U-9C-3 1 w61126cuv9cv3.txt FORM U-9C-3 CONECTIV As Filed with the Securities and Exchange Commission on May 30, 2002 Contains Confidential Information Filed pursuant to a request for Confidential Treatment U.S. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM U-9C-3 QUARTERLY REPORT PURSUANT TO RULE 58 OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935 For the quarterly period ended March 31, 2002 Conectiv Conectiv Energy Holding Company ACE REIT, Inc. (Name of Registered Holding Companies) 800 King Street Wilmington, DE 19899 (Address of Principal Executives Offices) Inquiries concerning this Form U-9C-3 may be directed to either: Peter F. Clark General Counsel Conectiv 800 King Street Wilmington, DE 19899 or Philip S. Reese Vice President and Treasurer Conectiv 800 King Street Wilmington, DE 19899 (302) 429-3884 Conectiv FORM U-9C-3 For the Quarter Ended March 31, 2002 Table of Contents
Page Item 1. Organization Chart 1 Item 2. Issuance and Renewals of Securities and Capital Contributions 1 Item 3. Associated Transactions 2 Item 4. Summary of Aggregate Investment 3 Item 5. Other Investments 3 Item 6. Financial Statements and Exhibits 4 SIGNATURE 5
Item 1. - ORGANIZATION CHART
-------------------------------------------------------------------------------------------- % of Energy or Gas Voting Related State of Date of Securities Name of Reporting Company Company Organization Organization Held ------------------------- ------- ------------ ------------ ---- -------------------------------------------------------------------------------------------- Conectiv -------------------------------------------------------------------------------------------- Conectiv Energy Holding Company -------------------------------------------------------------------------------------------- Conectiv Energy Supply, Inc. Energy related DE 7/3/75 100 -------------------------------------------------------------------------------------------- Conectiv Operating Services Company Energy related DE 5/8/87 100 -------------------------------------------------------------------------------------------- Atlantic Generation, Inc. Energy related DE 10/9/86 100 -------------------------------------------------------------------------------------------- Vineland Limited, Inc. Energy related DE 8/24/90 100 -------------------------------------------------------------------------------------------- Vineland Cogen. Limited Partnership Energy related DE 9/27/90 50 -------------------------------------------------------------------------------------------- Vineland General, Inc. Energy related DE 8/24/90 100 -------------------------------------------------------------------------------------------- Pedrick Gen, Inc. Energy related DE 7/28/89 100 -------------------------------------------------------------------------------------------- Binghamton Limited, Inc. Energy related DE 5/2/90 100 -------------------------------------------------------------------------------------------- Binghamton General, Inc. Energy related DE 5/2/90 100 -------------------------------------------------------------------------------------------- Energy Investors Fund III, L.P. Energy related DE 4.9 -------------------------------------------------------------------------------------------- Conectiv Solutions LLC -------------------------------------------------------------------------------------------- Conectiv Services, Inc. -------------------------------------------------------------------------------------------- Conectiv Thermal Systems, Inc. Energy related DE 5/5/94 100 -------------------------------------------------------------------------------------------- ATS Operating Services, Inc. Energy related DE 3/31/95 100 -------------------------------------------------------------------------------------------- Atlantic Jersey Thermal Systems, Inc Energy related DE 5/10/94 100 -------------------------------------------------------------------------------------------- Thermal Energy L.P. I Energy related DE 100 -------------------------------------------------------------------------------------------- ATE Investment, Inc. -------------------------------------------------------------------------------------------- King Street Assurance Ltd. -------------------------------------------------------------------------------------------- Enertech Capital Partners, LP Energy related DE 8/9/96 94 -------------------------------------------------------------------------------------------- Enertech Capital Partners II, LP Energy related DE 4/14/00 -------------------------------------------------------------------------------------------- Conectiv Properties and Investments, Inc. 10 -------------------------------------------------------------------------------------------- DCTC-Burney, Inc. Energy related DE 6/26/87 100 -------------------------------------------------------------------------------------------- Forest Products, L.P. Energy related DE 10/5/89 1 -------------------------------------------------------------------------------------------- Burney Forest Products Energy related CA -------------------------------------------------------------------------------------------- UAH-Hydro Kennebec, L.P. Energy related NY 27.5 -------------------------------------------------------------------------------------------- Luz Solar Partners, Ltd., L.P. Energy related CA 4.8 -------------------------------------------------------------------------------------------- Tech Leaders II, L.P. Energy related DE 10/28/94 2.6 -------------------------------------------------------------------------------------------- SciQuest, Inc. Energy related DE 6/20/00 10.2 --------------------------------------------------------------------------------------------
Item 2. - ISSUANCES AND RENEWALS OF SECURITIES AND CAPITAL CONTRIBUTIONS ISSUANCES AND RENEWALS OF SECURITIES
------------------------------------------------------------------------------------------------------- Amount of Cumulative Company To Whom Type of Issue Securities Amount of Company Issuing Security Was Security or During Interest Securities Security Issued Issued Renewal Period($) Rate (%) ($) -------- ------ ------ ------- --------- -- --- ------------------------------------------------------------------------------------------------------- Conectiv Resource Atlantic Money Pool N/A * * * Partners, Inc., Generation, Inc. Advance Agent ------------------------------------------------------------------------------------------------------- Conectiv Resource Conectiv Energy Money Pool Partners, Inc., Supply, Inc. Advance N/A * * * Agent ------------------------------------------------------------------------------------------------------- Conectiv Resource Conectiv Thermal Money Pool Partners, Inc., Systems, Inc. Advance N/A * * * Agent ------------------------------------------------------------------------------------------------------- Conectiv Resource Conectiv Money Pool Partners, Inc., Operating Advance N/A * * * Agent Services Company -------------------------------------------------------------------------------------------------------
Note: Conectiv Resource Partners, Inc. serves as agent for the Conectiv System Money Pool.. 1 CAPITAL CONTRIBUTIONS:
Amount During Period Company Contributing Capital Company Receiving Capital ($) Cumulative Amount($) ---------------------------- ------------------------- --- -------------------- Conectiv Enertech Capital Partners, LP * * Conectiv Enertech Capital Partners II, LP * * Conectiv Enerval * *
Note: Enerval is no longer an active company. * Confidential Treatment Requested Item 3. - ASSOCIATED TRANSACTIONS Part I. - Transactions performed by reporting companies on behalf of associate companies.
------------------------------------------------------------------------------------------------------- Types of Direct Reporting Company Associate Company Services Costs Indirect Costs Total Amount Rendering Services Receiving Services Rendered Charged ($) Charged ($) Billed ($) ------------------ ------------------ -------- ----------- ----------- ---------- ------------------------------------------------------------------------------------------------------- Conectiv Operating Conectiv Thermal, Operating and * * Services Company Inc. Maintenance Services ------------------------------------------------------------------------------------------------------- ATS Operating Conectiv Operating Labor * * Services, Inc Services Company ------------------------------------------------------------------------------------------------------- Conectiv Energy Delmarva Power & Power and * * Supply, Inc Light Company Capacity ------------------------------------------------------------------------------------------------------- Conectiv Energy Conectiv Thermal, Gas * * Supply, Inc Inc. ------------------------------------------------------------------------------------------------------- Conectiv Energy Delmarva Power & Power * * Supply, Inc Light Company -------------------------------------------------------------------------------------------------------
* Confidential Treatment Requested Part II - Transactions performed by associate companies on behalf of reporting companies.
--------------------------------------------------------------------------------------------------- Types of Direct Indirect Total Associate Company Reporting Company Services Costs Costs Amount Rendering Services Receiving Services Rendered Charged ($) Charged ($) Billed ($) ------------------ ------------------ -------- ----------- ----------- ---------- --------------------------------------------------------------------------------------------------- Conectiv Delmarva Conectiv Energy Electric Energy, * * Generation, Inc. Supply, Inc. Capacity and Ancillary Services --------------------------------------------------------------------------------------------------- Conectiv Atlantic Conectiv Energy Electric Energy, * * Generation, L.L.C. Supply, Inc. Capacity and Ancillary Services --------------------------------------------------------------------------------------------------- Delmarva Power & Conectiv Energy PJM Expenses * * Light Company Supply, Inc. ---------------------------------------------------------------------------------------------------
Note: Conectiv Resource Partners, Inc., the service company for the Conectiv System, provides services to various reporting companies. Such information is reported on the annual Form U-13-60. * Confidential Treatment Requested 2 Item 4. - SUMMARY OF AGGREGATE INVESTMENT Investments in energy-related companies (in thousands): Total consolidated capitalization as of March 31, 2002 $4,461,362 Line 1 Total capitalization multiplied by 15% (Line 1 multiplied by 0.15) 669,204 Line 2 Greater of $50 million or line 2 $ 669,204 Line 3
Total current aggregate investment: (categorized by major line of energy-related business) Energy-related business Category - Rule 58(b)(1)(ii)(1) * Energy-related business Category - Rule 58(b)(1)(v) (2) * Energy-related business Category - Rule 58(b)(1)(vi)(3) * Energy-related business Category - Rule 58(b)(1)(vii)(4) * * - ------------------- $* -- Total current aggregate investment Line 4 ------------------- Difference between the greater of $50 million or 15% of Capitalization and the total aggregate investment of the registered holding company system (line 3 less line 4) $* Line 5 == -------------------
*Confidential Treatment Requested (1) Rule 58 defines category "ii" as the development and commercialization of electrotechnologies related to energy conservation, storage and conversion, energy efficiency, waste treatment, greenhouse gas reduction, and similar innovations. (2) Rule 58 defines category "v" as the brokering and marketing of energy commodities, including but not limited to electricity, natural or manufactured gas and other combustible fuels. (3) Rule 58 defines category "vi" as the production, conversion, sale and distribution of thermal energy products, such as process steam, heat, hot water, chilled water, air conditioning, compressed air and similar products; alternative fuels; and renewable energy resources; and the servicing of thermal energy facilities. (4) Rule 58 defines category "vii" as the sale of technical, operational, management, and other similar kinds of services and expertise, developed in the course of utility operations in such areas as power plant and transmission system engineering, development, design and rehabilitation; construction; maintenance and operation; fuel procurement, delivery and management; and environmental licensing, testing and redemption. Investments in gas-related companies: NONE Item 5. - OTHER INVESTMENTS
Major Line of Other Investment in Other Investment in Reason for Difference Energy-Related Business Last U-9C-3 Report this U-9C-3 Report in Other Investment ----------------------- ------------------ ------------------ ------------------- NONE
3 Item 6. - FINANCIAL STATEMENTS AND EXHIBITS A. Financial Statements: FS-1 Financial statements of Conectiv (incorporated by reference to the filing by Conectiv on Form 10-Q for the period ended March 31, 2002) FS-2 Financial statements of Conectiv Energy Supply, Inc. and Subsidiary (confidential treatment requested) FS-3 Financial statements of Atlantic Generation, Inc. and Subsidiaries (confidential treatment requested) FS-4 Financial statements of Conectiv Thermal Systems, Inc. and Subsidiaries (confidential treatment requested) FS-5 Financial statements of DTC-Burney, Inc. (confidential treatment requested) B. Exhibits: B-2. Certificate of Conectiv 4 SIGNATURE The undersigned registered holding company has duly caused this quarterly report to be signed on its behalf by the undersigned officer thereunto duly authorized pursuant to the requirements of the Public Utility Holding Company Act of 1935. Conectiv By: /s/ Philip S. Reese ------------------- Philip S. Reese Vice President and Treasurer May 30, 2002 5 Exhibit B-2 CERTIFICATE I hereby certify that the Form U-9C-3 for Conectiv for the previous quarter has been provided to the state commissions listed below: Delaware Public Service Commission 861 Silver Lake Boulevard Cannon Building, Suite 100 Dover, DE 19904 Maryland Public Service Commission 6 St. Paul Centre, 16th Floor Baltimore, MD 21202 Virginia State Corporation Commission 1300 E. Main Street Tyler Building Richmond, VA 23219 New Jersey Board of Public Utilities Two Gateway Center Newark, NJ 07102 CONECTIV By: /s/Philip S. Reese ------------------ Philip S. Reese Vice President and Treasurer Date: May 30, 2002 6 FS-2 Page 1 of 2 Conectiv Energy Supply, Inc. Consolidated Balance Sheet (Dollars in Thousands) (Unaudited)
As of March 31, ASSETS 2002 ---------------------- CURRENT ASSETS Cash and cash equivalents * Accounts receivable * Accounts receivable from associated companies * Inventories, at average cost Fuel (coal, oil and gas) * Materials and supplies * Income tax benefit receivable * Prepayments * ---------------------- * ---------------------- PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment * Less: Accumulated depreciation * ---------------------- Net Plant * Construction work-in-progress * Goodwill and other intangibles * ---------------------- * ---------------------- DEFERRED CHARGES AND OTHER ASSETS Prepaid pension cost * Deferred income taxes * Other * ---------------------- * ---------------------- ---------------------- TOTAL ASSETS * ====================== LIABILITIES AND OWNER'S EQUITY CURRENT LIABILITIES Accounts payable * Interest accrued * Other * ---------------------- * ---------------------- DEFERRED CREDITS AND OTHER LIABILITIES Pension and OPEB * Derivative instruments * ---------------------- * ---------------------- CAPITALIZATION Common stock * Additional paid-in capital * Other comprehensive income * Retained deficit * Conectiv money pool loan * ---------------------- Total capitalization * ---------------------- ---------------------- TOTAL CAPITALIZATION AND LIABILITIES * ======================
*Filed under Request for Confidential Treatment Pursuant to Rule 104(b) of the Public Utility Holding Company Act. FS-2 Page 2 of 2 CONECTIV ENERGY SUPPLY, INC. CONSOLIDATED STATEMENTS OF INCOME (DOLLARS IN THOUSANDS) (UNAUDITED)
THREE MONTHS ENDED MARCH 31, 2002 ---------------------- OPERATING REVENUES Electric * Gas * Other * ---------------------- * ---------------------- OPERATING EXPENSES Electric fuel and purchased energy and capacity * Gas purchased * Cost of sales * Operation and maintenance * Depreciation and amortization * Taxes other than income taxes * ---------------------- * OPERATING INCOME * OTHER INCOME * INTEREST EXPENSE * ---------------------- INCOME BEFORE INCOME TAXES * INCOME TAXES * ---------------------- NET INCOME * ======================
* Filed under Request for Confidential Treatment Pursuant to Rule 104(b) of the Public Utility Holding Company Act. FS-3 Page 1 of 2 Atlantic Generation, Inc. Consolidated Balance Sheet (Dollars in Thousands) (Unaudited)
As of March 31, ASSETS 2002 --------------------- CURRENT ASSETS Accounts receivable * Income tax benefit receivable * --------------------- * --------------------- INVESTMENTS Investment in ATE * Investment in Energy Investors Fund * Investment in electric generating facilities * Other investments * --------------------- * --------------------- PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment * Less: Accumulated depreciation * --------------------- Net Plant * --------------------- --------------------- TOTAL ASSETS * ===================== LIABILITIES AND OWNER'S EQUITY CURRENT LIABILITIES Accounts payable to associated companies * Interest accrued * --------------------- * --------------------- --------------------- DEFERRED CREDITS AND OTHER LIABILITIES * --------------------- CAPITALIZATION Additional paid-in capital * Retained deficit * Conectiv money pool loan * --------------------- Total equity * --------------------- --------------------- TOTAL CAPITALIZATION AND LIABILITIES * =====================
*Filed under Request for Confidential Treatment Pursuant to Rule 104(b) of the Public Utility Holding Company Act. FS-3 Page 2 of 2 ATLANTIC GENERATION, INC CONSOLIDATED STATEMENTS OF INCOME (DOLLARS IN THOUSANDS) (UNAUDITED)
THREE MONTHS ENDED MARCH 31, 2002 --------------------- OPERATING REVENUES * --------------------- OPERATING EXPENSES Operation and maintenance * Depreciation and amortization * --------------------- * --------------------- OPERATING INCOME * --------------------- OTHER INCOME * INTEREST EXPENSE * --------------------- INCOME BEFORE INCOME TAXES * INCOME TAXES * --------------------- NET INCOME * =====================
FS-4 Page 1 of 2 Conectiv Thermal Systems, Inc. Consolidated Balance Sheet (Dollars in Thousands) (Unaudited)
As of March 31, ASSETS 2002 --------------------- CURRENT ASSETS Cash and cash equivalents * Accounts receivable * Inventories, at average cost Fuel (coal, oil and gas) * Materials and supplies * Income tax benefit receivable * Other prepayments * --------------------- * --------------------- INVESTMENTS --------------------- Funds held by trustee * --------------------- PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment * Less: Accumulated depreciation * --------------------- Net Plant * Construction work-in-progress * --------------------- * --------------------- DEFERRED CHARGES AND OTHER ASSETS Unamortized debt expense * License fees * Other * --------------------- * --------------------- --------------------- TOTAL ASSETS * ===================== LIABILITIES AND OWNER'S EQUITY CURRENT LIABILITIES Accounts payable * Interest accrued * Other * --------------------- * --------------------- DEFERRED CREDITS AND OTHER LIABILITIES Pension and OPEB * Deferred income taxes, net * Other * --------------------- * --------------------- CAPITALIZATION Additional paid-in capital * Retained deficit * Conectiv money pool loan * --------------------- Total equity * Variable rate demand bonds ** * --------------------- Total capitalization * --------------------- --------------------- TOTAL CAPITALIZATION AND LIABILITIES * =====================
*Filed under Request for Confidential Treatment Pursuant to Rule 104(b) of the Public Utility Holding Company Act. ** Classified as current liability for external reporting FS-4 Page 2 of 2 CONECTIV THERMAL SYSTEMS, INC. CONSOLIDATED STATEMENTS OF INCOME (DOLLARS IN THOUSANDS) (UNAUDITED)
THREE MONTHS ENDED MARCH 31, 2002 --------------------- OPERATING REVENUES * --------------------- OPERATING EXPENSES Cost of sales * Operation and maintenance * Depreciation and amortization * Taxes other than income taxes * --------------------- * --------------------- OPERATING INCOME * --------------------- OTHER INCOME * --------------------- INTEREST EXPENSE Interest charges * Allowance for borrowed funds used during construction and capitalized interest * --------------------- * --------------------- INCOME BEFORE INCOME TAXES * INCOME TAXES * --------------------- NET INCOME * =====================
FS-5 Page 1 of 2 DCTC-Burney, Inc. Balance Sheet (Dollars in Thousands) (Unaudited)
As of March 31, ASSETS 2002 --------------------- CURRENT ASSETS Cash and cash equivalents * Accounts receivable * --------------------- * --------------------- --------------------- INVESTMENT IN BURNEY FOREST PRODUCTS * --------------------- --------------------- DEFERRED INCOME TAXES * --------------------- --------------------- TOTAL ASSETS * ===================== LIABILITIES AND OWNER'S EQUITY CURRENT LIABILITIES --------------------- Taxes accrued * --------------------- Other * --------------------- * --------------------- CAPITALIZATION Conectiv common stock * Additional paid-in capital * Retained earnings * --------------------- Total capitalization * --------------------- --------------------- TOTAL CAPITALIZATION AND LIABILITIES * =====================
*Filed under Request for Confidential Treatment Pursuant to Rule 104(b) of the Public Utility Holding Company Act. FS-5 Page 2 of 2 DCTC-BURNEY, INC. CONSOLIDATED STATEMENTS OF INCOME (DOLLARS IN THOUSANDS) (UNAUDITED)
THREE MONTHS ENDED MARCH 31, 2002 --------------------- OPERATING REVENUES * --------------------- OPERATING EXPENSES Operation and maintenance * Depreciation and amortization * Taxes other than income taxes * --------------------- * --------------------- OPERATING INCOME * --------------------- OTHER INCOME * --------------------- --------------------- INTEREST EXPENSE * --------------------- INCOME BEFORE INCOME TAXES * INCOME TAXES * --------------------- NET INCOME * =====================