Exhibit 99.3

2006 & 2007 Earnings Guidance

December 14, 2007

Appendix

Natural Gas:

990,000

customers

Electric:

140,000

customers

ProLiance

Energy

Vectren Source

Energy

Energy Systems Group

Miller Pipeline

Vectren Fuels

Energy Marketing &

Services

Energy Infrastructure

Services

Coal Mining

Vectren Today - NYSE: VVC

Utility Strategies

Grow Rate Base

Achieve Decoupling / Conservation

Oriented Tariffs

Achieve Timely Rate Relief

Manage Capital Structure

Manage O&M

Earn Allowed Return

Nonutility Strategies

Reinvest Earnings in Core Businesses

Invest in Gas Storage Assets

Develop and Market New Coal Reserves

Grow Energy Infrastructure Services

Positioned For Growth

Goals

Increase utility earnings at

an average annual rate of
3.5 to 4%

Increase nonutility earnings

at an average annual rate of
10+%

Increase Vectren EPS at an

average annual rate of 5+%

Provide a total return to

shareholders of 9 to 10%

NOTE: Ownership Percentage in ( )

* Sale of Vectren’s interest in Broadband closed Nov. 30, 2006.

Vectren

Corporation

Vectren Utility

Holdings Inc.

Vectren

Enterprises

Energy Marketing

and Services

Coal Mining

Other

Businesses

Energy

Infrastructure
Services

ProLiance

Energy (61%)

Sou

Vectren

rce

Coal Mining

Operations

Synfuels

Miller Pipeline

Other

Haddington

Energy (13%)

Broadband *

Pace Carbon

Synfuels (8%)

Energy

Systems
Group

Vectren North

(Indiana Gas)

Vectren South

(SIGECO) - Gas

Vectren Energy

Delivery of Ohio
(VEDO)

Vectren South

(SIGECO) - Electric

Corporate Structure

Business Segment Earnings & EPS

Dividends Paid

Strong Dividend Growth

47 Consecutive years with increased dividends paid

3.3% increase payable Dec. 1, 2006

Current Annualized Dividend - $1.26

65% +/- target payout

Strong Credit Ratings

Major Credit Facilities

ProLiance Standalone Credit Facility

–

$300 million base

–

$100 million surge

VUHI – Vectren Utility Holdings

Capital – Nonutility holding co.

As of 9/30

2005

2006

$350

$255

$515

$255

Liquidity

Utility Territory

Net Operating Income

Gas

Electric

47%

53%

12 months

ended 9/30/06

$141.8

Million

Utility Business - Energy Delivery

Quality assets and operations

Over 1.1 million customers

Reinvest and grow rate base – 5% CAGR

Periodic rate increases required to achieve

adequate returns on capital

Overview

Vectren provides reliable delivery service to 140,000

in southwestern Indiana.

Markets

6 counties in southwestern Indiana

Top Industrial Customers

AK Steel (Steel)

Berry Plastics (Plastics)

Bristol Myers (Pharmaceuticals/Food)

General Electric (Plastics)

PPG Industries (Automotive)

Toyota (Automotive)

Whirlpool (Metal Products)

Principal Industries

The principal industries include resin and plastic

products, aluminum smelting and recycling, aluminum
sheet products, automotive assembly, steel finishing,
appliance manufacturing, pharmaceutical and
nutritional products, automotive glass, gasoline and
oil products, and coal mining.

Vectren Utility Holdings, Inc. (VUHI) - The Company’s wholly owned subsidiary serves as the intermediate

holding company for its three operating public utilities: Indiana Gas Company, Inc. (Indiana Gas), Southern Indiana
Gas and Electric Company (SIGECO) and the Ohio operations. VUHI also has other assets that provide information
technology and other services to the three utilities.

Overview

Vectren’s three operating utilities provide reliable

delivery service to 990,000 natural gas customers,
including 560,000 located in central and southern
Indiana, 112,000 located in southwestern Indiana, and
318,000 located in west central Ohio.

Markets

57 counties in central and southern Indiana

17 counties in west central Ohio

Top Industrial Customers

ALCOA (Aluminum)

AE Staley (Grain Processing)

AK Steel (Steel)

Eli Lilly (Pharmaceuticals)

General Electric (Plastics)

General Motors (Automotive)

NUCOR (Steel)

Principal Industries

The principal industries include automotive assembly,

parts and accessories, feed, flour and grain
processing, metal casting, aluminum products,
appliance manufacturing, resin and plastic products,
gypsum products, electrical equipment, metal
specialties, glass, steel finishing, pharmaceutical and
nutritional products, gasoline and oil products, and
coal mining.

Natural Gas

Electric

Energy Delivery

Percentages calculated using large customer 2007 budgeted volumes

Large Gas & Electric Customers

F.B. Culley

A.B. Brown

Utility Business - Power Supply

Generation Portfolio

Coal-fired base units – 1,056 MW

–

Burns 3+ million tons of coal annually

–

Affiliate agreements in place for 90%

of coal needs

–

80% scrubbed for SO2 and 90% for NOx

–

Culley #1 46MW to be decommissioned

12/31/06

–

Additional 125 MW required

Gas-fired peak-use turbines – 295 MW

Wholesale Power Marketing

Functions within the regulated electric utility

operation

Markets surplus power from generating units

through MISO

Maximum approved VaR is $1.5 million

–

2006 peak was $560,000

Vectren Utility Holdings, Inc. (VUHI) - The Company’s wholly owned subsidiary serves as the intermediate

Wholesale Power Marketing

–

Functions within the regulated electric utility

operation

–

Markets surplus power from generating units

through MISO

–

Maximum approved VaR is $1.5 million

–

Maximum VaR in 2006 was $560,000

Overview

Provides low-cost, reliable electric generation for

delivery to retail and firm wholesale customers in
Southwest Indiana. Optimizes assets by marketing
unutilized capacity to the open market.

Markets

Southwest Indiana – Retail and Wholesale

Midwest – Wholesale

Generating Capacity

6 coal-fired base units – 1,056 MW

–

Brown – 2 units, 500 MW

–

Culley – 3 units, 406 MW

–

Warrick – 1 unit, 150 MW

–

Burn approximately 3 million tons of coal

annually

Culley #1 – 46 MW to be decommissioned

12/31/06

6 natural gas peaking units – 295 MW

Member of Midwest Independent Transmission

System Operator (MISO)

Has 6 interconnects

Power Supply

Tracking Investment & Margin

Recovery

NOx Compliance Expenditures

–

All $255 mm of project costs currently included in rates

–

8% return on capital invested

–

Recovery of related O&M and depreciation expense

Multi-pollutant Expenditures

–

Filed with IURC in May 2005

–

Settlement with Consumer Counselor filed October 20, 2005

•

$110 mm expenditure

•

7.98% return on capital invested

•

Recovery of related O&M and depreciation expense

•

Adjusted every 6 months

–

Commission order received February 22, 2006

Normal Temperature Adjustment

–

Implemented in Indiana October 2005

–

Impacts ~65% of gas heating load during October-April

–

Adjusts distribution charge monthly for normal weather

Ohio Decoupling/Conservation Order

Approved September 13, 2006

Rate mechanism that aligns utility and customer by supporting

conservation

–

Creation of additional conservation programs for low-income customers

–

Two year program - $2.0 million Vectren contribution

Sales Reconciliation Rider (SRR)

–

Recovers 100% of difference between weather normalized actual base

revenues and the base revenues approved in the last rate case, as adjusted
for customer additions (residential and general service customers)

–

The differences calculated monthly, deferred without carrying costs,

subsequent recovery via SRR, to be recovered over annual tracker filed each
November 1st

–

SRR will be implemented October 1, 2006

Indiana Decoupling/Conservation Order

Approved December 1, 2006

Five year program

–

1^st year Vectren administers program and fronts up to $1.5 million

–

Years 2-5 independent administrator with annual program costs

approximately $4.5 million, collected from customers through Energy
Efficiency Rider (EER)

Sales Reconciliation Component (SRC) recovers margin difference

–

For Vectren North, recovers 85% of difference between weather

normalized actual base revenues and the base revenues approved in last
rate case, as adjusted for customer additions (Vectren North residential
and general service customers; for Vectren South SRC approved, but not
effective until order received in next rate case)

–

The margin differences calculated monthly, deferred without carrying

costs, subsequent recovery via SRC, to be recovered over annual tracker

Gas

Increase - $10.4 million

ROE - 11.75%

Equity ratio - 47%

Rate Base - $118.5 million

NOI - $9.4 million

Decoupling/Conservation

Adjustment

Bare Steel/Cast Iron Replacement

Tracker

Electric

Increase - $76.7 million

ROE - 12.00%

Equity ratio - 47%

Rate Base - $1,017.8 million

NOI - $82.2 million

FERC return/periodic recovery on

new transmission investments

Environmental recovery under

Senate Bill 29 expected to continue

Petitioner’s

Case-in-
Chief

Settlement

Hearing

OUCC &

Intervenors’
Proposed
Orders

Petitioner’s

Order

1^st Hearing

2^nd Hearing

9/1/06

2/20/07

12/11/06

4/12/07

Gas Case

Electric Case

6/11/07

5/24/07

+/- 3

months

9/1/06

2/15/07

12/4/06

3/7/07

5/1/07

4/20/07

+/- 3

months

Procedural Timeline

Summary of South Rate Filing

Summary of Past Rate Orders

Earnings Per Share

(EMS, CM & EIS)

Vectren Enterprises

ProLiance

Energy

Vectren

Source

Energy

Marketing and
Services (EMS)

Coal Mining

Operations

(CM)

Miller

Pipeline

Energy

Systems
Group

Energy

Infrastructure
Services (EIS)

Cypress

Creek Mine

Prosperity

Mine

Nonutility - The Right Businesses

Nonutility Business Strategy

–

Right businesses at the right time

–

Focus on operating companies

–

Grow through reinvestment

–

Target 10+% annual growth

Storage Capacity

* Includes 5 Bcf of Liberty Gas Storage

scheduled to be fully operational in early
2007.

Created in 1996 as an unregulated joint venture

between Vectren (61%) and Citizens Gas & Coke
(39%) to provide gas portfolio services to Member
companies.

100+ employees; headquartered in Indianapolis with

market presence in Chicago, Cincinnati, Dayton,
Evansville, Houston, Louisville, and St. Louis.

90+ BCF of gas storage either owned or under

management .

Asset ownership in 3 storage fields (White River, Lee

8 and Liberty).

Owner and developer of two intra-state pipelines

(Ohio Valley Hub & Heartland Gas Pipeline).

Approximate sales volumes of .8 billion cubic feet

(BCF) per day.

Customers in 17 Midwestern and Southeastern

states.

70%+ of volume with 3rd-party customers including

over 1,300 commercial and industrial.

Balanced book approach - VaR capped at $2.5

million

Stand alone $300 million credit facility plus $100

million surge line.

Expected 2006 Unconsolidated Revenues (000s):

$3,000,000.

Total Investment 9/30/06 (000’s): $131,000.

Pipeline Access

ANR

Columbia Gas

Columbia Gulf

Midwestern Gas

Panhandle Eastern

Southern Natural

Tennessee Gas

Texas Gas

Texas Eastern

Trunkline Gas

ProLiance Energy

Liberty

Expansion

Cameron

LNG

Creole

Trail
LNG

2012

9.55 BCF/day

Developm
ent

Expansions

2009

5.9 BCF/day

Existing/Under

Construction

New LNG Supply

& Proposed

ProLiance - Liberty Storage Map

Liberty Gas Storage

Sempra Pipeline &

Storage (75%) and
ProLiance (25%)

Announced 5/16/05

17 Bcf underground gas

storage capacity

ProLiance 5 Bcf under

contract

Finalizing construction

Partially operational late

Q4 2006

Liberty Expansion

Sempra Pipeline &

Storage (75%) and
ProLiance (25%)

Announced 9/12/06

10-12 Bcf of potential

natural gas storage
capacity

FERC approval required

Vectren Source

Founded in 2001 as retail gas marketer in “Choice

States”

–

Provides natural gas and related services to over

165,000 residential and small commercial customers
in competitive markets in Indiana, Ohio, Georgia,
and New York.

–

Annual volumes have grown from 1.8 Bcf in 2002 to

12.8 Bcf in 2006.

State-of-the-art customer information and billing system,

forecasting and data warehouse decision support tools.

–

Full-service web capabilities from enrollment to bill

presentment and payment.

–

Forty full-time employees, in-house call center with

seventeen full-time customer service representatives
and seven contract IT staff.

ProLiance Energy serves as agent for commodity

purchases, day-to-day operations, hedging, and
optimization activities.

Emphasis on providing excellent customer service and

maintaining outstanding regulatory relationships.

Expected 2006 Revenue (000’s): $170,000.

Total Assets 9/30/06 (000’s): $32,000.

Annual Tons

Prosperity Mine

–

Underground mine – mid-sulfur 3.3

lbs

–

~33 mm tons of reserves at

12/31/06

–

Mines ~3 mm tons per year

Cypress Creek Mine

–

Surface mine – high-sulfur 7.5 lbs

–

~3 mm tons of reserves at 12/31/06

–

Mines ~1.4 mm tons per year

Coal Mining

Established in 1996 as an effort to control fuel costs

through the elimination of costly long-term coal
contracts with harmful escalations or market
reopeners.

Supplies Vectren’s generating plants with over 3

million tons of coal annually.

Currently invested in two operating mines, Cypress

Creek and Prosperity that produce over 4 million
tons per year with remaining coal reserves estimated
over 36 million tons.

Currently developing two underground coal mines in

Knox County, IN that upon full completion in 2010 will
produce 5 million tons per year. The Oaktown
complex has 80 million tons of estimated coal
reserves.

Staff of 4 in addition to 400 contract mining

employees.

2006 outside customers include the following:

–

Industrial customers: Domtar (Wisconsin) and

Hydraulic Brick (Indiana).

–

Generating stations: PSI Gibson/Wabash River,

Alcoa/Warrick, Crawfordsville, IN and Peru, IN.

Expected 2006 Revenues (000s): $163,000.

Total Assets 9/30/06 (000’s): $128,000.

Oaktown Mines Project

Two Mines – 80 mm tons of reserves

Located 8 miles north of Vincennes, IN

Competitive location to minimize transportation

costs

–

Within 50 miles of 8 coal-fired plants

–

Adjacent to mainline rail service

–

Within 10 miles of proposed Duke/Vectren

IGCC plant

Coal quality – Projected high-sulfur 6.0 lbs

Land acquisition, permitting, rail access and

mine development estimated at 2 ½ years

Mine development and equipment costs

estimated at $125 mm

425 new mining jobs

~5 million tons mined annually when fully

operational

Wabash River

Newton (S)

Gibson (SU)

Edwardsport

Merom (S)

Hutsonville

Petersburg (S)

Ratts

Prosperity

Glen Ayr/Oaktown

Rockport

Henderson (S)

Brown (S)

Warrick (SU)

Culley (S)

Vincennes

Washington

Evansville

(S) Scrubbed plant

(SU) Scrubber under

construction

Power plant

Mine site

Indiana Southern

Rail Road

CSX Rail Road

Cities

Legend

Building Performance with Energy

Energy Systems Group

Established in 1994

Three primary business lines:

–

Energy performance contracting

•

Designs & installs facility improvements

that pay for themselves from energy and
operational savings to Hospitals,
Universities, Governments & Schools
(HUGS)

•

Veteran’s Administration

•

5 military base program centers

–

Operations and Maintenance (O&M) services

•

3 energy centers operated by ESG

–

Developing, constructing, and operating

renewable energy facilities

•

One operating landfill gas plant

174 customers since inception

167 employees in 15 states

Total assets 9/30/06: $44,000

Miller Pipeline Corp

Miller Pipeline Corporation started in 1953.

–

Reliant Services, 50/50 JV with Duke Energy

purchased Miller Pipeline in 2000.

–

Vectren purchased Duke’s ownership in Miller

Pipeline in 2006.

Provides construction, maintenance and

rehabilitation services primarily to gas and water
utilities.

–

Gas construction and utility divisions: 1,200

employees

Gas Pipeline Construction and Repair

–

Expand work in cast iron and bare steel

replacement

•

Pipeline Integrity Act

•

Pending Distribution Integrity Act

Expected 2006 Revenues (000s): $145,700.

Total Assets 9/30/06 (000’s): $108,000.

Produces synfuel from coal which qualifies for tax credits under Section 29 of the Internal

Revenue Code. Vectren owns 8.3% of a partnership (Pace Carbon) that owns four
facilities.

In July 2006, opted out of participation in production of synfuels due to high oil prices

–

Recorded impairment charge totaling $9.5 million, or $5.7 million after tax

–

Company has generated an Alternative Minimum Tax (AMT) credit carry forward of

approximately $50 million as of December 31, 2005

In October 2006, resumed participation due to decline in oil prices

–

Fully hedged 2006 expected production to minimize exposure/opportunity

–

Continue to evaluate 2007 opportunities and monitor oil prices and minimize

exposure/opportunities with hedges until sunset of credits 12/31/07

–

Expect synfuels-related operations to produce loss of ($0.04) to ($0.05) per share related to

2006 production and net income of $0.09 to $0.11 per share related to 2007 production

Total Investment 9/30/06 (000s): Investment written off in 2006.

Synfuels

Other Nonutility Businesses

Haddington Energy Partners

–

Overview – The company is a partner in equity method investments that invest in energy-related

ventures. Haddington has two remaining investments, a compressed air energy project to be used for
generating electricity in Ohio and a liquefied natural gas facility in Texas.

–

Strategy – Continue to harvest energy investments as opportunities arise.

–

Total VVC Investment 9/30/06: $14 million

Vectren Financial Group

–

Overview – Energy Realty and Southern Indiana Properties hold investments in affordable housing

partnerships, leveraged leases, and real estate notes.

–

Strategy – Hold leveraged leases and affordable housing partnerships. Exit real estate notes upon

refinancing.

–

Total VVC Net Assets 9/30/06: $60 million