EX-99.2 3 c96673exv99w2.htm EXHIBIT 99.2 Exhibit 99.2
Exhibit 99.2
(DTE ENERGY LOGO)
Full Year 2009 Supplemental Financial Information
February 22, 2010

 

 


 

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)
                 
    December 31  
    2009     2008  
    (In millions)  
ASSETS
               
Current Assets
               
Cash and cash equivalents
  $ 52     $ 86  
Restricted cash
    84       86  
Accounts receivable (less allowance for doubtful accounts of $262 and $265, respectively)
               
Customer
    1,438       1,666  
Other
    217       166  
Inventories
               
Fuel and gas
    309       333  
Materials and supplies
    200       206  
Deferred income taxes
    167       227  
Derivative assets
    209       316  
Other
    201       242  
 
           
 
    2,877       3,328  
 
           
Investments
               
Nuclear decommissioning trust funds
    817       685  
Other
    598       595  
 
           
 
    1,415       1,280  
 
           
Property
               
Property, plant and equipment
    20,588       20,065  
Less accumulated depreciation, depletion and amortization
    (8,157 )     (7,834 )
 
           
 
    12,431       12,231  
 
           
Other Assets
               
Goodwill
    2,024       2,037  
Regulatory assets
    4,110       4,231  
Securitized regulatory assets
    870       1,001  
Intangible assets
    54       70  
Notes receivable
    113       115  
Derivative assets
    116       140  
Other
    185       157  
 
           
 
    7,472       7,751  
 
           
Total Assets
  $ 24,195     $ 24,590  
 
           

 

 


 

DTE Energy Company
Consolidated Statements of Financial Position (Unaudited)
                 
    December 31  
    2009     2008  
    (In millions, except shares)  
LIABILITIES AND EQUITY
               
Current Liabilities
               
Accounts payable
  $ 723     $ 899  
Accrued interest
    114       119  
Dividends payable
    88       86  
Short-term borrowings
    327       744  
Current portion long-term debt, including capital leases
    671       362  
Derivative liabilities
    220       285  
Other
    502       518  
 
           
 
    2,645       3,013  
 
           
Long-Term Debt (net of current portion)
               
Mortgage bonds, notes and other
    6,237       6,458  
Securitization bonds
    793       932  
Trust preferred-linked securities
    289       289  
Capital lease obligations
    51       62  
 
           
 
    7,370       7,741  
 
           
Other Liabilities
               
Deferred income taxes
    2,096       1,958  
Regulatory liabilities
    1,337       1,202  
Asset retirement obligations
    1,420       1,340  
Unamortized investment tax credit
    85       96  
Derivative liabilities
    198       344  
Liabilities from transportation and storage contracts
    96       111  
Accrued pension liability
    881       871  
Accrued postretirement liability
    1,287       1,434  
Nuclear decommissioning
    136       114  
Other
    328       328  
 
           
 
    7,864       7,798  
 
           
 
               
Equity
               
Common stock, without par value, 400,000,000 shares authorized, 165,400,045 and 163,019,596 shares issued and outstanding, respectively
    3,257       3,175  
Retained earnings
    3,168       2,985  
Accumulated other comprehensive loss
    (147 )     (165 )
 
           
Total DTE Energy Company Shareholders’ Equity
    6,278       5,995  
Noncontrolling interests
    38       43  
 
           
Total Equity
    6,316       6,038  
 
           
Total Liabilities and Equity
  $ 24,195     $ 24,590  
 
           

 

 


 

DTE Energy Company
Consolidated Statements of Cash Flows (Unaudited)
                         
    Year Ended December 31  
    2009     2008     2007  
    (In millions)  
Operating Activities
                       
Net income
  $ 535     $ 553     $ 787  
Adjustments to reconcile net income to net cash from operating activities:
                       
Depreciation, depletion and amortization
    1,020       899       926  
Deferred income taxes
    205       348       144  
Gain on sale of non-utility business
          (128 )     (900 )
Other asset (gains), losses and reserves, net
    (10 )     (4 )     (9 )
Gain on sale of interests in synfuel projects
          (31 )     (248 )
Impairment of synfuel projects
                4  
Contributions from synfuel partners
          14       229  
Changes in assets and liabilities, exclusive of changes shown separately
    69       (92 )     192  
 
                 
Net cash from operating activities
    1,819       1,559       1,125  
 
                 
Investing Activities
                       
Plant and equipment expenditures — utility
    (960 )     (1,183 )     (1,035 )
Plant and equipment expenditures — non-utility
    (75 )     (190 )     (264 )
Proceeds from sale of interests in synfuel projects
          84       447  
Refunds to synfuel partners
          (387 )     (115 )
Proceeds from sale of non-utility business
          253       1,262  
Proceeds from sale of other assets, net
    83       25       85  
Restricted cash for debt redemption
    2       54       6  
Proceeds from sale of nuclear decommissioning trust fund assets
    295       232       286  
Investment in nuclear decommissioning trust funds
    (315 )     (255 )     (323 )
Other investments
    (94 )     (156 )     (19 )
 
                 
Net cash from (used) for investing activities
    (1,064 )     (1,523 )     330  
 
                 
Financing Activities
                       
Issuance of long-term debt
    427       1,310       50  
Redemption of long-term debt
    (417 )     (446 )     (393 )
Repurchase of long-term debt
          (238 )      
Short-term borrowings, net
    (454 )     (340 )     (47 )
Issuance of common stock
    35              
Repurchase of common stock
          (16 )     (708 )
Dividends on common stock
    (348 )     (344 )     (364 )
Other
          (10 )     (6 )
 
                 
Net cash used for financing activities
    (789 )     (84 )     (1,468 )
 
                 
Net Increase Decrease in Cash and Cash Equivalents
    (34 )     (48 )     (13 )
Cash and Cash Equivalents Reclassified (to) from Assets Held for Sale
          11       (11 )
Cash and Cash Equivalents at Beginning of Period
    86       123       147  
 
                 
Cash and Cash Equivalents at End of Period
  $ 52     $ 86     $ 123  
 
                 

 

 


 

The Detroit Edison Company
Consolidated Statements of Operations (Unaudited)
                         
    Year Ended December 31  
(in Millions)   2009     2008     2007  
Operating Revenues
  $ 4,714     $ 4,874     $ 4,900  
 
                 
 
                       
Operating Expenses
                       
Fuel and purchased power
    1,491       1,778       1,686  
Operation and maintenance
    1,277       1,322       1,422  
Depreciation and amortization
    844       743       764  
Taxes other than income
    205       232       277  
Asset (gains) losses and reserves, net
    (2 )     (1 )     8  
 
                 
 
    3,815       4,074       4,157  
 
                 
 
                       
Operating Income
    899       800       743  
 
                 
 
                       
Other (Income) and Deductions
                       
Interest expense
    325       293       294  
Interest income
    (2 )     (6 )     (7 )
Other income
    (39 )     (51 )     (40 )
Other expenses
    11       47       30  
 
                 
 
    295       283       277  
 
                 
 
                       
Income Before Income Taxes
    604       517       466  
 
                       
Income Tax Provision
    228       186       149  
 
                 
 
                       
Net Income
  $ 376     $ 331     $ 317  
 
                 

 

 


 

MICHIGAN CONSOLIDATED GAS COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
                         
    Year Ended December 31  
(in Millions)   2009     2008     2007  
Operating Revenues
  $ 1,765     $ 2,115     $ 1,842  
 
                 
Operating Expenses
                       
Cost of gas
    1,037       1,351       1,139  
Operation and maintenance
    411       464       422  
Depreciation and amortization
    109       102       93  
Taxes other than income
    48       47       55  
Asset gains, net
    (30 )     (26 )     (3 )
 
                 
 
    1,575       1,938       1,706  
 
                 
Operating Income
    190       177       136  
 
                 
Other (Income) and Deductions
                       
Interest expense
    67       65       60  
Interest income
    (8 )     (8 )     (10 )
Other income
    (8 )     (11 )     (12 )
Other expenses
    6       13       4  
 
                 
 
    57       59       42  
 
                 
Income Before Income Taxes
    133       118       94  
Income Tax Provision
    40       38       23  
 
                 
Net Income
  $ 93     $ 80     $ 71  
 
                 

 

 


 

(DTE ENERGY LOGO)
DTE Energy Debt/Equity Calculation
As of December 31, 2009
($ millions)
         
Short-term borrowings
  $ 327  
Current portion of long-term debt, including capital leases
    671  
Mortgage bonds, notes and other
    6,237  
Securitization bonds, excluding current portion
    793  
Capital lease obligations
    51  
less MichCon short-term debt
    (327 )
less Securitization bonds, including current portion
    (933 )
 
     
Total debt
    6,819  
 
       
Trust preferred-linked securities
    289  
 
     
Total preferred/ other
    289  
 
       
Equity
    6,278  
 
     
 
       
Total capitalization
  $ 13,386  
 
     
 
       
Debt
    50.9 %
Preferred
    2.2 %
Common shareholders’ equity
    46.9 %
 
     
 
       
Total
    100.0 %
 
     

 

 


 

(DTE ENERGY LOGO)
Sales Analysis — Q4 2009
Electric Sales — Detroit Edison Service Area (GWh)
                         
    Q4 2009     Q4 2008     % Change  
Residential
    3,633       3,537       3 %
Commercial
    4,436       4,573       -3 %
Industrial
    2,339       3,012       -22 %
Other
    829       811       2 %
 
                 
 
    11,237       11,933       -6 %
Choice
    479       377       27 %
 
                 
TOTAL SALES
    11,716       12,310       -5 %
 
                 
Electric Revenue — Detroit Edison Service Area ($000s)
                         
    Q4 2009     Q4 2008     % Change  
Residential
    471,479       400,449       18 %
Commercial
    423,775       431,144       -2 %
Industrial
    159,653       208,767       -24 %
Other
    44,679       44,022       1 %
 
                 
 
    1,099,586       1,084,382       1 %
Choice
    11,737       10,622       10 %
 
                 
TOTAL REVENUES
    1,111,323       1,095,004       1 %
 
                 
Gas Sales — MichCon Service Area (MMcf)
                         
    Q4 2009     Q4 2008     % Change  
Residential
    31,877       36,594       -13 %
Commercial
    7,906       10,969       -28 %
Industrial
    752       339       122 %
 
                 
 
    40,535       47,902       -15 %
End User Transportation*
    37,906       32,426       17 %
 
                 
TOTAL SALES
    78,441       80,328       -2 %
 
                 
     
*   Includes choice customers
Gas Revenue — MichCon Service Area ($000s)
                         
    Q4 2009     Q4 2008     % Change  
Residential
    332,455       406,985       -18 %
Commercial
    82,616       120,611       -32 %
Industrial
    7,232       3,488       107 %
 
                 
 
    422,303       531,084       -20 %
End User Transportation*
    43,091       39,166       10 %
 
                 
TOTAL REVENUES
    465,394       570,250       -18 %
 
                 
     
*   Includes choice customers
Weather
Cooling Degree Days
Detroit Edison service territory
                         
    Q4 2009     Q4 2008     % Change  
Actuals
    0       0       N/A  
Normal
    6       6          
 
                   
 
                       
Deviation from normal
    -100 %     -100 %        
Heating Degree Days
MichCon service territory
                         
    Q4 2009     Q4 2008     % Change  
Actuals
    2,265       2,446       -7 %
Normal
    2,350       2,350          
 
                   
 
                       
Deviation from normal
    -4 %     4 %        
Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)
                     
    Q4 2009     Q4 2008      
Detroit Edison
    (5 )     1     Milder weather reduced Detroit Edison’s earnings by $5M Q4 2009
MichCon
    (3 )     3     Milder weather reduced MichCon’s earnings by $3M Q4 2009

 

 


 

(DTE ENERGY LOGO)
Sales Analysis — YTD December 31, 2009
Electric Sales — Detroit Edison Service Area (GWh)
                         
    YTD 2009     YTD 2008     % Change  
Residential
    14,625       15,493       -6 %
Commercial
    18,200       18,920       -4 %
Industrial
    9,922       13,086       -24 %
Other
    3,229       3,217       0 %
 
                 
 
    45,976       50,716       -9 %
Choice
    1,477       1,458       1 %
 
                 
TOTAL SALES
    47,453       52,174       -9 %
 
                 
Electric Revenue — Detroit Edison Service Area ($000s)
                         
    YTD 2009     YTD 2008     % Change  
Residential
    1,819,497       1,726,154       5 %
Commercial
    1,702,367       1,753,228       -3 %
Industrial
    729,987       893,461       -18 %
Other
    176,331       175,761       0 %
 
                 
 
    4,428,182       4,548,604       -3 %
Choice
    39,556       34,371       15 %
 
                 
TOTAL REVENUES
    4,467,738       4,582,975       -3 %
 
                 
Gas Sales — MichCon Service Area (MMcf)
                         
    YTD 2009     YTD 2008     % Change  
Residential
    103,264       109,684       -6 %
Commercial
    29,830       35,231       -15 %
Industrial
    1,617       1,015       59 %
 
                 
 
    134,711       145,930       -8 %
End User Transportation*
    124,472       122,224       2 %
 
                 
TOTAL SALES
    259,183       268,154       -3 %
 
                 
     
*   Includes choice customers
Gas Revenue — MichCon Service Area ($000s)
                         
    YTD 2009     YTD 2008     % Change  
Residential
    1,072,679       1,237,581       -13 %
Commercial
    305,344       389,503       -22 %
Industrial
    14,756       11,015       34 %
 
                 
 
    1,392,779       1,638,099       -15 %
End User Transportation*
    146,368       143,599       2 %
 
                 
TOTAL REVENUES
    1,539,147       1,781,698       -14 %
 
                 
     
*   Includes choice customers
Weather
Cooling Degree Days
Detroit Edison service territory
                         
    YTD 2009     YTD 2008     % Change  
Actuals
    575       759       -24 %
Normal
    736       736          
 
                   
 
                       
Deviation from normal
    -22 %     3 %        
Heating Degree Days
MichCon service territory
                         
    YTD 2009     YTD 2008     % Change  
Actuals
    6,623       6,682       -1 %
Normal
    6,696       6,724          
 
                   
 
                       
Deviation from normal
    -1 %     -1 %        
Earnings Impact of Weather
Variance from normal weather ($millions, after-tax)
                     
    YTD 2009     YTD 2008      
Detroit Edison
    (43 )     2     Colder weather reduced Detroit Edison's earnings by $43M YTD 2009
MichCon
    (2 )         Milder weather decreased MichCon's earnings by $2M YTD 2009