On this page of StockholderLetter.com we present the 3/27/2024 shareholder letter from ALLETE INC — ticker symbol ALE. Reading current and past ALE letters to shareholders can bring important insights into the investment thesis.

 •  3/27/2024 Letter Continued (Full PDF)
 •  3/22/2023 ALE Stockholder Letter
 •  3/31/2025 ALE Stockholder Letter
 •  More "Miscellaneous" Category Stockholder Letters
 •  ALE Benford's Law Stock Score = 100

ALE 3/27/2024 Shareholder/Stockholder Letter Transcript:

2024 Proxy Materials
    Letter to Shareholders
    Notice of Meeting and Proxy Statement
for the 2024 Annual Meeting of Shareholders
    2023 Form 10-K

March 2024
Dear ALLETE shareholders,
As the renewable energy transition accelerates, ALLETE is
strategically positioned with both experience and momentum as
we invest in and build the grid of the future. For the third year in
a row, ALLETE in 2023 ranked    rst among U.S.-based investorowned utilities for investment in wind and solar generation
capacity as a percentage of market cap. Our team has deep
experience in developing and operating renewable sites, and we
have a track record of leading the way to a clean-energy future,
putting sustainability into action for customers, communities, and
shareholders.
We are building on that momentum in 2024. Minnesota Power issued Requests for Proposals
(RFPs) for up to 300 megawatts of solar energy and up to 400 megawatts of wind energy as
outlined in its 2022 Integrated Resource Plan approved by state regulators. Through these RFPs,
Minnesota Power is doing more than seeking renewable energy   the company also is striving
to maximize the economic and community bene   ts of clean energy development by including
preferences for diverse bidders and domestically sourced materials, as well as requirements
to use local prevailing wages and local labor for construction and permanent staffing and to
develop apprenticeship programs to help train the energy workforce of tomorrow.
These solar and wind RFPs call for new renewable energy sites to be online by the end of 2027.
While adding renewable generation is vitally important, renewable megawatts will not help if we
cannot move the energy to customers. That   s why ALLETE and Minnesota Power are investing
in transmission projects that will enhance the reliability and resilience of the regional grid across
the Upper Midwest and beyond.
In October, the U.S. Department of Energy awarded a $50 million grant to Minnesota Power to
modernize its high-voltage direct-current (HVDC) transmission system so it is ready to expand
to meet future energy needs, while increasing the reliability and resilience of the regional grid.
The company was selected in a competitive process from among hundreds of applicants
nationwide. Minnesota Power also received $15 million in state funding for the project in May,
with both government grants helping reduce costs for customers.
Earlier in 2023, Minnesota Power and Great River Energy    led an application for a Certi   cate
of Need and Route Permit from the Minnesota Public Utilities Commission (MPUC) to build a
high-voltage transmission line to bolster electric reliability in northern and central Minnesota.
The Northland Reliability Project is an approximately 180-mile transmission line from northern
Minnesota to central Minnesota. It will help maintain a reliable and resilient regional power grid
as more renewable energy is brought online, as electri   cation continues to expand, and as
extreme weather events become more frequent.
ALLETE also signed a development agreement in December with North Plains Connector LLC,
a subsidiary of Grid United LLC, for the North Plains Connector project, a new, approximately
400-mile HVDC transmission line from central North Dakota to Colstrip, Montana.

The North Plains Connector will be the nation   s    rst HVDC transmission connection between
three regional U.S. electric energy markets   the Midcontinent Independent System Operator,
the Western Interconnection, and the Southwest Power Pool. The project will be designed
to transfer 3,000 megawatts across all three energy markets, easing congestion on the
transmission system, increasing resiliency and reliability, and enabling fast delivery of energy
resources across a vast area with diverse weather patterns.
Ensuring the    nancial health of our companies is part of a sustainable clean-energy transition.
In late 2023, the MPUC approved an interim rate increase of 8.6% for Minnesota Power. The
interim rate supports the company   s ability to continue this important work, and we expect a
decision on the company   s full request of a 12% increase late this year. Superior Water, Light and
Power also expects to    le a rate request with Wisconsin regulators in coming months.
ALLETE   s companies outside the regulated utility space also continue to make signi   cant strides.
New Energy Equity ended its    rst full calendar year as part of the ALLETE family of businesses by
exceeding original    nancial expectations for 2023, and we are excited about its future.
ALLETE Clean Energy recently had a favorable arbitration outcome related to one of its wind
facilities. Its team also continued their work to increase efficiencies and unit availability, while
they implemented operations and maintenance reductions and took many other initiatives to
endure historically low wind conditions over the past year.
ALLETE   s achievements are the result of the innovation, talent, resilience, and hard work of
a remarkable team. We have incredibly capable, skilled, and experienced people throughout
ALLETE working toward the same goals, and we are excited about the future.
While ALLETE is making signi   cant investments in clean energy and transmission that, in
turn, build sustainable long-term earnings growth, we are building more than turbines, solar
arrays, and power lines. ALLETE is committed to advancing the clean-energy future in deeply
sustainable ways for the communities in which we live, work, and operate by providing
opportunities for others as we move forward. With integrity as our guide, we   re striving to
advance this vital energy transition in the right way for the climate and for our customers and
communities. More details about this important work are included in our recently updated
corporate sustainability report that can be found at allete.com.
We   re proud that ALLETE increased its dividends again in early 2024, after 2023 earnings were in
line with our expectations. We have an exciting future as together we build reliable, renewable
energy sources and enhanced energy infrastructure while making substantial investments in our
communities.
As always, thank you for your interest and investment in ALLETE.
Bethany M. Owen
ALLETE Chair, President and CEO



 3/27/2024 Letter Continued (Full PDF)