EX-99 5 exh_1-2.txt EXHIBIT 1-2 Exhibit 1-2 FIRSTENERGY FACILITIES SERVICES GROUP, LLC Consolidated Balance Sheet (Unaudited) ------------------------------------------ September 30, 2003 (In Thousands) ASSETS CURRENT ASSETS: Cash and cash equivalents $ 9,415 Receivables: Associated companies 525 Other 91,999 Material and supplies 8,768 Prepayments and other 814 -------- 111,521 -------- INVESTMENTS: Nonutility property, net 26,133 Other 2,241 -------- 28,374 -------- DEFERRED CHARGES: Goodwill 36,471 Accumulated deferred income taxes assets 33,449 -------- 69,920 -------- TOTAL ASSETS $ 209,815 ======== LIABILITIES & STOCKHOLDER'S EQUITY CURRENT LIABILITIES: Currently payable long-term debt $ 430 Short-term borrowings 1,505 Notes payable to associated companies 12,342 Other 39,145 Associated companies 447 Accrued taxes 3,330 Other 16,581 -------- 73,780 -------- CAPITALIZATION: Common stockholder's equity 127,996 Long-term debt 7,421 -------- 135,417 -------- DEFERRED CREDITS: Accumulated deferred income taxes - Other 618 -------- 618 -------- TOTAL LIABILITIES & CAPITALIZATION $ 209,815 ======== Exhibit 1-2 FIRSTENERGY FACILITIES SERVICES GROUP, LLC Consolidated Statement of Operations (Unaudited) ----------------------------------------------- (In Thousands) Three Months Nine Months Ended Ended Sept. 30, 2003 Sept. 30, 2003 -------------- -------------- Revenues $ 88,850 $ 250,092 Cost of revenues 74,672 216,727 ------- ------- Gross margin 14,178 33,365 Selling, general and administrative expenses 8,039 28,636 Depreciation 1,340 4,122 ------- ------- 4,799 607 Goodwill impairment 121,534 121,534 Purchase agreement incentive plans 20 83 ------- ------- Operating loss (116,755) (121,010) Interest income 179 584 Interest expense (400) (1,233) Gain on sale of fixed assets 114 200 Other income, net (15) 116 ------- ------- Total other expense (122) (333) ------- ------- Loss before income taxes (116,877) (121,343) Income tax benefit (38,759) (40,623) ------- ------- Net loss $ (78,118) $ (80,720) ======= =======