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TC PipeLines, LP

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Well positioned to take advantage of the nation's natural gas supply growth, TC PipeLines' large-scale value-creating projects position it for strong returns even in a low commodity price environment We like TC PipeLines for its generation of stable, recurring and low-risk earnings and cash flows. TC PipeLines’ long history of stable cash distributions has delivered value to its investors.Moreover, the partnership’s agreement to purchase interests in the Iroquois Gas Transmission System is likely to strengthen its cash flow and earnings further. As it is, the partnership delivered better-than expected profits in the recent quarter on higher earnings from Great Lakes. Therefore, being incrementally more positive on the partnership – particularly with its yield fairly well protected – we see the stock performing above the broader market.

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