Movie Theater Company

Challenge:

With several locations spread between New York and New Jersey, this client tasked Diversegy with the challenge of negotiating them out of their current agreements, in which they were paying three times current market rates. Furthermore, due to a complication with the client’s current and future ownership structure, Diversegy had to design customized products, per utility market – as well as per commodity – to allow for maximum flexibility, while also offering the most savings possible.

Solution:

cinema audience

Due to Diversegy’s portfolio, with numerous energy suppliers across the nation, we were able to negotiate with the client’s current electricity and natural gas supplier to waive the terms of their current agreement. By going back and forth with both electricity and natural gas suppliers in the New York and New Jersey markets, Diversegy developed individual customized rate plans, per state, that offered more than 50% savings, in some instances. More importantly, because of Diversegy’s negotiation skills, the suppliers agreed to waive all cancellation fees in the event of a sale of one or more locations.

Savings:

For each utility offering natural gas and electricity in New York and New Jersey, a different product and rate option was used. The combined estimated annual electricity savings for both New York and New Jersey was $360,553, and the combined estimated annual natural gas savings for both states was $48,886. This was all negotiated while maintaining maximum flexibility in the contract terms and conditions.