Japan's Tepco may miss earnings targets after quake cripples main nuclear plant

[jpak]

http://www.marketwatch.com/news/story/japans-tepco-may-miss-earnings/story.aspx?guid=%7B9083E167-BC26-4129-937E-10C29A5046A1%7D

TOKYO (MarketWatch) -- Tokyo Electric Power Co. (9501.TO) may miss its earnings targets this fiscal year as its electricity production costs skyrocket in the wake of a powerful earthquake that crippled its main nuclear power plant, analysts say.

The company's 8,212-megawatt Kashiwazaki-Kariwa plant - the world's largest by capacity - has been shut down since Monday, when a 6.8-magnitude tremor rocked northwest Japan.

It's unclear when the company may reopen the facility, with some analysts predicting it could take as long as two to three years given significant safety concerns and local opposition. In the meantime, the utility also known as Tepco will need to rely on other - and more expensive - means to meet summer demand.

Tepco has asked six other Japanese regional utilities to sell it power, and it is boosting electricity output at its thermal power plants, which are normally used as a buffer for fluctuations in electricity demand.

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