to our rate of dividend per dollar invested. Our economic performance affects their retirement income and social well being.

In 2004, we provided investors and founders with a secure place for their investment dollars, paying more than $135.4 million in dividends to investors and providing shareowners with an excellent yield on their investment.

Employees

The dollars we pay our employees in wages and incentive pay is a measure of our capacity to directly benefit their quality of life. In 2004, we paid $142 million in wages and salaries to employees. Our staff also earned over $352 million in employee benefits.

Governments

In addition to our investments in communities, we benefit local infrastructure by making tax payments to governments in all the countries in which we operate. These dollars are used by government to fund public services ranging from schools to law enforcement to roads and sewers. In 2004, we paid over $20.8 million in property taxes to governments in Canada, the U.S., Mexico and Australia. We paid $4.6 million in income tax, payable to federal, provincial and state authorities.

Suppliers

Suppliers and contractors are a key part of our business, which requires a diverse supply of materials and services for construction, operation and maintenance of our plants and facilities. In 2004, we spent about $108 million for goods, materials and services with suppliers on capital projects and about $370 million for goods, materials and services with suppliers in support of operations.

Local communities

We benefit local communities in several ways. We inject roughly $1.6 billion each year into local economies through capital and operating spending. We also provide corporate donations and sponsorships to local community initiatives. In 2004, we invested more than $3 million in these initiatives.