Emera reports Q2 2008 earnings of $42.9 million

HALIFAX, NS, August 1, 2008 - (EMA-TSX): Emera Inc.'s consolidated net earnings were $42.9 million in Q2 2008, compared to $34.1 million for the same period in 2007. Earnings per share were $0.39 in Q2 2008, compared to $0.30 for the second quarter of 2007.

Nova Scotia Power's earnings were $31.0 million in Q2 2008, in comparison to $23.9 million in Q2 2007. Income taxes were lower in the quarter. Although commodity prices were higher in the quarter as expected, the increase was offset by an increased valuation of a long-term receivable. Excluding the effect of the long-term receivable NSPI's earnings would have been $21.5 million in the quarter. Higher fuel costs in quarters three and four will moderate NSPI's earnings for the remainder of the year. NSPI's outlook is to earn within its allowed range.

"We had a solid second quarter and are pleased with our results so far this year," said Chris Huskilson, President and CEO of Emera. "All subsidiaries continue to perform well. Brunswick Pipeline construction is proceeding as planned and is on target to meet a Q4 in-service date as expected. Transmission activities in New England continue to advance."

Bangor Hydro Electric contributed $4.5 million to consolidated net earnings in Q2 2008, compared to $4.8 million in Q2 2007. This slight decrease relates to the stronger Canadian dollar.

Emera's Other operations contributed $7.4 million to net earnings in Q2 2008, compared to $5.4 million in Q2 2007. This increase relates to higher earnings and mark-to-market accounting gains in BearSwamp offset by higher income taxes. Excluding the effect of this mark-to-market accounting gain in BearSwamp, quarterly earnings per share would have been $0.35.

Forward Looking Information

This news release contains forward looking information. Actual future results may differ materially. Additional financial and operational information is filed electronically with various securities commissions in Canada through the System for Electronic Document Analysis and Retrieval (SEDAR).

Teleconference Call

The company will be hosting a teleconference at 2:00 pm Atlantic time today (1:00 pmToronto/Montreal/New York; 12:00 pmWinnipeg; 10:00 amVancouver) to discuss the Q2 2008 financial results.

Analysts and other interested parties wanting to participate in the call should dial 1-888-575-8232 (in Toronto 416-406-6419) at least 10 minutes prior to the start of the call. No pass code is required. The teleconference will be recorded. If you are unable to join the teleconference live, you can dial for playback toll-free at 1-800-408-3053 (in Toronto 416-695-5800), access code 3264932# (available until midnight, Friday, August 15, 2008). The teleconference will also be webcast live at www.emera.com and available for playback for one year.

About Emera

Emera Inc. (EMA-TSX) is an energy and services company with $4.7 billion in assets. Electricity is Emera's core business. The company has two wholly-owned regulated electric utility subsidiaries, Nova Scotia Power Inc. and Bangor Hydro-Electric Company, which together serve 600,000 customers. Emera also owns 19% of St. Lucia Electricity Services Limited, which serves more than 50,000 customers on the Caribbean island of St. Lucia. In addition to its electric utility investments, Emera has a joint venture interest in BearSwamp, a 600 megawatt pumped storage hydro-electric facility in northern Massachusetts; a 12.9% interest in the Maritimes & Northeast Pipeline; a 7.4% interest in Open Hydro and Emera Energy Services which manages energy assets on behalf of third parties. Visit Emera on the web at www.emera.com.