EX-99 2 a11-5146_1ex99.htm EX-99

Exhibit No. 99

 

GRAPHIC

 

   News Release

 

 

 

Media Line: (410) 470-7433
www.constellation.com

 

 

Media Contacts:

Lawrence McDonnell

 

Paul Adams

 

(410) 470-7433

 

 

Investor Contact:

Sandra Brummitt

 

(410) 470-6440

 

Constellation Energy Reports Full Year 2010 Results

 

BALTIMORE, Feb. 4, 2011 — Constellation Energy (NYSE: CEG) today reported adjusted earnings of $3.06 per share for the full year 2010, compared with adjusted earnings of $3.36 per share in 2009. Adjusted earnings exclude the cumulative effects of changes in accounting principles, discontinued operations and special items (which are defined as significant items that are not related to the company’s ongoing, underlying business or which distort comparability of results). On a Generally Accepted Accounting Principles (GAAP) basis, Constellation Energy reported a loss of $4.90 per share, compared with earnings of $22.19 per share in 2009. The 2010 GAAP results include noncash impairment charges related to our existing nuclear joint venture, Constellation Energy Nuclear Group, LLC (CENG), and our former nuclear joint venture, UniStar Nuclear Energy, LLC. The 2009 GAAP results reflect the gain on our sale of a 49.99 percent interest in CENG to EDF Group (EDF).

 

Constellation Energy reaffirmed its 2011 earnings guidance range of $3.10 to $3.40 per share and its 2012 guidance range of $2.40 to $2.70 per share.

 

“We ended 2010 having completed all of the strategic initiatives we announced at the start of the year, successfully putting our core businesses in a stronger position to operate more efficiently, strengthen existing customer relationships and win new business,” said Mayo A. Shattuck III, chairman, president and chief executive officer of Constellation Energy. “We completed our goal of deploying more than $1 billion of cash to acquire strategically located generation assets, including the 2,950-megawatt Boston Generating fleet in New England and the 550-megawatt Colorado Bend Energy Center near Wharton, Texas. Through acquisitions and organic growth, we significantly increased our generation capacity during the year, laying the

 

1



 

foundation for continued growth in our wholesale and retail energy supply businesses in regions where our load obligations exceed our physical generating capacity.

 

“Our NewEnergy segment maintained its focus on selling customers innovative products and services, such as on-site solar installations,” Shattuck said. “In September, we announced the acquisition of CPower, increasing our managed load response to approximately 1,500 megawatts and making us the second-largest load response provider in competitive commercial and industrial markets. We also made a strategic decision to offer electricity to residential customers in Maryland and New Jersey, growing to more than 80,000 customers by year end.

 

“Baltimore Gas and Electric Company (BGE), our regulated utility, exceeded its targets for safety, customer service and financial performance for the year,” Shattuck said. “In August, BGE received Maryland Public Service Commission (PSC) approval to deploy one of the most ambitious smart grid programs in the nation. When fully implemented, this initiative will lead to improvements in service and reliability, and facilitate expected customer savings of more than $2.5 billion over the life of the program. BGE also received a summary order from the PSC on its combined electric and gas rate filing — the first such filing in more than 17 years. BGE is awaiting receipt of the PSC’s comprehensive order detailing its findings.

 

“Looking ahead, we believe our investments in clean generation, efficiency and new products put us in strong position to benefit as the energy market recovers,” Shattuck said.

 

The following table summarizes adjusted earnings per share and earnings per share reported in accordance with GAAP for the company’s business segments and provides a reconciliation to total company reported earnings.

 

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Three Months Ended December 31,

 

 

 

2010

 

2009

 

 

 

Reported

 

 

 

Reported

 

 

 

 

 

GAAP

 

Adjusted

 

GAAP

 

Adjusted

 

EARNINGS (LOSS) PER COMMON SHARE 

 

EPS*

 

EPS

 

EPS*

 

EPS

 

Baltimore Gas and Electric

 

$

0.15

 

$

0.15

 

$

(0.16

)

$

0.18

(3)

NewEnergy

 

0.02

 

(0.15

)(1)

(0.24

)

(0.20

)(4)

Generation

 

0.60

 

0.40

(2)

22.39

 

0.32

(5)

Other

 

0.02

 

0.02

 

(0.03

)

(6)

Diluted Earnings Per Share

 

$

0.79

 

$

0.42

 

$

21.96

 

$

0.30

 

 


* Unaudited.

 

Reported GAAP EPS was adjusted by the following amounts to calculate Adjusted EPS

(1) Subtraction of gain on international coal contract dispute settlement of $(0.17) per share.

(2) Subtraction of gain on comprehensive agreement with EDF of $(0.60) per share. Addition of economic value of CENG joint venture power purchase agreement (PPA) amortization of $0.15 per share, addition of  amortization of CENG joint venture basis difference of $0.12 per share, addition of impairment losses and other costs of $0.11 per share and addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.02 per share.

(3) Addition of BGE residential customer rate credit accrual of $0.34 per share.

(4) Addition of impairment losses and other costs of $0.01 per share, addition of merger termination and other strategic alternative costs of $0.01 per share, addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.01 per share and addition of work force reduction costs of $0.01 per share.

(5) Subtraction of gain on sale of 49.99 percent membership interest in CENG joint venture to EDF of $(22.13) per share, subtraction of merger termination and other strategic alternative costs of $(0.12) per share and subtraction of impairment losses and other costs of $(0.01) per share. Addition of  amortization of CENG joint venture basis difference of $0.09 per share, addition of loss on redemption of Zero Coupon Notes of $0.05 per share, addition of losses from UniStar of $0.03 per share and addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.02 per share.

(6) Addition of impairment losses and other costs of $0.03 per share.

 

 

 

Year Ended December 31,

 

 

 

2010

 

2009

 

 

 

Reported

 

 

 

Reported

 

 

 

 

 

GAAP

 

Adjusted

 

GAAP

 

Adjusted

 

EARNINGS (LOSS) PER COMMON SHARE 

 

EPS*

 

EPS

 

EPS*

 

EPS

 

Baltimore Gas and Electric

 

$

0.67

 

$

0.69

(1)

$

0.46

 

$

0.80

(5)

NewEnergy

 

0.69

 

0.54

(2)

(2.00

)

0.46

(6)

Generation

 

(6.26

)

1.81

(3)

23.79

 

2.11

(7)

Other

 

 

0.02

(4)

(0.06

)

(0.01

)(8)

Diluted (Loss) Earnings Per Share

 

$

(4.90

)

$

3.06

 

$

22.19

 

$

3.36

 

 


* Unaudited.

 

Reported GAAP EPS was adjusted by the following amounts to calculate Adjusted EPS

(1) Addition of deferred income tax expense associated with Medicare Part D prescription drug subsidies of $0.02 per share.

(2) Subtraction of gain on international coal contract dispute settlement of $(0.17) per share. Addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.02 per share.

(3) Addition of impairment losses and other costs of $7.41 per share, addition of amortization of the CENG joint venture basis difference of $0.59 per share, addition of economic value of CENG joint venture PPA amortization of $0.56 per share, addition of loss due to early retirement of 7 percent Notes due April 1, 2012, of $0.15 per share, addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.05 per share and addition of losses on UNE of $0.03 per share. Subtraction of gain on comprehensive agreement with EDF of $(0.60) per share and subtraction of gain on sale of Mammoth Lakes geothermal generating facility of $(0.12) per share.

(4) Addition of deferred income tax expense associated with Medicare Part D prescription drug subsidies of $0.02 per share.

(5) Addition of BGE residential customer rate credit accrual of $0.34 per share.

(6) Addition of net losses from divested operations of $1.86 per share, addition of impairment losses and other costs of $0.41 per share, addition of merger termination and other strategic alternative costs of $0.10 per share, addition of work force reduction costs of $0.05 per share and addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.04 per share.

(7) Subtraction of gain on sale of 49.99 percent membership interest in CENG joint venture to EDF of $(22.25) per share. Addition of impairment losses and other costs of $0.23 per share, addition of  amortization of CENG joint venture basis difference of $0.09 per share, addition of losses on UNE of $0.08 per share, addition of credit facility amendment fees incurred in connection with the 2009 EDF transaction of $0.07 per share, addition of loss on redemption of Zero Coupon Notes of $0.05 per share and addition of merger termination and other strategic alternative costs of $0.05 per share.

(8) Addition of impairment losses and other costs of $0.05 per share.

 

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BGE

 

BGE reported adjusted earnings of $0.69 per share, down from $0.80 per share in 2009. The decrease was the result of higher operating and maintenance costs driven by a combination of increased storm-related expenses and inflation, partially offset by lower bad debt expense and higher power transmission revenue.

 

Generation

 

The Generation segment reported adjusted earnings of $1.81 per share, down $0.30 from 2009 adjusted results of $2.11 per share. The decline was driven primarily by the loss of earnings resulting from our sale of a 49.99 percent interest in CENG to EDF in November 2009.

 

NewEnergy

 

Our NewEnergy segment reported adjusted earnings of $0.54 per share in 2010, improving $0.08 per share as compared with 2009. The adjusted earnings were negatively impacted by noncash mark-to-market earnings. Excluding this impact, the increase in adjusted earnings was primarily the result of improved profitability in our power operations and greater upstream gas production.

 

Financial Statements

 

The Dec. 31, 2010, financial statements and supplemental information are attached.

 

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Adjusted Earnings

 

Constellation Energy presents adjusted earnings per share (adjusted EPS) in addition to reported earnings per share in accordance with generally accepted accounting principles (reported GAAP EPS). Adjusted EPS is a non-GAAP financial measure that differs from reported GAAP EPS because it excludes the cumulative effects of changes in accounting principles, discontinued operations and special items (which we define as significant items that are not related to our ongoing, underlying business or which distort comparability of results) included in operations.

 

We present adjusted EPS because we believe that it is appropriate for investors to consider results excluding these items in addition to our results in accordance with GAAP. We believe such a measure provides a picture of our results that is more comparable among periods, since it excludes the impact of items such as impairment losses, work force reduction costs or gains and losses on the sale of assets, which may recur occasionally, but tend to be irregular as to timing, thereby distorting comparisons between periods. However, investors should note that this non-GAAP measure involves judgment by management (in particular, judgment as to what is classified as a special item to be excluded from adjusted earnings). This non-GAAP measure is also used to evaluate management’s performance and for compensation purposes.

 

Constellation Energy also provides its earnings guidance in terms of adjusted EPS. Constellation Energy is unable to reconcile its guidance to GAAP earnings per share because we do not predict the future impact of special items due to the difficulty of doing so. In the past, the impact of special items has been material to our operating results computed in accordance with GAAP.  We note that such information is not in accordance with GAAP and should not be viewed as a substitute to GAAP information.

 

5



 

SEC Filings

 

Constellation Energy plans to file its Form 10-K on or about Feb. 25, 2011.

 

Forward-Looking Statements

 

We make statements in this news release that are considered forward-looking statements within the meaning of the Securities Exchange Act of 1934. These statements are not guarantees of our future performance and are subject to risks, uncertainties and other important factors that could cause our actual performance or achievements to be materially different from those we project. For a full discussion of these risks, uncertainties and factors, we encourage you to read our documents on file with the Securities and Exchange Commission, including those set forth in our periodic reports under the forward-looking statements and risk factors sections. Except as required by law, we do not intend to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

Conference Call Feb. 4, 2011

 

Constellation Energy will host a conference call at 8:30 a.m. (EST) on Friday, Feb. 4, 2011, to review the results.  Analysts, investors, media and the public may participate by dialing in shortly before 8:30 a.m. using the following information:

 

U.S. — (888) 455-2894

International — (773) 681-5899

Password — ENERGY

 

A replay will be available approximately one hour after the end of the call by dialing (866) 380-8124 or (203) 369-0355 (international). The replay will be available for 90 days.

 

A live audio webcast of the conference call, presentation slides and the earnings press release will be available on the Investor Relations page of Constellation Energy’s website (www.constellation.com). A webcast replay, as well as a replay in downloadable MP3 format, will also be available on the site shortly after the completion of the call. The call will be recorded and archived on the site.

 

6


 


 

About Constellation Energy

 

Constellation Energy (www.constellation.com) is a leading competitive supplier of power, natural gas and energy products and services for homes and businesses across the continental United States. It owns a diversified fleet of generating units, totaling approximately 12,000 megawatts of generating capacity, and is a leading advocate for clean, environmentally sustainable energy sources, such as solar power and nuclear energy.  The company delivers electricity and natural gas through the Baltimore Gas and Electric Company (BGE), its regulated utility in Central Maryland. A FORTUNE 500 company headquartered in Baltimore, Constellation Energy had revenues of $14.3 billion in 2010.

 

7



 

Addendum — Amounts Excluded to Arrive at Adjusted EPS

 

 

 

Quarter Ended December 31, 2010

 

Year Ended December 31, 2010

 

 

 

After-Tax Income

 

After-Tax Income

 

 

 

(Expense) Impact

 

(Expense) Impact

 

 

 

($ millions)

 

(Per Share)

 

($ millions)

 

(Per Share)

 

 

 

 

 

 

 

 

 

 

 

Impairment Losses and Other Costs:

 

 

 

 

 

 

 

 

 

Investment in CENG Joint Venture

 

$

14.2

 

$

0.07

 

$

1,360.6

 

$

6.79

 

Investment in UniStar Nuclear Energy

 

0.3

 

 

86.7

 

0.43

 

Other Equity Investments

 

7.3

 

0.04

 

39.8

 

0.19

 

 

 

 

 

 

 

 

 

 

 

Gain on Comprehensive Agreement with EDF

 

(121.2

)

(0.60

)

(121.2

)

(0.60

)

 

 

 

 

 

 

 

 

 

 

CENG Joint Venture Results:

 

 

 

 

 

 

 

 

 

Amortization of Basis Difference

 

23.3

 

0.12

 

117.5

 

0.59

 

Transaction-Related Costs

 

4.9

 

0.02

 

13.6

 

0.07

 

 

 

 

 

 

 

 

 

 

 

UniStar Nuclear Energy Results

 

1.0

 

 

5.9

 

0.03

 

 

 

 

 

 

 

 

 

 

 

International Coal Contract Dispute Settlement

 

(35.4

)

(0.17

)

(35.4

)

(0.17

)

 

 

 

 

 

 

 

 

 

 

Loss on Retirement of 7 percent Notes

 

 

 

30.9

 

0.15

 

 

 

 

 

 

 

 

 

 

 

Deferred Income Tax Expense - Medicare Part D

 

 

 

8.8

 

0.04

 

 

 

 

 

 

 

 

 

 

 

Gain on Sale of Mammoth Lakes

 

 

 

(24.7

)

(0.12

)

 

 

 

 

 

 

 

 

 

 

Total Special Items Excluding CENG PPA Amortization

 

(105.6

)

(0.52

)

1,482.5

 

7.40

 

 

 

 

 

 

 

 

 

 

 

CENG PPA Amortization

 

29.6

 

0.15

 

113.3

 

0.56

 

 

 

 

 

 

 

 

 

 

 

Total Special Items

 

$

(76.0

)

$

(0.37

)

$

1,595.8

 

$

7.96

 

 

Impairment Losses and Other Costs

 

Fourth quarter 2010 activity primarily reflects the following:

 

·                  Revised estimated deferred income tax impacts associated with the fair value of our retained interest in our CENG joint venture with EDF as adjusted for the effect of the impairment charge we recognized in the third quarter of 2010.

·                  An $8.4 million pre-tax impairment charge associated with an other-than-temporary decline in one of our equity method investments in independent power producers as a result of continuing depressed energy prices.

 

8



 

Gain on Comprehensive Agreement with EDF

 

On Oct. 26, 2010, we reached a comprehensive agreement with EDF that restructured the relationship between our two companies, eliminated the outstanding asset put arrangement and established the full ownership of UniStar Nuclear Energy by EDF. In connection with this, we recognized a $202 million pre-tax gain in the fourth quarter of 2010.

 

CENG Joint Venture Results

 

·                  Amortization of Basis Difference - We have a basis difference between the carrying value of our investment in CENG and our underlying equity in CENG. This basis difference was caused by the requirement to record our investment in CENG at fair value at closing, while CENG’s assets and liabilities retained their carrying value. We are amortizing this basis difference over the respective useful lives of the assets of CENG or as those assets impact the earnings of CENG. The impairment charge we recognized on our investment in CENG in the third quarter of 2010 reduced this basis difference.

·                  Transaction-Related Costs - In the fourth quarter, we continued to record the amortization of credit facility amendment fees associated with closing the sale of a 49.99 percent interest in CENG to EDF.

 

UniStar Nuclear Energy Results

 

Consistent with our 2010 earnings guidance, we have excluded our equity in the operating results of UniStar Nuclear Energy prior to the sale of our interest to EDF, as UniStar remained in a development stage.

 

International Coal Contract Dispute Settlement

 

During the fourth quarter of 2010, we finalized the settlement of a contract dispute with a third party international coal supplier recognizing pre-tax earnings of $56.6 million. We divested the majority of our international commodities operations in 2009.

 

Loss on Retirement of 7 Percent Notes

 

In February 2010, we retired an aggregate principal amount of $486.5 million of our 7 percent Notes due April 1, 2012, pursuant to a cash tender offer, at a premium of approximately 11

 

9



 

percent. We recorded a pre-tax loss on this transaction of $51.6 million in the first quarter of 2010. This redemption was part of our plan to use approximately $1 billion of the proceeds from the November 2009 sale of a 49.99 percent interest in CENG to EDF to reduce our outstanding debt.

 

Deferred Income Tax Expense - Medicare Part D

 

In the first quarter of 2010, we recorded a noncash charge to reflect additional deferred income tax expense of approximately $8.8 million associated with the elimination of the tax exemption for Medicare Part D prescription drug subsidies after Dec. 31, 2012. This charge was a result of healthcare reform legislation enacted in March 2010.

 

Gain on Sale of Mammoth Lakes

 

In August 2010, we completed the sale of our 50 percent equity interest in the Mammoth Lakes geothermal generating facility in California and recorded a $38 million pre-tax gain in the third quarter of 2010.

 

CENG PPA Amortization

 

Based on energy prices at the time of the closing of the EDF transaction in November 2009, we recorded an approximately $0.8 billion “unamortized energy contract asset” for the value of our PPA with CENG, and CENG recorded an approximately ($0.8) billion “unamortized energy contract liability.” Both entities are amortizing these amounts in 2010 and 2011, with the total net economic value to be realized by us in the form of lower purchased power costs equal to approximately $0.4 billion as a result of our 50.01 percent ownership interest in CENG. During the fourth quarter of 2010, we realized approximately $48.5 million pre-tax in economic value relating to the amortization of the PPA with CENG.

 

10


 


 

Constellation Energy Group and Subsidiaries

 

Consolidated Statements of Income (Loss) (Unaudited)

 

 

 

Three Months Ended

 

Year Ended

 

 

 

December 31,

 

December 31,

 

 

 

2010

 

2009

 

2010

 

2009

 

 

 

(In Millions, Except Per Share Amounts)

 

Revenues

 

 

 

 

 

 

 

 

 

Nonregulated revenues

 

$

2,690.7

 

$

2,653.0

 

$

10,883.0

 

$

12,024.3

 

Regulated electric revenues

 

573.4

 

569.9

 

2,752.1

 

2,820.7

 

Regulated gas revenues

 

210.5

 

180.7

 

704.9

 

753.8

 

Total revenues

 

3,474.6

 

3,403.6

 

14,340.0

 

15,598.8

 

 

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

 

Fuel and purchased energy expenses

 

2,394.9

 

2,457.9

 

10,001.7

 

11,013.1

 

Fuel and purchased energy expenses from affiliate

 

225.5

 

122.5

 

900.8

 

122.5

 

Operating expenses

 

463.4

 

497.4

 

1,691.1

 

2,228.0

 

Merger termination and strategic alternatives costs

 

 

94.6

 

 

145.8

 

Impairment losses and other costs

 

8.4

 

21.4

 

2,476.8

 

124.7

 

Work force reduction costs

 

 

1.0

 

 

12.6

 

Depreciation, depletion, and amortization

 

138.4

 

142.3

 

517.6

 

589.1

 

Accretion of asset retirement obligations

 

0.5

 

7.7

 

1.9

 

62.3

 

Taxes other than income taxes

 

64.9

 

65.7

 

263.9

 

290.4

 

Total expenses

 

3,296.0

 

3,410.5

 

15,853.8

 

14,588.5

 

Equity Investment Gains (Losses)

 

25.8

 

(6.1

)

25.0

 

(6.1

)

Gain on Sale of Interest in CENG

 

 

7,445.6

 

 

7,445.6

 

Net Gain (Loss) on Divestitures

 

202.3

 

(4.4

)

245.8

 

(468.8

)

Income (Loss) from Operations

 

406.7

 

7,428.2

 

(1,243.0

)

7,981.0

 

Other Expenses

 

(27.1

)

(81.0

)

(76.7

)

(140.7

)

Fixed Charges

 

 

 

 

 

 

 

 

 

Interest expense

 

66.3

 

113.4

 

310.8

 

437.2

 

Interest capitalized and allowance for borrowed funds used during construction

 

(3.0

)

(21.4

)

(33.0

)

(87.1

)

Total fixed charges

 

63.3

 

92.0

 

277.8

 

350.1

 

Income (Loss) from Continuing Operations Before Income Taxes

 

316.3

 

7,255.2

 

(1,597.5

)

7,490.2

 

Income Tax Expense (Benefit)

 

148.2

 

2,827.8

 

(665.7

)

2,986.8

 

Net Income (Loss)

 

168.1

 

4,427.4

 

(931.8

)

4,503.4

 

Less: Net Income Attributable to Noncontrolling Interests and BGE Preference Stock Dividends

 

8.3

 

6.2

 

50.8

 

60.0

 

Net Income (Loss) Applicable to Common Stock

 

$

159.8

 

$

4,421.2

 

$

(982.6

)

$

4,443.4

 

 

 

 

 

 

 

 

 

 

 

Average Shares of Common Stock Outstanding - Basic

 

199.8

 

199.9

 

200.5

 

199.3

 

Average Shares of Common Stock Outstanding - Diluted

 

201.3

 

201.3

 

200.5

 

200.3

 

 

 

 

 

 

 

 

 

 

 

Earnings (Loss) Per Common Share - Basic

 

$

0.80

 

$

22.12

 

$

(4.90

)

$

22.29

 

 

 

 

 

 

 

 

 

 

 

Earnings (Loss) Per Common Share - Diluted

 

$

0.79

 

$

21.96

 

$

(4.90

)

$

22.19

 

 

Certain prior-period amounts have been reclassified to conform with the current period’s presentation.

 



 

Constellation Energy Group and Subsidiaries

 

Consolidated Balance Sheets (Unaudited)

 

 

 

December 31,

 

December 31,

 

 

 

2010

 

2009

 

 

 

(In Millions)

 

ASSETS

 

 

 

 

 

Current Assets

 

 

 

 

 

Cash and cash equivalents

 

$

2,028.5

 

$

3,440.0

 

Accounts receivable (net of allowance for uncollectibles of $85.0 and $80.4, respectively)

 

2,059.2

 

1,778.2

 

Accounts receivable — consolidated variable interest entities (net of allowance for uncollectibles of $87.9 and $80.2, respectively)

 

308.9

 

359.4

 

Fuel stocks

 

361.1

 

314.9

 

Materials and supplies

 

104.3

 

93.3

 

Derivative assets

 

534.4

 

639.1

 

Unamortized energy contract assets (includes $400.9 and $371.3, respectively, related to CENG)

 

544.7

 

436.5

 

Restricted cash

 

52.0

 

2.7

 

Restricted cash — consolidated variable interest entities

 

52.3

 

24.3

 

Deferred income taxes

 

 

127.9

 

Other

 

407.2

 

244.4

 

Total current assets

 

6,452.6

 

7,460.7

 

Investments And Other Noncurrent Assets

 

 

 

 

 

Investment in CENG

 

2,991.1

 

5,222.9

 

Other investments

 

189.9

 

424.3

 

Regulatory assets (net)

 

374.1

 

414.4

 

Goodwill

 

77.0

 

25.5

 

Derivative assets

 

258.9

 

633.9

 

Unamortized energy contract assets (includes $ - and $400.9, respectively, related to CENG)

 

109.8

 

604.7

 

Other

 

286.3

 

304.2

 

Total investments and other noncurrent assets

 

4,287.1

 

7,629.9

 

Property, Plant And Equipment

 

 

 

 

 

Nonregulated property, plant and equipment

 

6,387.2

 

5,784.6

 

Regulated property, plant and equipment

 

7,201.7

 

6,749.9

 

Accumulated depreciation

 

(4,310.1

)

(4,080.7

)

Net property, plant and equipment

 

9,278.8

 

8,453.8

 

Total Assets

 

$

20,018.5

 

$

23,544.4

 

LIABILITIES AND EQUITY

 

 

 

 

 

Current Liabilities

 

 

 

 

 

Short-term borrowings

 

$

32.4

 

$

46.0

 

Current portion of long-term debt

 

245.6

 

0.4

 

Current portion of long-term debt — consolidated variable interest entities

 

59.7

 

56.5

 

Accounts payable

 

1,072.6

 

916.3

 

Accounts payable — consolidated variable interest entities

 

189.8

 

234.2

 

Customer deposits and collateral

 

87.2

 

103.3

 

Derivative liabilities

 

622.3

 

632.6

 

Unamortized energy contract liabilities

 

130.5

 

390.1

 

Deferred income taxes

 

56.5

 

 

Accrued taxes

 

71.0

 

877.3

 

Accrued expenses

 

358.1

 

409.8

 

Other

 

351.5

 

374.2

 

Total current liabilities

 

3,277.2

 

4,040.7

 

Deferred Credits And Other Noncurrent Liabilities

 

 

 

 

 

Deferred income taxes

 

2,489.8

 

3,205.5

 

Asset retirement obligations

 

32.3

 

29.3

 

Derivative liabilities

 

353.0

 

674.1

 

Unamortized energy contract liabilities

 

411.1

 

653.7

 

Defined benefit obligations

 

574.7

 

743.9

 

Deferred investment tax credits

 

27.6

 

32.0

 

Other

 

296.0

 

388.8

 

Total deferred credits and other noncurrent liabilities

 

4,184.5

 

5,727.3

 

Long-Term Debt

 

 

 

 

 

Long-term debt, net of current portion

 

4,054.2

 

4,359.6

 

Long-term debt, net of current portion — consolidated variable interest entities

 

394.6

 

454.4

 

Equity

 

 

 

 

 

Common shareholders’ equity:

 

 

 

 

 

Common stock

 

3,231.7

 

3,229.6

 

Retained earnings

 

5,270.8

 

6,461.0

 

Accumulated other comprehensive loss

 

(673.3

)

(993.5

)

Total common shareholders’ equity

 

7,829.2

 

8,697.1

 

BGE preference stock not subject to mandatory redemption

 

190.0

 

190.0

 

Noncontrolling interests

 

88.8

 

75.3

 

Total equity

 

8,108.0

 

8,962.4

 

Total Liabilities And Equity

 

$

20,018.5

 

$

23,544.4

 

 

Certain prior-period amounts have been reclassified to conform with the current period’s presentation.

 



 

Constellation Energy Group and Subsidiaries

 

Generation Operating Statistics (Unaudited)

 

 

 

Year Ended December 31,

 

 

 

 

 

 

 

Oil &

 

Hydro &

 

 

 

 

 

 

 

Nuclear *

 

Coal

 

Gas

 

Renewables

 

Other

 

Total

 

Generation by Fuel Type (%)

 

 

 

 

 

 

 

 

 

 

 

 

 

2010

 

45.0

 

37.4

 

12.6

 

2.9

 

2.1

 

100.0

 

2009

 

64.6

 

30.3

 

1.0

 

2.4

 

1.7

 

100.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Thousands of MWH

 

 

 

 

 

 

 

 

 

 

 

 

 

2010

 

15,781

 

13,137

 

4,420

 

1,007

 

749

 

35,094

 

2009

 

29,809

 

13,964

 

464

 

1,110

 

768

 

46,115

 

 


* Nuclear statistics shown as 100 percent owned prior to Nov. 6, 2009, and 50.01 percent subsequently due to the formation of the CENG joint venture.

 

Utility Operating Statistics (Unaudited)

 

 

 

Three Months Ended

 

Year Ended

 

 

 

December 31,

 

December 31,

 

 

 

2010

 

2009

 

2010

 

2009

 

 

 

 

 

 

 

 

 

 

 

ELECTRIC

 

 

 

 

 

 

 

 

 

Revenues (In Millions)

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

$

345.6

 

$

351.1

 

$

1,808.6

 

$

1,864.0

 

Delivery Service Only

 

18.3

 

2.9

 

48.1

 

14.3

 

Commercial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

95.5

 

111.0

 

467.4

 

531.2

 

Delivery Service Only

 

63.5

 

62.7

 

249.5

 

245.0

 

Industrial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

5.8

 

6.8

 

28.7

 

30.4

 

Delivery Service Only

 

6.0

 

7.0

 

25.6

 

29.1

 

System Sales

 

534.7

 

541.5

 

2,627.9

 

2,714.0

 

Other

 

38.8

 

28.4

 

124.4

 

106.7

 

Total

 

$

573.5

 

$

569.9

 

$

2,752.3

 

$

2,820.7

 

 

 

 

 

 

 

 

 

 

 

Distribution Volumes (In Thousands) - MWH

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

2,638

 

2,943

 

12,344

 

12,394

 

Delivery Service Only

 

523

 

147

 

1,490

 

457

 

Commercial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

809

 

902

 

3,707

 

3,945

 

Delivery Service Only

 

2,986

 

2,810

 

12,537

 

11,753

 

Industrial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

57

 

67

 

267

 

270

 

Delivery Service Only

 

529

 

678

 

2,519

 

2,757

 

Total

 

7,542

 

7,547

 

32,864

 

31,576

 

 

 

 

 

 

 

 

 

 

 

GAS

 

 

 

 

 

 

 

 

 

Revenues (In Millions)

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

$

131.3

 

$

110.3

 

$

427.0

 

$

460.7

 

Delivery Service Only

 

7.0

 

5.2

 

22.1

 

19.0

 

Commercial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

31.1

 

29.7

 

109.0

 

129.1

 

Delivery Service Only

 

11.4

 

10.6

 

39.8

 

40.4

 

Industrial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

1.4

 

1.3

 

5.2

 

6.4

 

Delivery Service Only

 

4.8

 

5.0

 

16.7

 

15.2

 

System Sales

 

187.0

 

162.1

 

619.8

 

670.8

 

Off-System Sales

 

22.0

 

18.3

 

79.8

 

81.1

 

Other

 

2.3

 

1.1

 

9.8

 

6.4

 

Total

 

$

211.3

 

$

181.5

 

$

709.4

 

$

758.3

 

 

 

 

 

 

 

 

 

 

 

Distribution Volumes (In Thousands) - DTH

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

13,003

 

11,835

 

37,791

 

37,889

 

Delivery Service Only

 

1,821

 

1,429

 

4,857

 

4,270

 

Commercial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

3,527

 

3,153

 

11,606

 

12,066

 

Delivery Service Only

 

7,218

 

5,746

 

24,329

 

25,046

 

Industrial

 

 

 

 

 

 

 

 

 

Excluding Delivery Service Only

 

173

 

160

 

595

 

635

 

Delivery Service Only

 

3,706

 

6,065

 

19,750

 

20,826

 

System Sales

 

29,448

 

28,388

 

98,928

 

100,732

 

Off-System Sales

 

4,513

 

3,639

 

14,711

 

17,542

 

Total

 

33,961

 

32,027

 

113,639

 

118,274

 

 

Utility operating statistics do not reflect the elimination of intercompany transactions.

 

Heating and Cooling Degree Days (Calendar-Month Basis)

 

Heating Degree Days - Actual

 

1,831

 

1,702

 

4,716

 

4,836

 

- Normal

 

1,694

 

1,684

 

4,726

 

4,718

 

Cooling Degree Days - Actual

 

21

 

13

 

1,122

 

729

 

- Normal

 

26

 

25

 

850

 

852

 

 



 

Constellation Energy Group and Subsidiaries

 

Supplemental Financial Statistics (Unaudited)

 

 

 

Year Ended

 

 

 

December 31,

 

 

 

2010

 

2009

 

Effective Tax Rate

 

41.7

%

39.9

%

 

 

 

 

 

 

Equity Investment In Nonregulated Businesses — End of Period (In Millions)

 

$

5,756.0

 

$

6,784.6

 

 

 

 

 

 

 

Equity Investment In Regulated Business — End of Period (In Millions)

 

$

2,073.2

 

$

1,912.5

 

 

Common Stock Data

 

 

 

Three Months Ended

 

Year Ended

 

 

 

December 31,

 

December 31,

 

 

 

2010

 

2009

 

2010

 

2009

 

 

 

 

 

 

 

 

 

 

 

Common Stock Dividends - Per Share

 

 

 

 

 

 

 

 

 

—Declared

 

$

0.2400

 

$

0.2400

 

$

0.9600

 

$

0.9600

 

—Paid

 

$

0.2400

 

$

0.2400

 

$

0.9600

 

$

1.1975

 

 

 

 

 

 

 

 

 

 

 

Market Value Per Share

 

 

 

 

 

 

 

 

 

—High

 

$

33.18

 

$

36.55

 

$

38.73

 

$

36.55

 

—Low

 

$

27.64

 

$

30.24

 

$

27.64

 

$

15.05

 

—Close

 

$

30.63

 

$

35.17

 

$

30.63

 

$

35.17

 

 

 

 

 

 

 

 

 

 

 

Shares Outstanding - End of Period (In Millions)

 

199.8

 

201.0

 

199.8

 

201.0

 

 

 

 

 

 

 

 

 

 

 

Book Value per Share - End of Period

 

$

39.19

 

$

43.27

 

$

39.19

 

$

43.27