An application has been granted for the listing of up to eight million cumulative redeemable five-year rate reset preferred shares, Series A, of AltaGas Ltd.

The Series A preferred shares are to be distributed at a price of $25 per share pursuant to the terms of a prospectus supplement dated Aug. 11, 2010, to the short form base shelf prospectus dated July 15, 2010. The closing of the prospectus offering is expected to occur prior to the opening on Thursday, Aug. 19, 2010. In anticipation of such closing, and subject to the occurrence of the closing of the offering, the Series A preferred shares will be listed and posted for trading at the opening on Aug. 19, 2010.

Symbol:  ALA.PR.A

Cusip No.:  021361 20 9

Trading currency:  Canadian

Other markets:  none

Designated market-maker:  Raymond James Ltd.

Transfer agent and registrar:  Computershare Trust Company of Canada at its principal offices in Toronto and Calgary.

Book-entry only certificates representing the Series A preferred shares will be issued in registered form only to CDS Clearing and Depository Services Inc., or its nominee, and will be deposited with CDS on closing of this offering. A purchaser of the Series A preferred shares will receive only a customer confirmation from the registered dealer who is a CDS participant and from or through which the Series A preferred shares are purchased.

Additional information on the Series A preferred shares may be found in the prospectus, which is available in SEDAR.

The following is a summary of some of the principal provisions of the Series A preferred shares. Reference should be made to the prospectus for further details.

Dividends

During the initial fixed rate period, the holders of the Series A preferred shares will be entitled to receive fixed cumulative preferential cash dividends, as and when declared by the board of directors, payable quarterly on the last day of March, June, September and December in each year, at an annual rate equal to $1.25 per share. Such quarterly cash dividends, if declared, will be 31.25 cents per share. The initial dividend, if declared, will be payable on Dec. 31, 2010, and will be 45.89 cents per share, based on the anticipated closing date of Aug. 19, 2010, in respect of the period from and including such date of initial issue of Series A preferred shares to but excluding Dec. 31, 2010. During each subsequent fixed rate period after the initial fixed rate period, the holders of Series A preferred shares will be entitled to receive fixed cumulative preferential cash dividends, as and when declared by the board of directors, payable quarterly on the last day of March, June, September and December in each year, in the amount per share determined by multiplying one-quarter of the annual fixed dividend rate applicable to such subsequent fixed rate period by $25.

Redemption

The Series A preferred shares will not be redeemable prior to Sept. 30, 2015. Subject to the provisions described in the prospectus, on Sept. 30, 2015, and on Sept. 30 in every fifth year thereafter, AltaGas may redeem all or any part of the then outstanding Series A preferred shares by the payment of an amount in cash for each such share so redeemed of $25 plus all accrued and unpaid dividends thereon to, but excluding, the date fixed for redemption.

Conversion of Series 5 preferred shares into Series 6 shares

Holders of Series A preferred shares will have the right on Sept. 30, 2015, and on Sept. 30 in every fifth year thereafter, to convert, subject to the restrictions on conversion described in the prospectus, all or any of their Series A preferred shares into Series B shares on the basis of one Series B share for each Series A preferred share. Notice of a holder's intention to convert Series A preferred shares must be received by the transfer agent and registrar for the Series A preferred shares at its principal office in Calgary or Toronto not earlier than the 30th day prior to, but not later than 5 p.m. (Toronto time) on the 15th day preceding, a Series A conversion date. Holders of Series A preferred shares will not be entitled to convert their shares into Series B shares if AltaGas determines that there would remain outstanding on a Series A conversion date less than one million Series B shares, after having taken into account all Series A preferred shares tendered for conversion into Series B shares and all Series B shares tendered for conversion into Series A preferred shares. AltaGas will give notice thereof to all affected registered holders of the Series A preferred shares at least seven days prior to the applicable Series A conversion date. Furthermore, if AltaGas determines that there would remain outstanding on a Series A conversion date less than one million Series A preferred shares, after having taken into account all Series A preferred shares tendered for conversion into Series B shares and all Series B shares tendered for conversion into Series A preferred shares, then all of the remaining outstanding Series A preferred shares will automatically be converted into Series B shares on the basis of one Series B share for each Series A preferred share on the applicable Series A conversion date and AltaGas will give notice thereof to the then registered holders of such remaining Series A preferred shares at least seven days prior to the Series A conversion date.

The Series B shares have been conditionally approved for listing on the TSX at the end of the initial fixed rate period, which is anticipated to be on or about Sept. 30, 2015, or at such other time the Series B shares meet the listing requirements of the TSX.