Required mgmt response to competition from natgas and lower profitability. Realigns dividend payout to about 55% of low forecast of 2013 eps of 2.35. This seems reasonable. I sold covered calls and bought a put spread months ago to protect my long position, because it seemed likely they would have to take this action. They cut the dividend about 10% more than I thought, but it should be secure now for a year or two. At this point I would be interested in the stock if I could buy it and sell covered calls so that my basis was around 25 and I was making more than a 5% return (not currently available).
Management will spin it as good news and paint a rosy picture for the future. Thanks also goes out to former CEO John Rowe for starting the downward trend, but hey he is rich and retired! And the beat goes on.