UPDATE 1-TransCanada profit drops on weak power results

* EPS ex-items C$0.46, matching forecasts

* Revenue up 5.4 percent to C$2.25 billion

CALGARY, Alberta, Nov 4 (Reuters) - TransCanada Corp (TRP.TO: Quote, Profile, Research), the country's biggest pipeline and power company, said third-quarter profit fell 12 percent as electricity prices and demand eased.

The company on Wednesday said net income fell to C$345 million, or 50 Canadian cents per share, from C$390 million, or 67 Canadian cents, a year earlier.

Comparable earnings, which exclude most one-time items, fell 8.5 percent to C$335 million, or 49 Canadian cents a share, matching analysts' average forecast, according to Thomson Reuters I/B/E/S.

Third-quarter revenue rose 5.4 percent to C$2.25 billion.

TransCanada is best known for its network of natural gas pipelines in Canada and the United States and for its power-generation operations, which include a stake in the Bruce nuclear plant in Ontario and New York City's Ravenswood generating station.

The company said the profit drop came on weaker pricing and demand for electricity in western Canada and lower generation volumes for its New England operations and Bruce Power.

TransCanada shares closed at C$32.87 on Tuesday on the Toronto Stock Exchange. The shares have dropped 8.6 percent over the past 12 months. ($1=$1.06 Canadian) (Reporting by Scott Haggett; editing by John Wallace)