EX-99 2 0002.txt Exhibit 99 PG&E CORPORATION CONDENSED STATEMENT OF CONSOLIDATED INCOME (unaudited)
Three months ended Nine Months ended September 30, September 30, ------------------- ----------------- (in millions, except per share amounts) 2000 1999 2000 1999 -------- -------- -------- -------- Operating Revenues Pacific Gas and Electric Company $ 2,523 $ 2,587 $ 7,037 $ 6,905 PG&E National Energy Group PG&E Generating 290 275 883 818 PG&E Gas Transmission -Texas 258 177 707 970 -Northwest 64 56 177 166 PG&E Energy Trading 4,777 3,490 10,493 8,145 Eliminations and Other (408) (368) (1,147) (979) -------- -------- -------- -------- Total operating revenue 7,504 6,217 18,150 16,025 -------- -------- -------- -------- Operating Expenses Cost of energy for Pacific Gas and Electric Company 2,234 864 4,187 2,183 Cost of energy--PG&E National Energy Group 4,618 3,394 10,137 8,415 Deferred electric procurement costs (2,176) - (2,789) - Operating expenses, including depreciation 2,199 1,443 4,688 3,970 ------- -------- -------- -------- Total operating expenses 6,875 5,701 16,223 14,568 -------- -------- -------- -------- Operating Income 629 516 1,927 1,457 Interest expense and other (146) (170) (484) (502) -------- -------- -------- -------- Income Before Income Taxes 483 346 1,443 955 -------- -------- -------- -------- Income taxes 239 149 671 395 -------- -------- -------- -------- Income before discontinued operations and cumulative effect of a change in accounting principle 244 197 772 560 Discontinued operations Loss from operations of PG&E Energy Services (net of applicable income taxes of $9 million and $26 million, respectively) - (12) - (34) Loss on disposal of PG&E Energy Services (net of applicable income taxes of $13 million) (19) - (19) - -------- -------- -------- -------- Income before cumulative effect of a change in accounting principle 225 185 753 526 Cumulative effect of a change in an accounting principle (net of applicable income taxes of $8 million) - - - 12 -------- -------- -------- -------- Net income $ 225 $ 185 $ 753 $ 538 -------- -------- -------- -------- -------- -------- -------- -------- Weighted Average Common Shares Outstanding 362 367 361 369 Earnings Per Common Share, Basic Income from continuing operations $ 0.67 $ 0.53 $ 2.14 $ 1.52 Discontinued operations (0.05) (0.03) (0.05) (0.09) Cumulative effect of change in accounting principle - - - 0.03 -------- -------- -------- -------- Net Income $ 0.62 $ 0.50 $ 2.09 $ 1.46 -------- -------- -------- -------- -------- -------- -------- -------- Earnings Per Common Share, Diluted Income from continuing operations $ 0.67 $ 0.53 $ 2.12 $ 1.51 Discontinued operations (0.05) (0.03) (0.05) (0.09) Cumulative effect of change in accounting principle - - - 0.03 -------- -------- -------- -------- Net Income $ 0.62 $ 0.50 $ 2.07 $ 1.45 -------- -------- -------- -------- -------- -------- -------- -------- Dividends Declared Per Common Share $ 0.30 $ 0.30 $ 0.90 $ 0.90
Earnings and earnings per share for PG&E Corporation's lines of business are as follows: Earnings (millions) Earnings (millions) Three months ended Nine Months ended September 30, September 30, ------------------ ------------------- 2000 1999 2000 1999 ---- ---- ---- ----
Utility Pacific Gas and Electric Company (a) $ 211 $ 179 $ 655 $ 498 PG&E National Energy Group PG&E Generating 16 21 70 77 PG&E Gas Transmission -Texas - (7) - (33) -Northwest 16 18 43 46 PG&E Energy Trading 5 (17) 27 (19) PG&E Energy Services - (12) - (34) Eliminations and Other - 3 (10) (3) ------- ------- ------- ------- Subtotal - PG&E National Energy Group 37 6 130 34 ------- ------- ------- ------- Earnings from Operations 248 185 785 532 Items impacting comparability (b) (23) - (32) 6 ------- ------- ------- ------- Reported Earnings $ 225 $ 185 $ 753 $ 538 ------- ------- ------- ------- ------- ------- ------- -------
Earnings per Share Earnings per Share (Diluted) (Diluted) Three months ended Nine Months ended September 30, September 30, ----------------------- ----------------------- 2000 1999 2000 1999 ---- ---- ---- ----
Utility Pacific Gas and Electric Company (a) $ 0.58 $ 0.49 $ 1.80 $ 1.35 PG&E National Energy Group PG&E Generating 0.04 0.05 0.19 0.21 PG&E Gas Transmission -Texas - (0.02) - (0.10) -Northwest 0.04 0.05 0.12 0.12 PG&E Energy Trading 0.02 (0.05) 0.08 (0.05) PG&E Energy Services - (0.03) - (0.09) Eliminations and Other - 0.01 (0.03) (0.01) ------ ------ ------ ------- Subtotal - PG&E National Energy Group 0.10 0.01 0.36 0.08 ------ ------ ------ ------- Earnings from Operations 0.68 0.50 2.16 1.43 Items impacting comparability (b) (0.06) - (0.09) 0.02 ------ ------ ------ ------ Reported Earnings $ 0.62 $ 0.50 $ 2.07 $ 1.45 ------ ------ ------ ------ ------ ------ ------ ------
(a) 1999 results for Pacific Gas and Electric Company do not include the impacts associated with the delayed decision on the Company's 1999 General Rate Case (GRC), which was resolved in February 2000 and retroactive to January 1, 1999. The effects of the 1999 GRC were recorded in the fourth quarter of 1999 and would have increased 1999 third quarter and year-to-date earnings by $38 ($0.11 per share) and $115 ($0.32 per share). (b) Items impacting comparability in 2000 include loss on disposal of assets, net of tax, of $19 million ($0.05 per share) resulting from a true-up following sale of the energy services operations and relocation and severance charges related to the restructuring of the PG&E National Energy Group of $4 million ($0.01 per share) in the third quarter and $13 million ($0.04 per share) in the nine months ended September 30, 2000. Items impacting comparability in the nine-month period ending September 30, 1999 include a restructuring charge of $6 million ($0.01 per share) incurred at PG&E Gas Transmission and income from a change in accounting principle at PG&E Generating of $12 million ($0.03 per share).