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Emera Reports Record Earnings of $151.3 Million for 2007

February 15, 2008: Emera Inc.’s consolidated net earnings increased to $151.3 million in 2007, compared to $125.8 million in 2006. Annual earnings per share were $1.28 before considering the effect of mark-to-market accounting gains in Bear Swamp which increased earnings per share to $1.36 compared to $1.14 in 2006. Consolidated net earnings for the three months ended December 31, 2007 were $36.6 million compared to $33.5 million for the fourth quarter of 2006. Quarterly earnings per share were $0.33 in 2007 compared to $0.30 in 2006.

“We are pleased with our 2007 results,” said Chris Huskilson, President and Chief Executive Officer of Emera Inc. “We made significant progress throughout our business to stabilize our core utilities and invest in future growth. Nova Scotia Power performed consistent with expectations, Bangor Hydro had a very strong year and Emera Energy reported solid earnings as well. Our investments in Brunswick Pipeline, the Northeast Reliability Interconnect transmission line as well as other transmission development in New England and Bear Swamp together will make a significant contribution to earnings in the coming years.”

Nova Scotia Power (NSPI), Emera’s largest subsidiary, contributed $100.2 million to 2007 consolidated net earnings, compared to $104.3 million in 2006, and $91.2 million in 2005. This slight decrease was due primarily to a reduction in electric margin, higher spending on storm response and increased regulatory amortization. NSPI contributed $25.2 million to consolidated net earnings in Q4 2007, compared to $29.9 million in Q4 2006. Earnings were lower quarter-over-quarter largely because 2006 earnings included approximately $9 million in insurance proceeds from settlement of a claim related to a 2005 fuel supply interruption and 2007 storm costs were higher due to a post tropical storm in November.

Bangor Hydro Electric (BHE), Emera’s electricity transmission and distribution utility subsidiary in Maine, contributed $6.7 million to consolidated net earnings in Q4 2007, compared to $5.3 million in Q4 2006; and $27.5 million for the year ended December 31, 2007 compared to $16.8 million in 2006. Earnings increased due to higher revenue and capitalized costs associated with the NRI transmission line project. This was partially offset by higher income taxes and the effects of a stronger Canadian dollar.

Emera's other operations contributed $23.6 million to consolidated net earnings compared to $4.7 million in 2006. This increase was largely related to the Bear Swamp generating facility which had higher energy and capacity sales as well as a $9.4 million after tax mark-to-market gain on a long term contract. The Maritimes and Northeast Pipeline and Lucelec also had higher earnings for the year.

Consolidated cash provided by operations was $351.4 million for the year ended December 31, 2007, compared to $332.5 million in 2006. Q4 2007 cash provided by operating activities increased to $198.00 million compared to $93.4 million in Q4 2006 due to settlement of a receivable from a natural gas supplier and receipt of cash from the tax settlement recorded in the third quarter in NSPI.

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

Emera is holding a teleconference today at 4:00 pm Atlantic (3:00 pm Toronto/Montreal/New York; 2:00 pm Winnipeg; noon Vancouver) to discuss the Q4, 2007 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 3249386# (available until midnight, Friday, February 29, 2008). The teleconference will also be web cast 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 $4.0 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 590,000 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 Bear Swamp, a 600 megawatt pumped storage hydro-electric facility in northern Massachusetts; a 12.9% interest in the Maritimes & Northeast Pipeline; and Emera Energy Services which manages energy assets on behalf of third parties and provides related services. Visit Emera on the web at www.emera.com.

For more information, please contact:

Nancy Tower, FCA
Chief Financial Officer
(902) 428-6991

Jennifer Nicholson, CA
Director, Investor Relations & Strategic Development
(902) 428-6347